Georgia LAS State Laws and Regulations
30 days
The Commissioner has acted in such a way that a person is aggrieved. The aggrieved person may request a hearing which must be held by the Commissioner within: Select one: a.30 days b.60 days c.90 days d.120 days
the agent's place of business on record in the Commissioner's office.
The Commissioner may give an agent notice of an order by delivering the notice to: Select one: a.the Insurer appointing the agent. b.the agent's place of business on record in the Commissioner's office.
a specific Policy Summary.
A Life Agent must give each applicant a general Buyer's Guide and: Select one: a.a specific Policy Summary and the address of the insurance company's web site. b.a specific Policy Summary. c.a specific Policy Summary and a rate comparison for premiums charged for similar policies by at least 2 competing insurance companies. d.a specific Policy Summary and a list of those competitors selling similar policies.
a resident Producer
A Producer may share a commission with: Select one: a.a resident Producer b.the Commissioner c.a person who referred the applicant to the Producer d.an adjuster
12 months.
A policy may be marketed as "Long Term Care" only if it provides benefits for at least: Select one: a.48 months. b.36 months. c.24 months. d.12 months.
moves to a nearby state
A resident Georgia Producer will lose her resident Producer license if she: Select one: a.has an appointment from more than one Insurer b.moves to a nearby state
Surviving spouse.
A temporary license can be issued to the following: Select one: a.Surviving spouse. b.Anyone in the state of Georgia.
Insurer.
An agent's appointment letter may be revoked by the: Select one: a.Insurer. b.Commissioner.
Superior Court of Fulton County.
Any action of the Commissioner may be appealed within 30 days to: Select one: a.Georgia Supreme Court. b.Georgia Attorney General. c.The Governor. d.Superior Court of Fulton County.
an unlicensed corporate officer.
Each of the following business entities may obtain an agent's license EXCEPT: Select one: a.an unlicensed corporate officer. b.corporation. c.limited liability partnership. d.partnership.
a post office box
Each of the following will satisfy the Commissioner's requirement for a place of business EXCEPT: Select one: a.a post office box b.an office in another business, such as a real estate office c.an office in a shopping mall d.a home office
31 days
Generally speaking, a group health policy may be converted to an individual policy within how many days after termination of coverage under the group policy? Select one: a.10 days b.30 days c.31 days d.60 days
rebating.
Paying a person an inducement to purchase insurance is called: Select one: a.rebating. b.coercion.
4 hours
Persons licensed to sell Long Term Care Partnership Insurance must complete how many hours of specialized continuing education as part of the annual continuing education requirement? Select one: a.3 hours b.4 hours c.5 hours d.8 hours
an assessment against the remaining Insurers' premiums
When the Guaranty (Insolvency) Fund pays claims, the Fund is replenished by: Select one: a.an assessment against the remaining Insurers' premiums b.a special allocation from the state legislature
Both the Commissioner and the affected party.
Which of the following may subpoena witnesses and documents at a hearing? Select one: a.The Commissioner only. b.Both the Commissioner and the affected party. c.Neither the Commissioner nor the affected party. d.The affected party only.
Georgia Assignment System
Which of these provides insurance as a last resort for persons unable to obtain health insurance in the open market? Select one: a.Georgia Guaranty Fund b.Georgia High Risk Pool c.Georgia Department of Insurance d.Georgia Assignment System
provide health coverage for persons unable to purchase coverage in the voluntary market.
The purpose of the Georgia Assignment System is to: Select one: a.Provide that each insurer be given a percentage of all new health insurance applications. b.provide affordable health coverage for Georgia families with children. c.provide a automatic mechanism for physicians and other health care provides to collect from health insurance companies without having to bill the patients. d.provide health coverage for persons unable to purchase coverage in the voluntary market.
at least 6 months per year.
