insurance regulation
consumer report
A report that may contain information regarding an individual's credit standing, character, reputation, personal characteristics, and mode of living.
Illegal under any circumstances
An insurer publishes intimidating brochures that portray the insurer's competition as financially and professionally unstable. Which of the following best describes this act?
rebating
Any inducement offered in the sale of insurance products that is not specified in the policy.
5 days
If a (consumer) requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply?
agents retirement
In this state, a temporary license may be issued for all the following reasons except?
Fair Credit Reporting Act
Protects consumers against the circulation of inaccurate or obsolete personal or financial information.
regulates consumer reports
The Federal Fair Credit Reporting Act
telemarketers
The National Do Not Call Registry was created to regulate
must be informed of the source of the report
Under the Fair Credit Reporting Act, individuals rejected for insurance due to information contained in a consumer report
2,500
What is the maximum penalty for habitual willful noncompliance with the Fair Credit Reporting Act?
no one
a person filed a report about an insurance fraud practice. the person could be sued for civil damages by which of the following
1,000
after being penalized previously for making false statements on advertisements regarding the insurer's financial condition, the insurer continues to knowingly commit the same offense. What is the max penalty that may be imposed on the insurer
twisting
agents who persuade insured to cancel a policy in favor of another one when it might be in the insured best interest are guilty of
fair credit reporting act
an applicant is denied insurance because of information found on a consumer report. which of the following requires that the insurance company supply the applicant with the name and address of the consumer reporting company
3 years
an insolvent insure is one who is unable to pay its obligations when they are due or has few assets than liabilities for a period of
90 days
an insurance agent licensed in another state may apply for a relicensing education exemption within how many days of establishing a principle place of business in Ohio
90 days
an insurance agent licensed in another stay may apply or a prelicensing education exemption within how many days of establishing a principle place of business in Ohio
fraud
an insurance company assures its new policyholders that their premium costs will not increase for a period of at least five years. however, due to increasing financial strain, they plan to raise premium rates costs for all insured by 10% over the next two years what describes this act
10 years
any licensed person whose activities affect interstate commerce and who knowingly makes false material statements related to the business of insurance may be imprisoned for up to
24
each person licensed as an agent or solicitor is required to complete how many hours of approved continuing education instruction every 2 years
without receiving written consent from an insurance regulatory authority
federal law makes it illegal for any individual convicted of a crime involving dishonestly or breach of trust to work in the business of insurance affecting interstate commerce
Without receiving written consent from an insurance regulatory authority
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
90 days
how many days after being licensed to place business transactions in Ohio must an insurer have an antifraud program in place?
30
how many days do you have to notify the director in change of address
3
how many hours of continuing education must be completed in ethics
every 2 years
how often are agents required to renew their insurance license
every 3 years
how often must the director examine financial affairs of domestic insurers
ancestry
if a company wishes to order a consumer report to assist in underwriting the report may contain all information but
5 years
if a cybersecurity event has occurred, licensees must maintain records for the incident for no less than
8 am
if a telemarketer wants to make unsolicited sales call to a potential customer what is the earliest time the telemarketer can call the prospect's residence
30 days
if an agent has an administrative action taken against him or her in another jurisdiction, how many days does the agent have to report this to the director after the final disposition
The customer's associates, friends, and neighbors provide the report's data
in comparison to consumer reports, what describes a unique characteristic of investigative consumer reports
It is never legal to limit coverage based on marital status
in what situation is it legal to limit coverage based on marital status
sexual orientation
it would be considered unfair discrimination to ask an insurance applicant about what then use that info as a rating factor to determine insurability
Misrepresentation
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. the company is guilty of what
the order can be appealed
the director issues a cease and desist order. a hearing is herd in order to determine whether the order should be continued. after the hearing, the director decides to continue the order. the agent wants to appeal this decision. what is true
regulated consumer reports
the federal fair credit reporting act
15 days
the hearing for a cease and desist order must occur within how many days of the order date
180 days
the maximum duration of a temporary license in this state is
5 days
to avoid violating the state insurance code regarding unfair claims settlement practices, insurers must pay a claim within how many days of the final agreement to the settlement
Respond to the consumer's complaint.
under the fair credit reporting act, if a consumer challenges the accuracy of the information contained in a consumer or investigative report the reporting agency must
respond to the consumers compliant
under the fair credit reporting act, if a consumer challenges the accuracy of the information contained in a consumer or investigative report, the reporting agency must
must be informed of the source of the report
under the fair credit reporting act, individuals rejected for insurance due to information contained in a consumer report
when the agent receiving the commission is license for that same line of business
under what circumstances may an agent appointed with the issuing insurance company pay a commission to another agent
tickets to a basketball game as an inducement to buy insurance or an agent offers to share his commission with a policyholder
what are examples of rebating
Defamation
what describes making false statements about the financial condition of any insurer that are intended to incur any person engaged in the business of insurance
failure to promptly settle a claim when liability has clearly been established
what is an example of an unfair claims settlement practice
information system
what is designed to collect, maintain, and transmit electronic nonpublic information
10,000
what is the maximum civil penalty for violating the directors cease and desist order
30 days
what is the waiting period for rate filing before each rate may become effective
dividends are not considered to be rebated, they are only allows if specifically stated in the policy, and rebating can be anything of monetary value given as an inducement to purchase insurance
what is true about rebates
the fair credit reporting act
what protects consumers against the circulation of inaccurate or obsolete personal or financial information
consumer report
what will provide the underwriter with the information about an insurance applicant's credit
30
when an agents appointment has been terminated, the insurer must notify the director within how many days
when the amount of the claim is above $1,000
when will fraud be considered a felony
department of insurance
who assumes control over an insurance company's funds and management if they become insolvent
director
who has the authority to send a cease and desist
examination expenses are the responsibility of the insurer
who pays for the examination of financial affairs of insurers
3 days
within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained