10 practice questions insurance regulations
Bill made his living as an insurance producer at one time but is no longer licensed. Under which of the following circumstances would it be acceptable for him to accept a commission?
If he receives a deferred commission from insurance that he transacted while he was licensed
Which of the following will NOT be considered unfair discrimination by insurers?
Discriminating in benefits and coverages based on the insured's habits and lifestyle True- (are considered unfair discrimination) Charging applicants with similar health histories different premiums based on their ethnicity Cancelling individual coverage based on the insured's marital status Assigning different risk classifications to applicants based on gender identity
Who is considered a nonresident agent?
An agent who resides and is licensed in another state, but who is authorized to transact insurance in this state
Which type of misrepresentation persuades an insured, to his or her detriment, to cancel, lapse, or switch policies from one to another?
Twisting
How long is a waiting period upon purchase of flood coverage through NFIP?
30 days
When a producer was reviewing a potential customer's coverage written by empts to ill another company, the producer made several remarks that were maliciously plies false critical of that other insurer. The producer could be found guilty of
Defamation
When is controlled business legal?
When the commissions from controlled business do not exceed the aggregate commissions on all the other business (specific limits may vary from state to state)
Both consumer reports and investigative consumer reports provide
additional information from an outside source about a customer's character and reputation, and both types of reports are used under the Fair Credit Reporting Act.
If a producer makes maliciously critical statements about another insurer, what is this illegal practice called?
defamation
Insurers are classified according to their domicile. What are the three types of insurers?
domestic, foreign, alien
What type of insurer is formed under the laws of another state?
foreign
Rebating
is defined as any inducement offered to the insured in the sale of insurance products that is not specified in the policy. Both the offer and acceptance of a rebate are illegal.
On its advertisement, a company claims that it has funds in its possession that are, in fact, not available for the payment of losses or claims. What is the company guilty of?
misrepresentation
What illegal act does a producer commit when the producer represents a policy in a more favorable light than the policy really is?
misrepresentation
Who owns stock companies?
stockholders
What are the most common penalties for violations of insurance statutes?
A cease and desist order, a fine, and license suspension or revocation
Who may share in the commission from the sale of an insurance policy?
Only producers properly licensed for the type of insurance transaction
Which of the following is NOT correct regarding false statements by a person engaged in the business of Insurance?
Only written statements can be considered fraud
To whom may a certificate of authority be issued?
To an insurer authorized to transact business in this state
What is the purpose of a cease and desist order?
To prevent a producer or insurer from further violating laws for transacting insurance
What is the main justification for the existence of the State Insurance Department?
To protect the public
Agents who persuade insureds to cancel a policy in favor of another one when ancial Stat it might not be in the insured's best interest are guilty of
Twisting
Any person who knowingly commits insurance fraud will be guilty of a felony and will be subject to a prison term of
Up to 5 years or a fine of up to $5,000 for each count.
A temporary license is good for
180 days
A temporary license is not available for what?
A producers retirement
If an insurer holds a Certificate of Authority, it is known as what type of insurer?
Authorized or admitted
If an insurer meets the state's financial requirements and is approved to transact business in the state, it is considered what type of insurer?
Authorized or admitted
According to the Fair Credit Reporting Act, all of the following would be considered negative information about a consumer EXCEPT
Disputes regarding consumer report information. True- Tax delinquencies. Late payments. Failure to pay off a loan.
Which of the following protects consumers against the circulation of inaccurate or obsolete personal or financial information?
Fair Credit Reporting Act
Which of the following is the federal body that regulates truckers who travel across state lines?
Federal motor carrier safety administration
In comparison to consumer reports, which of the following describes a unique characteristic of investigative consumer reports?
The customer's associates, friends, and neighbors provide the report's data.
Which of the following entities established the Do-Not-Call Registry?
The federal trade commission
Who is responsible for the costs associated with the examination of insurers?
The insurer who is being examined
Which of the following producers will be required to complete continuing education hours to renew his license?
a producer licensed 4 years ago who holds only one line of authority
A nonresident producer moves to another state. The producer must notify the Department of Insurance of the address change within how many days?
30 days
A trucking company owns a large fleet of trucks that transport oil across state lines. According to the financial responsibility requirements set by the Motor Carrier Act of 1980, what is the minimum amount of insurance the company must carry on vehicles that transport oil?
$1 million
Individual producers engaged in the sale of any annuity products must complete a one-time, ____ hour training course. This requirement is separate and distinct from the CE (continuing education) requirements for a licensee, and applies to both resident and nonresident producers.