To be eligible for a resident agent license, an applicant must be present in Georgia: Select one: a.more or less 9 months per year. b.at least 3 months per year. c.at least once every year. d.at least 6 months per year.
foreign
A Texas insurance company selling policies in Georgia is referred to in Georgia as: Select one: a.alien b.domestic c.captive d.foreign
$45
A client may pay a fee to an insurance agent in Georgia as long as the fee has a maximum de minimis value of: Select one: a.$10 b.$25 c.$45 d.$75
Another property agent.
A property agent may split a commission with: Select one: a.A Life agent. b.Another property agent.
150%
The Georgia Assignment System may charge a health insurance fee equal to what percentage of the average premium charged by all insurers in Georgia providing similar accident and sickness policies? Select one: a.50% b.75% c.100% d.150%
The Commissioner
Who issues a probationary license? Select one: a.The Commissioner b.The Insurer c.The Department of Insurance d.The local insurance agency
None.
A Georgia Medicare Supplement policy may duplicate what percentage of the coverage provided by a Medicare policy? Select one: a.None. b.Not more than 10%. c.Not more than 15%. d.Not more than 25%.
Continue existing business but not sell new policies.
A temporary agent may: Select one: a.Operate independently without supervision of a regularly licensed agent. b.Continue existing business but not sell new policies.
18% per year.
An agent may collect how much interest from a client on a premium which is past due 30 days or more? Select one: a.None. b.10% per year. c.12% per year. d.18% per year.
Any Insurer.
Defamation involves making false statements about the financial condition of: Select one: a.Any Insured. b.Any Insurer. c.Any client. d.The Commissioner and the Department of Insurance.
an Insurer
Defamation involves making false statements about: Select one: a.the Commissioner b.an Insurer
an unlicensed corporate officer
Each of the following may receive an agency licence EXCEPT: Select one: a.a partnership b.a limited liability company c.a corporation d.an unlicensed corporate officer
Policy Summary
If a replacement situation exists, the Replacing Agent must send the Replacing Insurer each of the following EXCEPT: Select one: a.Statement regarding replacement signed by the applicant and Replacing Agent b.the list of policies to be replaced, identified by number and name c.Policy Summary d.the Replacement Notice
30 days.
If an Insurer terminates an agent's appointment, the Insurer must notify the Commissioner and explain the termination within: Select one: a.15 days. b.30 days. c.45 days. d.60 days.
Applicant and Replacing Insurer
A Replacing Agent must give a copy of the Replacement Notice to the: Select one: a.Applicant and Existing Insurer b.Applicant and Replacing Insurer
30 days.
After appointing an agent, the appointment must be registered in the Insurer's register of appointed agent's within: Select one: a.10 days. b.20 days. c.30 days. d.90 days.
10 days
After being notified of the possible policy replacement, the Existing Insurer has how many days to comply with a request to delivery a copy of the Policy Summary to the existing policyholder? Select one: a.3 days b.5 days c.7 days d.10 days
8 hours
An Accident & Sickness (Health) licensee desiring to sell Long Term Care Insurance Partnership policies must complete specialized initial training of: Select one: a.8 hours b.12 hours c.18 hours d.24 hours
each person who sells insurance is a licensed agent.
An Insurer may pay commissions directly to the agency rather than to the agents only if: Select one: a.the commissions don't exceed the statutory amount. b.each person who sells insurance is a licensed agent. c.the Insurer requests a rule waiver. d.the Commissioner consents on a case-by-case basis.
25%
An agent cannot hold a license for the purpose of buying insurance at a discount for the agent or associates. Such insurance is referred to as "controlled business" if it constitutes more than what percentage of the agent's total volume of business per year? Select one: a.5% b.10% c.15% d.25%
None of the above.
As an inducement to sell life insurance, an Insurer may compensate an applicant with which of the following? Select one: a.A bonus for each credit policy sold. b.Travel rewards. c.Merchandise under $500 in value. d.None of the above.
The Insurer must pay the death benefit less the due premium and interest.
