review: ohio laws
chauffeured limousine liability coverage limits are? •50/100/20 •25/50/10 •100/300/50 •300/300/300
100/300/50
how long must a policy be in effect for a notice of cancellation to be issued on the grounds of the discovery of a moral hazard or willful or reckless act or omissions by the insured that increases the hazard insured against? •60 days •10 days •90 days •30 days
90 days
a chauffeured limousine owner may furnish and maintain proof of financial responsibility by filing? •a bond or certificate of deposit of money or securities of $50,000 •a bond or certificate of deposit of money or securities of $100,000 •a bond or certificate of deposit of money or securities of $300,000 •a bond or certificate of deposit of money or securities of $150,000
a bond or certificate of deposit of money or securities of $300,000
the state of ohio requires workers compensation to be purchased through •a competitive open market bid system •an open auction •a government operated insurance fund •private insurers
a government operated insurance fund
proof of financial responsibility, can be given in all the following ways except? •a bond •a financial responsibility identification card •through an electronic wireless communication device •a personal letter of attestation
a personal letter of attestation
intrafamily stacking is best described as? •aggregating the limits of coverages purchased by one or more non family members of the same household •aggregating the limits of coverages purchased by one or more persons, whether family members or not •aggregating the limits of coverages purchased by one or more persons, who are non members of the same household •aggregating the limits of coverages purchased by one or more family members of the same household
aggregating the limits of coverages purchased by one or more family members of the same household
an order issued by the superintendent that prohibits a specific practice listed in the order is called a(n) •suspension order •interdiction order •cease and desist order •subrogation order
cease and desist order
the mine subsidence insurance deductibles are? •deductibles cannot be less than five hundred fifty dollars or more than nine hundred dollars, and the total insured value cannot exceed two hundred thousand dollars •deductibles cannot be less than two hundred dollars or more than six hundred dollars, and the total insured value cannot exceed five hundred thousand dollars •deductibles cannot be less than three hundred fifty dollars or more than six hundred dollars, and the total insured value cannot exceed five hundred thousand dollars •deductibles cannot be less than two hundred fifty dollars or more than five hundred dollars, and the total insured value cannot exceed three hundred thousand dollars
deductibles cannot be less than two hundred fifty dollars or more than five hundred dollars, and the total insured value cannot exceed three hundred thousand dollars
which of the following is not a specific power given to the superintendent? •administer oaths •approve policy forms •issue subpoenas •enact insurance legislation
enact insurance legislation
an ohio commercial general liability coverage will typically cover are the following except? •personal injury •property damage •errors and omissions •bodily injury
errors and omissions
all the following are a commercial auto endorsement except? •double and triple trailers •tanker/hazmat •school bus •farm tractor
farm tractor
an insurer must respond within how many days after receiving notice of a claim? •fifteen days •ten days •five days •twenty-one days
fifteen days
no compensation will be allowed of the first ___week(s) after an injury is received or occupation disease contracted •second week •six weeks •first week •four weeks
first week
the oaip requires •for the equitable apportionment of substandard risk among insurance companies •state mandated security inspection centers •an avenue in the involuntary market for inequitable apportionment of risk •competitive rates among interstate automobile and commercial insurers
for the equitable apportionment of substandard risk among insurance companies
an agents license may only be suspended or revoked if the agent •did not meet a sales quota •filed for bankruptcy •has been afforded a right to a hearing •has engaged in replacement of an existing policy
has been afforded a right to a hearing
the purpose of fair plans is to: •to equitably underwrite urban property taking into account the surrounding properties •to guaranty that every property owner is insured •help cover urban applicants with insurable property who cannot get insurance through normal channels •to provide low cost basic insurance
help cover urban applicants with insurable property who cannot get insurance through normal channels
which one is not a personal auto endorsement? •injury to the property of others •collision coverage •underinsured motorist coverage •medical payments
injury to the property of others
an agent's appointment may only be terminated by the •naic •superintendent •agent •insurer
insurer
a non admitted insurer: •may only sell insurance policies through non admitted agents •is not afforded protection by the guaranty fund •only applies to foreign insurers •may sell insurance policies in this state
is not afforded protection by the guaranty fund