4
If a consumer requests additional information concerning an investigative Fair Cred consumer report, how long does the insurer or reporting agency have to comply?
5 days
A state-issued document empowering an insurance company to become an admitted insurer is called what?
Certificate of Authority
The main difference between consumer reports and investigative consumer reports are
that the information for investigative consumer reports is obtained through an investigation and interviews with associates, friends and neighbors of the consumer.
A producer didn't realize that he had committed an act in violation of the Insurance Code. How much would he probably be penalized?
$1,000 ***Statutes limit the fine to 'up to $1,000', unless the person knew the act was in violation, in which case it may be increased to as much as $25,000.
the minimum fine for violating the insurance code is
$1,000 **Statutes limit the fine to 'up to $1,000', unless the person knew the act was in violation, in which case it may be increased to as much as $25,000.
What is the fine for using an unapproved assumed name by a producer?
$250
Up to _____ hours of unused continuing education credits may be carried forward to the next renewal period for producers licensed in any combination of the lines of life, health and accident, property, casualty or personal lines.
10
a producer has completed 40 hours of continuing education this licensing period. how many credit hours may be carried over to the next licensing period?
10 hours **up to 10 hours of unused continuing education credits may be carried forward to the next renewal period for producers licensed in any combination of the lines of life, health and accident, property, casualty, or personal lines.
To appoint a producer as its agent, the appointing insurer must file a notice of appointment within ____ days from the date the agency contract is executed.
15
Producers in Louisiana are required to complete ____ hours of continuing education every 2 years, regardless of the number of lines for which the producer is licensed.
24
The limit on controlled business is
25% ****Controlled business must not exceed 25% of a producer's transactions.
An insurance producer using a name that has not been approved will be subject to a fine up to $______
250
What is the minimum required number of continuing education credits in ethics every licensing period?
3
existing and replacing life insurers are required to keep copies of all summaries, notices, and statements used in sales transactions until the conclusion of their next examination by the insurance department, or for a period of at least
5 years **Louisiana insurance laws require insurers to keep such records for a minimum of 5 years
If the producer continues to use the name for 10 or more days after being notified by the Commissioner to stop using the unapproved name, the producer will be subject to an additional fine of up to $_____
5,000
Failure to file an address change within the required time will result in a $____ penalty per violation.
50
This state provided for a temporary license for all of the following EXCEPT
A producers retirement True- The death of a producer. A producer's disability. A producer's time in the military service.
All of the following are penalties for violating the statutes pertaining to sharing of commissions EXCEPT
Additional continuing education in ethics. True- Fine up to $5,000. Imprisonment for up to 2 years. License revocation. ****Any person who violates the state statutes pertaining to sharing of commissions, upon conviction, may be fined an amount between $1,000 and $5,000, and/or imprisoned for a maximum of 2 years. The producer's license will also be suspended or revoked.
Which of the following individuals must be licensed as an insurance agent?
An employee of an insurer who receives commissions only on a few policies a year. ****Receipt of commissions requires a license as an insurance agent.
If the Commissioner believes that a producer may be in violation of an insurance law or regulation, what may be issued?
Cease and desist
Examples of violations of Louisiana insurance regulations :
Producer A uses her license to write only insurance for herself and her immediate family. Producer B charges his clients in addition to the premium, a consulting fee. Producer D collects premiums due on policies and deposits the funds in his own personal account.
The purpose of insurance regulation is to
Promote the public welfare.
In comparison to consumer reports, which of the following describes a unique characteristic of investigative consumer reports?
The customer's associates, friends, and neighbors provide the report's data. **Both consumer reports and investigative consumer reports provide additional information from an outside source about a customer's character and reputation, and both types of reports are used under the Fair Credit Reporting Act. The main difference is that the information for investigative consumer reports is obtained through an investigation and interviews with associates, friends and neighbors of the consumer.
an insured is dissatisfied with her insurance policy and wants to negotiate certain provisions of the contract. what entity would her producer represent?
the insurer **under agency law, producers legally represent the insurance company with which they are contracted.
Licenses in Louisiana must be renewed every ___ years. Licensees must submit a renewal application, pay the required fees, and complete continuing education requirements.
2
Any payment to a producer from an insurer that is contingent on the sale of an insurance policy or contract is called a
Commission.
Producers need to submit a license renewal application every ___ years.
