Tennessee Laws & Rules Pertinent to Insurance
In TN a BLANK insurance company is one formed under the laws of a state outside of TN.
Foreign insurance company
The insurance Commissioner is REQUIRED to do what before holding a hearing that could lead to the suspension of a producer's license.
Give a written notice to the producer
The Tennessee Guaranty Association is subject to review and regulation by the Commissioner. A Financial statement must be submitted no later than BLANK of each year.
March 30th
When a Medicare Supplement policy is delivered to a policyholder, which of the following MUST accompany the policy?
Outline of Coverage
J applies for an insurance policy. What BEST describes the particular terms of this policy?
Policy Summary
The Tennessee Insurance Guaranty Association
Protects Tennessee insurance policy owners in the event an insurance company becomes insolvent
B is an insurance producer who occasionally engages in financial planning. If B sells an insurance policy during the course of a financial planning seminar, B must disclose to the client
that a commission will be earned in addition to any fee charged for financial planning
In Tennessee, the MAX fine that the Commissioner can impose on a producer is BLANK per violation.
$1,000
How long is a temporary license valid?
180 days
A producer needs to complete _ of continuing education every _ years.
24; 2
The Commissioner notifies the association of an insolvent insurer no later than BLANK days after receiving notice of the insurer's insolvnecy.
3 days
What is considered a producer's breach of fiduciary duty?
Allowing premiums to be submitted electronically
What is NOT a requirement to sell, solicit, negotiate Long-Term Care insurance?
Complete a one-time 4 hour course on estate planning
A provision that the policy, application, and all attachments shall constitute the BLANK between the parties.
Entire Contract
A Long-Term Care policy sold in Tennessee MUST be
Guaranteed renewable
An individual health insurance policy is REQUIRED to contain a(n)
Payment of Claims provision
What is valid TN regulation for referral fees?
The Commissioner may establish by rule a maximum amount for each referral
What authority does the Commissioner have over Tennessee producers?
The Commissioner may establish guidelines for continuing education as a part of the producer license renewal procedure
A producer MUST leave a buyer's guide with an applicant for which type of policy?
Universal Life insurance
If an insurance producer applicant is required to pass a written examination, what is also required?
a fingerprint-based criminal background check
All of these insurance subjects qualify for continuing education credits in Tennessee EXCEPT:
motivating producers
The Commissioner wold like to hold a hearing against a producer. Before the hearing is held, a notice
must be sent by registered or certified by mail to the producer's address on file
XYZ Corp was issued a group Accident and Health policy for its employees. Under this plan a
policy must be issued to XYZ and a certificate must be issued to each employee
A business entity can be defined as
association or a limited liability company
Purpose of the Tennessee Guaranty Association?
avoid excessive delay in payment, avoid a loss to policyholders and claimant due to the insolvency of an insurer, charger to distribute the costs of protection to all insurers.
Insurance contracts my be sold, solicited, or negotiated by an insurance producer ONLY upon
becoming an appointed producer of an insurer
How often must the Commissioner examine each domestic company?
Every five years
Who would be liable for an insurance claim on a policy sold by a TN producer and issued by an insurance company NOT authorized to conduct business in TN?
the producer
For a change to a health policy to be valid, what is required?
changes in the policy must be approved by an executive officer of the insurer
Unfair discrimination is BEST described as
charging a different rate for someone in the same actuarial class
When does the Free-Look provision for health insurance begin?
date the policy is delivered to the insured
In Tennessee, an insurer that is incorporated in New Jersey and conducts business in Tennessee is called
foreign insurer
A licensed producer can be BEST describes as a(n)
individual who places insurance on behalf of anyone seeking insurance
A producer may apply for one or more of the following licenses:
life insurance, personal lines property, accident and health or sickness insurance
What is NOT a fair marketing practice when an existing insurance policy is being replaced?
reduce the cost by lowering the commission
What is not a legitimate insurance marketing practice for obtaining business from a competitor?
reducing commissions in order to make a sale
An insurance producer could be found guilty of rebating by:
sharing commissions with a client who has purchased insurance
When a life insurance application is completed, a Policy Summary must be given to the applicant. The Policy Summary MUST include
the premium cost for basic coverage applied for
P's individual health policy is now in the Grace Period. P's coverage will remain in force if:
the premium is paid