Minnesota Laws and Rules
All individual life and insurance polices sold in Minnesota MUST have a grace period of
1 month
Within how many days must a license notify the Commissioner of Commerce in address
10
An insurer must send a notice of appointment for a producer within
15 days
What is the minimum age for an individual to be licensed
18
How many days is a temporary producers license valid
180 days
A life insurance policy becomes incontestable after it has been in force for
2 years
A producer must complete
24 hours
Lapsed individual life insurance may be reinstated at any time within
3 years
An insurance producer must notify the Commissioner of Commerce within how many days of a crime
30
A policyowner has the right to return a life policy within
30 days
Backdating a life insurance application coverage is allowed
6 months
A life policy loan in Minnesota cannot charge a fixed rate of interest higher than
8%
Which of the following is considered to be misrepresented
A producer guaranteeing a policy's dividends
What is a definition of Life insurance replacement
A transaction in which a new policy is bought and an old policy is terminated
What is a definition of Life insurance replacement
A transaction in which a new policy is bought and the old policy is terminated
A French insurance company conducting business in Minnesota would be known as
Alien company
An example of unfair discrimination would be
An insurance company that charges different premiums for insureds in the same risk classification
An insurance license applicant may be refused by the commissioner of Commerce for
Being convicted of a crime involving moral turpitude
A policyowner is the process of replacing an existing
Both the applicant and the producer
An example of replacement is
Cancelling a term life policy to buy a whole life policy
When an unfair trade practice has been discovered
Cease and desist order
Which of the following permits an insurance company to transact business in Minnesota
Certificate of authority
J is a producer who recently told a claimant that his rights might be impaired if he does not complete
Coercion
Which of these is NOT a duty if the Commissioner of Commerce
Create new insurance laws
A blank is the signed document that starts the free look period
Delivery receipt
A producer insurance license may be suspended by the
Department of Commerce
A producers insurance license may be suspended or revoked by the
Department of Commerce
An insurance company the conducts business in Minnesota and was incorporated in Minnesota is called
Domestic
What is one of the roles of the Commissioner of commerce
Enforce state insurance laws
How often must an insurance producers license in Minnesota be renewed
Every 2 years
How often must the Commissioner of Commerce examine each domestic insurance company
Every 5 years
An example of Unfair Claims Settlement practice is
Failing to adopt and implement reasonable standards for the prompt investigation of claims
An example of an Unfair Claims Settlement practice is
Failing to adopt and implement reasonable standards for the prompt investigation of claims and turning down a claim without providing the basis of denial
An example of an unfair claims practice would be
Failing to effectuate prompt, fair, and equitable
The act of an insurance company publishing misleading information about its policy's provisions called
False advertising
P is a producer who is licensed in Minnesota but a resident of Nebraska
Foreign producer
The Commissioner of Commerce attains office in which of the following ways
Gubernatorial appointment
An insurance company may only pay commission to a
Licensed producer appointed by the insurer
T the producer is replacing a clients existing insurance
Notice regarding replacement
Replacement regulation is intended to protect the interests of the
Policyowner
Which of the following actions by a producer would NOT result in a license suspension or revocation
Producer sells a replacement policy that causes an insured to lapse an existing policy
An example of rebating would be
Returning a portion of a premium as inducement
In order to terminate a producers appointment the insurer MUST
Send notice of the termination to the Commissioner of Commerce
In order to terminate producers appointment
Send notice of the termination to the Commissioner of Commerce
Which of the following is NOT considered rebating
Sharing commissions with a producer licensed in the same line of business
W gave W age as 50 but then the company discovered Ws real age that had been issued 59.
The proceeds would be reduced based on whatever the premium would hav been
P the producer made a false statement to a sales prospect for the purpose of replacing an existing policy
Twisting
The act of using misrepresentation to undue an insured
Twisting
How long can a life insurance policy sold in Minnesota legally be backdated
Up to 6 months
Credit Life insurance can be best described as insurance issued on a
debtor