Assume that coverage under a group policy has terminated. The former Insured knows that she has 31 days to request conversion. She decides to not convert but fails to notify the Insurer. On day 28, she dies. Select one: a.There is no coverage. b.The Insurer must pay the death benefit less the due premium and interest.
5
Before becoming a licensed counselor, an applicant must have had how many years of insurance experience? Select one: a.1 b.3 c.4 d.5
5 years.
Licensees must keep copies of all records for: Select one: a.2 years. b.3 years. c.4 years. d.5 years.
Shopper's Guide
Long-Term Care Insurance applicants must be given a: Select one: a.Buyer's Guide b.Shopper's Guide
The composite State Board of Medical Examiners
Medical malpractice Insurers must notify which of following of claim payments within 30 days? Select one: a.The Georgia Board of Hospital Examiners b.The Insurance Commissioner c.The composite State Board of Medical Examiners d.The Georgia Board of Physicians and Medical Professionals
Must be more than the coverage under a Medicare policy.
The coverage under a Medicare Supplement policy: Select one: a.May be less than the coverage under a Medicare policy. b.Must be more than the coverage under a Medicare policy.
They are legal representatives of the insurance company.
Under Georgia insurance law, all of the follow are true about subagents EXCEPT? Select one: a.They cannot issue binders. b.They do not need to be licensed. c.They are not required to pass the licensing exam. d.They are legal representatives of the insurance company.
Insurer
Under Georgia insurance laws, the agent is presumed to represent the: Select one: a.Insurer b.Insured
30 days.
An agent must inform the Commissioner of a change of business address within: Select one: a.10 days. b.20 days. c.30 days. d.60 days.
2 years.
An agent must pay a renewal fee every: Select one: a.1 year. b.2 years. c.3 years. d.4 years.
elected.
The Georgia Commissioner of Insurance is: Select one: a.elected. b.appointed by the Governor.
Policy Summary for the existing policy
A Replacing Agent must give an Insured copies of each of the following EXCEPT: Select one: a.Replacement Notice b.Policy Summary for the replacement policy c.Policy Summary for the existing policy d.Buyer's Guide
post a $50,000 bond.
A Surplus Lines Agent MUST: Select one: a.hold an appointment letter from an Insurer. b.post a $50,000 bond.
may be renewed a maximum of three times
A Temporary License: Select one: a.may be renewed only once b.may be renewed a maximum of five times c.may not be renewed d.may be renewed a maximum of three times
2 years.
Every agent must complete Continuing Education Courses every: Select one: a.1 year. b.2 years. c.3 years. d.4 years.
30 days.
If an agent is subject to criminal arrest, the Commissioner must be notified within: Select one: a.5 days. b.10 days. c.20 days. d.30 days.
Must provide a 30 day Free Look provision.
Medicare Supplement policies: Select one: a.Must provide a 30 day Free Look provision. b.Are available only to persons under age 65. c.Must return an average of 80% of benefits in the case of group policies. d.May provide duplicate coverage for not more than 25% of benefits provided under Medicare.
counselor
One who is licensed to, for a fee, provide advice regarding insurance policies is a/an: Select one: a.counselor b.agent c.advisor d.producer
10 hours.
A person who has held an insurance license in Georgia for 20 years or more must complete how many hours of continuing education per year? Select one: a.None. b.5 hours. c.10 hours. d.15 hours.
15 hours per year.
A person with both Property/Casualty and a Life/Health licenses must complete how many hours of continuing education? Select one: a.15 hours every two years. b.15 hours per year.
$300,000
A property or casualty policy claim is covered under Georgia's Property and Casualty Guaranty Fund up to how much? Select one: a.$100,000 b.$50,000 c.$150,000 d.$300,000
Certificate of Authority.
An Insurer must obtain the following from the Commissioner before transacting insurance business: Select one: a.Agent license. b.Certificate of Authority.
another licensed agent having the same type of license.
