Personal Lines (PA) Chapter 7 - Insurance Regulations

A penalty of up to _______ may be leveled for each violation of the Commissioner's cease and desist order.

$10,000

Prior to license renewal, all insurance producers must successfully complete how many hours of continuing education?

24 credit hours

For the purpose of examination by the department, insurers must keep a record of all financial files for at least

5 years

The Commissioner of Insurance is placed in office by which means?

An appointment by the Governor.

A producer's license must be renewed

Biennially (every 2 years)

Who monitors the financial strength of insurers?

Department of Insurance

What does a producer NOT have the authority to do?

Issue policies.

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

Misrepresentation

Who must approve all continuing education courses in Pennsylvania?

The Commissioner

If a licensee wants to transact insurance under a different name than that listed on his or her producer's license, what must occur?

The change must be reported to the Commisioner.

A licensee serving in the military is unable to fulfill her continuing education. What would the licensee have to do to renew license?

The licensee may submit a request to the department to have requirements and fees waived. The department will then determine if the request is permissible.

Reciprocity occurs when?

The state in which the person resides accords the same privilege to residents of Pennsylvania.

Should an insurance company deny any claim submitted by an insured without providing to that insured a prompt and reasonable explanation of the claim denial, the insurer would be in violation of

Unfair Claims Methods and Practices Requlations