2
The Commissioner, upon receiving this notice, has ______ days to make sure that the producer is suitable for appointment. If the producer is determined to be ineligible for appointment, then the Commissioner must notify the insurer within ______ days of making the determination.
30 15
When a producer could be in violation of an insurance law or regulation, the Commissioner will issue a
Cease and desist
Producers are normally compensated by _____________ where a percentage of the premium is paid to the producer by the insurance company.
Commissions
Which of the following would NOT be a violation of Louisiana insurance regulations?
Producer C uses her license to write uncontrolled business only ***The purpose of a license is to primarily write business that is not controlled business.
A producer in another state wants to become a producer in Louisiana. The other state gives the same privileges to Louisiana producers wanting to be licensed in that state as it does to its own producers. Louisiana, therefore, extends the licensing privileges to the prospective producer of the other state. What is this called?
Reciprocity
An insurer conducts business in Louisiana without a certificate of authority. Hundreds of policies are sold, and claims start rolling in. Which of the following is true?
The insurer will have to pay the claims anyway. ****if an insurance company decides to transact insurance illegally, it still will be responsible for paying any claims that are filed under its fraudulent policies.
The regulation of the insurance industry primarily rests with
The state
Producers need to submit a license renewal application every ___ years. License renewals must be completed by the _____ day of the producer's birth month.
2 Last
A producer was originally licensed on April 1st, 2001. The producer's birthday is on October 17th. The producer last renewed her license in 2012. By what date must the producer renew her license again?
October 31st, 2014
Reciprocity
occurs when the state in which the person accords the same privilege to residents of Louisiana. • The producer's home state awards nonresident producer licenses to residents of Louisiana on the same basis
a temporary license may be issued without examination to all f the following, except
the spouse of a retiring insurance producer true- the spouse or legal representative of a deceased insurance producer. the designee of a licensened insurance producer who enters active duty in the US Armed Forces or Navy. the employee of a disabled licensed a producer.
What is the maximum amount of time that could pass before an insurer's financial stability would be examined?
5 years
Within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained?
3 days
If a telemarketer wants to make an unsolicited sales call to a potential customer, what is the earliest time the telemarketer can call the prospect's residence?
8am
According to the telemarketing sales rules, what are the permissible calling hours for telemarketing calls?
8am until 9pm (Permissible calling hours for telemarketers are between 8am and 9pm.)
All of the following events will terminate a producer's certificate of appointment EXCEPT
A new Commissioner is put into office. ****An appointment by an insurer is based upon the person maintaining a valid insurance license. Though the appointment is made by the head of the Insurance Department, that person leaving the office does not terminate existing appointments. True- A termination issued by the appointing insurer. A producer's license is suspended or revoked by the Department of Insurance. A producer's license expires and is not renewed.
Who is an insurance agent?
A person authorized to sell, solicit and negotiate insurance contracts
Which of the following persons would be required to hold a license?
A person who negotiates insurance contracts
A producer's license has been revoked a SECOND time for violating the Insurance Code. When can the producer apply for a new license?
After the revocation period ***If a producer commits another violation after the license has been reissued following a revocation, the producer's licensed will be revoked for up to 5 years. If the license is revoked a second time, the producer cannot apply for a new license during the revocation period.
___________________ licensed in the state of Louisiana must complete 24 hours of approved continuing education (CE) instruction or self-study prior to each license renewal. These requirements apply regardless of the line or number of lines of insurance for which the producer is licensed.
All insurance producers
All of the following would be considered rebating EXCEPT
An agent misrepresents policy benefits to convince a policyowner to replace policies. True - An agent offers to share his commission with a policyholder. An agent offers tickets to a baseball game as an inducement to buy insurance. An agent offers the use of his lake house to a client as an inducement to buy an insurance policy from him.
If an insurance company wishes to order a consumer report on an applicant to assist in the underwriting process, and if a notice of insurance information practices has been provided, the report may contain all of the following information EXCEPT the applicant's
Ancestry True- (could contain) Credit history Habits Prior insurance
Insurance companies can terminate the appointment of a producer at ___________. Notice must be given to the Commissioner within 30 days after the termination.
Any time
The Commissioner of Insurance is elected to a 4-year term, while the Deputy Commissioner is what?
Appointed
When a company appoints a producer, it must first apply for the ____________ with the Commissioner. The Commissioner then has 30 day to make sure that the producer is fit to transact insurance with that company.
Appointment
Which of the following would NOT be considered an exception to the National Do No Do Not Call List?
Calls based from outside of the US True-(are exceptions) Calls for which the consumer has given prior written permission Calls which are not commercial or do not include unsolicited advertisements Calls by or on behalf of tax-exempt nonprofit organizations
If the Commissioner/Superintendent finds a licensee engaging in an unfair method of competition or an unfair practice, what order will be issued?
Cease and desist order
What document is required for an insurance company to transact insurance?
Certificate of Authority
A banker is ready to close on a customer's loan. The bank is prepared to offer y include the loan but only if the customer purchases a life insurance policy from the s, benefit bank in the amount of the loan. This is an example of
Coercion
The general property policy form is used for other-residential and non residential structures and their contents such as
Commercial structures. Cooperative associations. Apartment buildings.
What are producers required to do in order to renew their license?
Complete Continuing education hours and pay a renewal fee
All of the following could be considered rebates if offered to an insured in the sale of insurance EXCEPT
Dividends from a mutual insurer. **Dividends paid to policyholders of a mutual insurer are not considered to be a rebate because the policy specifies that they might be paid. True- (are considered rebates) An offer of employment. Stocks, securities, or bonds. An offer to share in commissions generated by the sale.
How can a person become the Commissioner?
Election
All of the following actions can be described as twisting EXCEPT
Explaining to client the advantages of permanent insurance over term and suggesting changing policies True- Embellishing the terms of the proposed policy in order to convince the insured to switch Making an incomplete comparison between the existing and proposed policies Misrepresenting the terms and conditions of the existing policy to make the new one more attractive
Committing insurance fraud is considered a/an
Felony
In general, who can be excluded from producer licensing and examination requirements?
Insurance company officers, directors, or any other employees who do not transact insurance and who do not receive commissions for their services (usually, their responsibilities include administrative, executive or clerical)
What is controlled business?
Insurance on the producer's own life or property, or the lives or property of the producer's family or business associates
The Residential Condominium Building Association Policy (RCBAP) is used for residential condominium building associations to cover the entire building under one policy. Which of the following statements about RCBAP is true?
It does not protect the individual owner from loss to personal property owned exclusively by the unit owner.
It is ________ for a formerly licensed producer to accept commissions if the transaction that produced the current commission was made while the producer was properly licensed.
Legal
Which of the following best describes the unfair trade practice of defamation?
Making derogatory oral statements about another insurer's financial condition
Under the Fair Credit Reporting Act, individuals rejected for insurance due to information contained in a consumer report
Must be informed of the source of the report
Which of the following is NOT correct regarding false statements by a person engaged in the business of insurance?
Only written statements can be considered fraud. True- Statements made with the intent to deceive are unlawful. Omissions of material fact on insurance application are fraud. False statements about financial condition of an insurer are unlawful.
Which of the following would be considered causes for flood conditions covered by the National Flood Insurance Program?
Overflow of inland or tidal waters Unusual and rapid accumulation or runoff of surface waters from any source A mudflow
Who would participate in a Write Your Own (WYO) flood insurance program?
Private insurers that wish to write and service National Flood Insurance policies on a no risk-bearing basis
Under agency law, ____________ legally represent the insurance company with which they are contracted.
Producers
The Gramm-Leach-Bliley Act was passed to
Protect private customer information filed with a financial institution. ***Customers must be given two disclosure notices (one at the onset of business and one before information is disclosed), as well as a yearly updated disclosure notice.
The Gramm-Leach-Bliley Act was passed to
Protect private customer information filed with a financial institution. ***The Gramm-Leach-Bliley Act was passed to protect private customer information that is filed with a financial institution. Customers must be given two disclosure notices (one at the onset of business and one before information is disclosed), as well as a yearly updated disclosure notice.
An agent offers a client free tickets to a sporting event in exchange for the purchase of an insurance policy. What is the agent guilty of?
Rebating
An agent offers his client free tickets to a sporting event in exchange for the y include purchase of an insurance policy. The agent is guilty of
Rebating
Any inducement offered to the insured in the sale of an insurance policy that is not specified in the policy is an unlawful practice known as
Rebating
Which of the following is an example of a producer being involved in an unfair antages in trade practice of rebating?
Telling a client that his first premium will be waived if he purchases the insurance policy today
It would be considered unfair discrimination to ask an insurance applicant about which of the following and then use that information as a rating factor to determine insurability?