An agent may receive a commission from: Select one: a.an unlicensed person. b.another licensed agent having the same type of license.
any agent licensed with the same line of insurance.
An agent may split commissions with: Select one: a.any Insurance Agent in Georgia. b.any agent licensed with the same line of insurance.
illegal
An agent pays an unlicensed person for each referral leading to the sale of insurance. Such a relationship is: Select one: a.legal if reported in advance to the Insurer. b.illegal. c.legal as long as the payment does not exceed the de minimus value of $45. d.legal if reported in advance to the Insurer and the Commissioner.
2 years.
An agent's license lasts for: Select one: a.1 year. b.2 years. c.5 years. d.10 years.
underwriting
An insurance agent's license is required for each of the following EXCEPT: Select one: a.disseminate information regarding insurance rates. b.sign an application or an order for insurance on behalf of an applicant. c.advise a prospective purchaser on the terms of existing coverage. d.underwriting.
3 years
Both the Replacing life insurer and the Existing life insurer must keep copies of all replacement documents for at least: Select one: a.3 years b.5 years c.7 years d.10 years
recognize that Georgia law prohibits duplicating Medicare benefits.
Molly is a Georgia Accident and Sickness producer. She offers a client a Medicare Supplement Policy which provides several of the same benefits provided by the basic Medicare policy. Molly should: Select one: a.obtain the Commissioner's approval prior to offering such a policy. b.advise the applicant that federal law requires all Medicare Supplement policies to duplicate the basic coverages provided by federal Medicare. c.notify the applicant that the cost of the Medicare Supplement policy will be reduced if any coverages are duplicated and the premium reduction will be written. d.recognize that Georgia law prohibits duplicating Medicare benefits.
Allows the Insured to request an individual policy.
The 31 day right of conversion under a group life policy does which of the following? Select one: a.Allows the Insured to change the payment mode. b.Allows the Insured to request an individual policy. c.Allows the Insured to add other Insureds to the policy. d.Allows the Insured to increase the death benefit.
regulate insurance profits.
The Commissioner has the authority to do the following EXCEPT: Select one: a.examine insurers to determine solvency. b.regulate insurance profits. c.subpoena documents in any investigation related to the insurance industry. d.interpret insurance laws
$5,000.
The Commissioner may issue a fine for each intentional violation of the law up to: Select one: a.$1,000. b.$2,500. c.$5,000. d.$7,500.
$1,000.
The Commissioner may issue a fine for each unintentional violation of the law up to: Select one: a.$250. b.$500. c.$750. d.$1,000.
when any insurance company or agent violates insurance laws.
The Commissioner may issue cease and desist orders: Select one: a.when any insurance company or agent violates insurance laws. b.only given approval by judicial order.
6 months renewable for up to a total of 15 months.
The Commissioner may issue temporary licenses for: Select one: a.6 months, nonrenewable. b.6 months renewable for up to a total of 12 months. c.6 months renewable for up to a total of 15 months. d.6 months renewable for up to a total of 18 months.
accepting a $45 fee from a client.
The Commissioner may suspend or revoke an Agent's license for all of the following EXCEPT: Select one: a.failing to comply with a Commissioner order. b.accepting a $45 fee from a client. c.using fraudulent information while conducting insurance business. d.having been convicted of a felony.
fine a Producer $10,000 for violating a Cease and Desist order
The Commissioner may: Select one: a.fine a Producer $10,000 for violating a Cease and Desist order b.modify a state statute c.revoke a Producer's appointment d.imprison a Producer in a local jail
3 years
The Commissioner must conduct an examination of domestic Insurers how frequently? Select one: a.2 years b.3 years c.5 years d.7 years
30 days
The Commissioner must hold a hearing within how many days of written demand by an aggrieved person? Select one: a.10 days b.30 days c.45 days d.90 days
3 years
The Commissioner must inspect the records of a domestic property or life insurance company every: Select one: a.year b.3 years c.4 years d.5 years
modify state statutes
The Georgia Insurance Commissioner can do each of the following EXCEPT: Select one: a.create regulations b.organize the Department of Insurance c.examine the records of an Insurer d.modify state statutes
Credit life and Group life policies.