Sexual orientation
To be eligible for coverage under the National Flood Insurance Program, an insured must live in which of the following communities?
That has met the minimum floodplain management guidelines
Who must be notified of a producer's change of address?
The Department of Insurance (Commissioner/Director/Superintendent)
What type of licensee represents the insurance company?
The agent
If a company wants to appoint a producer, which entity must it notify?
The commissioner
In comparison to consumer reports, which of the following describes a unique characteristic of investigative consumer reports?
The customer's associates, friends, and neighbors provide the report's data. *** Both consumer reports and investigative consumer reports provide additional Information from an outside source about a customer's character and reputation, and both types of reports are used under the Fair Credit Reporting Act. The main difference is that the information for investigative consumer reports is obtained through an investigation and interviews with associates, friends and neighbors of the consumer.
A producer is charged with committing several crimes in Louisiana. Who is required to report the charges to the Commissioner?
The producer
When would a misrepresentation on an insurance application be considered fraud?
When it is intentional and material
When can the Commissioner or Director examine insurers?
Whenever deemed necessary, but at least once every few years (please check your state regulations for specific time requirement)
A producer's license has been revoked for a violation of the Insurance Code. When can the producer apply for a new license?
Within 1 year of the revocation ****if a producer license has been revoked, the producer may file another license application within 1 year from the effective date of revocation, or within 5 years from the date of final court order if judicial review of revocation is sought.
If a resident producer or solicitor has a change of residential or business address, how soon must the licensee notify the Commissioner?
Within 30 days
Federal law makes it illegal for any individual convicted of a crime involving dishonesty or breach of trust to work in the business of insurance affecting interstate commerce
Without receiving written consent from an insurance regulatory authority.
Which of the following terms describes making false statements about the financial condition of any insurer that are intended to injure any person. engaged in the business of insurance?
defamation
Two individuals are in the same risk and age class; yet, they are charged different rates for their insurance policies due to an insignificant factor. What is this called?
discrimination
Two individuals who are in the same risk and age class are charged different rates for their insurance policies due to an insignificant factor. What is this called?
discrimination
An insurance company has published a brochure that inaccurately portrays the advantages of a particular insurance policy. What is this an example of?
false advertising
The requirement that agents must account for and promptly remit all insurance funds collected is known as what type of agent responsibility?
fiduciary or fiduciary responsibility
Under the fair credit reporting act
if an insurance policy is declined or modified because of information contained in a consumer report, the consumer must be advised and provided with the name and address of the reporting agency.
As defined by the fair credit reporting Act,
negative information includes information regarding a customer's delinquencies, late payments, insolvency or any other form of default. Customer disputes are not considered negative information, and, in fact, must be included in consumer reports.
A producer or broker who makes oral or written statements intended to injure another producer or insurer is guilty of
the unfair trade practice of defamation.
If an agent changes his residence address, within how many days must the agent notify the Commissioner of the change? If a resident producer or solicitor changes his residence or business address, how soon must the licensee notify the commissioner?
within 30 days **failure to notify the commissioner within 30 days could result in a $50 fine
A France-based insurer would like to do business in Louisiana. What document must it first receive?
Certificate of Authority
All insurers, regardless of the state in which they are chartered, must obtain a ____________________ from the Louisiana Insurance Department before they can transact insurance in the state.
Certificate of Authority
In Louisiana, the Commissioner of Insurance is
Elected by the voters of the State for a period of four years.
What was created to keep telemarketers from calling consumers who do not wish contacted?
National Do Not Call Registry **The National Do Not Call Registry was created to allow consumers the choice to not be contacted by telemarketers
The purpose of the ___________________ is to protect the public's interest in matters concerning insurance.
State insurance department
If a person demands a hearing, the Commissioner of Insurance must set the hearing within
30 days
Continuing education requirements must be met every
2 years
If a license has been lapsed for more than how many years, the producer must apply for a new license?
2 years
a licensee just renewed his license. how much time will pass before he will have to renew it again?
2 years
There are exclusions for those who are required to be licensed; generally, persons who work with insurers but do not participate in the sale, solicitation, or negotiation of insurance contracts are not required to be what?
Licensed
Producers who allow their license to lapse may reinstate the same license within how many years, upon proof of fullkling all continuing education requirements through the date of reinstatement, and by paying all overdue fees ?
2 years
continuing education requirements must be met every
2 years **All licensed insurance producers must complete 24 hours of continuing education every 2 years.
All insurance producers licensed in the state of Louisiana must complete ____ hours of approved continuing education (CE) instruction or self-study prior to each license renewal. At least 3 hours must be on ethics.
24
If authorized to write life and property and casualty insurance, how many hours of continuing education instruction are producers required to complete every 2 years?
24
A California insurer wants to transact business in Louisiana. What document must it first receive?
Certificate of Authority **All insurers, regardless of the state in which they are chartered, must obtain a Certificate of Authority from the Louisiana Insurance Department before they can transact insurance in the state.
forcing a client to buy insurance from a particular lender as a condition of granting a loan is defined as
coercion **for example, A banker is ready to close on a customer's loan. The bank is prepared to offer the loan but only if the customer purchases a life insurance policy from the bank in the amount of the loan.
if an insurance company cancels a producers appointment, the
commissioner must be notified within 30 days. **TERMINATION OF APPOINTMENT- insurance companies can terminate the appointment of a producer at any time. if an insurer terminates a producer's appointment, the commissioner must be notified within 30 days after the effective date of the termination.
Charla wants to serve as a producer for Commissions Galore Insurance Company. In addition to obtaining her producer's license, what else must happen before she can officially transact insurance for CGIC?
she must be appointed specifically by CGIC ****Before a producer can serve as an agent for a given insurance company, the producer must first be appointed by the company.
Every licensee must notify the Commissioner of any changes to the licensee's residential, mailing, business, or e-mail address or phone number within _____ days of the change. The same regulation applies to changes in the licensee's name.
30
All insurance producers licensed in the state of Louisiana must complete 24 hours of approved continuing education (CE) instruction or self-study prior to each license renewal. At least ___ hours must be on ethics.
3
The Commissioner can examine insurers for solvency and compliance with the Insurance Code as frequently as deemed necessary, but at least once every 5 years. Newer insurers may be examined more frequently: every 6 months for the first ____ years, and once a year for years 4 through 6.
3
the purpose of insurance regulation is to
promote the public welfare
The primary goal of the commissioner's office is to?
protect the public welfare where insurance is concerned.
A producer has been notified by the Commissioner to stop using an unapproved trade name. How many days does the producer have to change the trade name before having to pay an additional fine?
10 days
A producer has completed 40 hours of continuing education this licensing period. How many credit hours may be carried over to the next licensing period?
10 hours
the widower of an agent was issued a temporary license 30 days ago. how much longer can he legally serve under this license?
150 days **a temporary license is good for 180 days 180-30=150
Existing and replacing life insurers are required to keep copies of all summaries, notices, and statements used in sales transactions until the conclusion of their next examination by the Insurance Department, or for a period of at least
5 years
Insurer examinations must occur no less frequently than every
5 years
The commissioner is elected for a term of how many years?
4
Each state is responsible for the ___________ of insurance within that state.
Conduct
A nonresident producer who moves from one state to another state or a resident producer who moves from this state to another state must file a change of address and provide certification from the new resident state within ___ days of the change of legal residence. No fee or license application is required.
30
The Insurance Department has received complaints about a particular producer regarding policy-selling conduct. What can be issued that would legally force the producer to stop the acts in violation?
Cease and desist order
If an insurance company cancels a producer's appointment, the
Commissioner must be notified within 30 days.
The Commissioner of Insurance is responsible for making sure that the provisions of the Louisiana Insurance Code are what?
Enforced properly
At a minimum, all original records must be maintained by the insurer for a period of ___ years, or until the Commissioner's next examination-whichever is later.
5
Insurers will be examined at least every ___ years or more often if based on the recommendation of the Louisiana Insurance Guaranty Association.
5
Insurers will be examined at least every _____ years or more often if based on the recommendation of the Louisiana Insurance Guaranty Association.
5
These 3 scenarios illustrate exceptions to the CE requirements:
A 67-year-old producer who sells life insurance policies for a licensed insurer A nonresident producer who only completed continuing education in his own state A producer who is serving a term as a member of the legislature
How often must producer licenses renew in Louisiana?
Every 2 years
ABC Insurance Company wishes to begin transacting business in Louisiana. Before it can do so, it must do which of the following?
Obtain a certificate of authority
All of the following are unfair claims settlement practices EXCEPT
Suggesting negotiations in settling the claim True- (these are types of unfair claims settlement practices) Refusing to pay claims without conducting a reasonable investigation. Failing to adopt and implement reasonable standards for settling claims. Failing to acknowledge pertinent communication pertaining to a claim.