The Georgia life insurance Replacement Rules apply to each of the following EXCEPT: Select one: a.Term life policies. b.Universal life policies. c.Whole life policies. d.Credit life and Group life policies.
Individual life policies
The Georgia policy life and annuity replacement rules apply to: Select one: a.Group life policies b.Individual credit life policies c.Individual life policies d.Group annuities
protects Insured's if an insurance company is insolvent.
The Guaranty Association: Select one: a.protects Agent's if an Insured is unable to pay premiums. b.protects Insured's if an insurance company is insolvent.
$100,000
The Guaranty Fund provides coverage for the cash value under a life insurance policy up to: Select one: a.$100,000 b.$200,000 c.$300,000 d.$400,000
$300,000
The Guaranty Fund provides coverage for unpaid health insurance claims up to: Select one: a.$45,000 b.$100,000 c.$250,000 d.$300,000
provide coverage for persons unable to obtain insurance in the voluntary market.
The purpose of the Georgia Assignment System is to: Select one: a.provide accident and sickness insurance for persons in the rural areas of Georgia not readily served by larger medical facilities. b.provide coverage for persons unable to obtain insurance in the voluntary market. c.prohibit discrimination against persons with AIDS. d.guarantee health coverage for persons who are temporarily unemployed.
Preserve a portion of their personal assets and at the same time be eligible for Medicaid long term care coverage.
The purpose of the Long Term Care Insurance Partnership is to encourage people to: Select one: a.Purchase Long Term Care Insurance for both spouses. b.Become part-owners of the long term care facility. c.Preserve a portion of their personal assets and at the same time be eligible for Medicaid long term care coverage. d.Purchase Long Term Care Insurance through their employer.
Provide more information for Insureds when replacing policies.
The purpose of the Replacement rules is to: Select one: a.More fairly distribute the commissions to agents when policies are replaced. b.Encourage Insureds to review their policy provisions on an annual basis. c.Provide more information for Insureds when replacing policies. d.Encourage Insureds to replace Term policies with Whole Life policies.
familiarize the applicant with the basics of Long Term Care insurance.
The purpose of the Shopper's Guide provided to applicants for Long Term Care insurance is to: Select one: a.examine the details of the particular policy proposed for the applicant. b.compare the offered policy with the applicant's existing policy. c.familiarize the applicant with the basics of Long Term Care insurance. d.provide the applicant with the list of other insurers authorized to sell Long Term Care insurance in Georgia.
12 months
To be marketed as LTCi, the policy must provide coverage for not less than how many months for care provided in a setting other than an acute care unit of a hospital? Select one: a.3 months b.6 months c.12 months d.18 months
subagent
Under Georgia insurance laws, a person who sells insurance for a licensed agent is known as a/an? Select one: a.limited agent b.subagent c.producer d.customer service representative (CSR)
No Limit
Under Georgia's Guaranty Fund system, if a work comp Insurer is insolvent, claims will be covered up to a maximum of: Select one: a.$100,000 b.$250,000 c.$300,000 d.No Limit
3 days
Upon receiving notice from its agent that a policy is being replaced, the Replacing Company must notify the Existing Company within: Select one: a.3 days b.10 days c.20 days d.30 days
Unfair Discrimination.
Using different rates for persons of approximately the same rate and hazard classification is: Select one: a.Inducement. b.Unfair Discrimination. c.Rebating. d.Coercion.
the replacing agent
Who makes the initial determination of whether a life insurance applicant is going to replace an existing policy? Select one: a.the Commissioner b.the existing insurer c.the replacing insurer d.the replacing agent