the state of ohio requires every business at employs at least ___ person(s) to provide workers compensation •five or more persons •five hundred or more persons •one person •ten or more persons
one person
claims for an injury or death will be barred if a claim has not been made within •one month •one week •one year •one day
one year
every automobile policy must be must issued for a period, not less than? •3 months •1 month •one year •6 months
one year
when the aggregate amount of gross written premium on business placed with a controlled insurer by a controlling producer, in any calendar year, is equal to or greater than 5% of the admitted assets of the insurer, all the following apply except? •the insurer must not cease accepting business from the producer •all funds collected must be held by the producer •the producer must remit all funds •the insurer may terminate the contract for cause
the controlled insurer must not cease accepting business from the controlling producer, and the controlling producer must not cease placing business with the controlled insurer
once the state limits on business placed with a controlled insurer by a controlling producer have been reached, the controlling producer is required to do all the following except? •must agree that the contract cannot be assigned in whole or in part by the producer •must maintain separate, identifiable records of business •must render accounts to the insurer detailing all material transactions •must cease placing business with any other insurer operating with a certificate of authority
the controlling producer must cease placing business with any other insurer operating with a certificate of authority within this state
what does ohio valued policy law require the insurer to pay when the policy requires actual repair or replacement? •the cost of the repair or replacement less obsolescence •the cost of the repair or replacement less deduction for depreciation or obsolescence •the cost of the repair or replacement less depreciation •the cost of the repair or replacement without deduction for depreciation or obsolescence
the cost of the repair or replacement without deduction for depreciation or obsolescence
what must an insurer do when a policy on the mutual plan is cancelled? •the insured must return to the insurer any unearned premium •the insurer must send the policy to the secretary or agent of the company •the insurer must first pay their proportion of all losses up to the date when the policy was received •the insurer must return all installment notes then unpaid and refund to the insured any premium collected in excess if the short rates
the insurer must send the policy to the secretary or agent of the company
intrafamily liability can be enforced if •there are no exclusions to the intrafamily liability exclusion •the policy coverage prohibits intrafamily liability coverage •the policy includes uninsured-underinsured coverage, and an intrafamily claim is not precluded •the policy states an intrafamily liability exclusion will not apply or be enforced
the policy includes uninsured-underinsured coverage, and an intrafamily claim is not precluded
all of the following statements about a notice of nonrenewal is true except? •the premium for the period of coverage, must be calculated using forward rates applicable to the next premium •the notice must contain the policy number, the date of notice, the effective date of cancellation, and the reason for cancellation •the notice must be mailed to the insured and the agent •if the notice was sent at least 30 days prior to the expiration date, the coverage will remain in effect for 30 days
the premium for the period of coverage, must be calculated using forward rates applicable to the next premium must be
compensation for an injury will begin •the fourth week following an injury •the third week following an injury •the second week following an injury •the fifth week following an injury
the second week following an injury
which statement best describes "controlled insurer" •the term "controlled insurer" means a producer that, directly or indirectly, is controlled by an insurer •the term "controlled insurer" means an insurer that, directly or indirectly, is controlled by an insurer •the term "controlled insurer" means an insured that, directly or indirectly, is controlled by a producer •the term "controlled insurer" means an insurer that, directly or indirectly, is controlled by a producer
the term "controlled insurer" means an insurer that, directly or indirectly, is controlled by a producer
when is the effective date of a insurance policy that replaces a binder issued under the ohio fair plan? •when an insurance policy is issued, the policy must commence on the inspection date of the binder •when an insurance policy is issued, the policy must commence on the expiration date of the binder •when an insurance policy is issued,the policy must commence on the applicantion date of the binder •when an insurance policy is issued, the policy must commence on the effective date of the binder
when an insurance policy is issued, the policy must commence on the effective date of the binder
an agents license has been suspended for non renewal. the agent may apply for reinstatement •within 18 months of the license renewal date •within 3 months of the license renewal date •within 6 months of the license renewal date •within 12 months of the license renewal date
within 12 months of the license renewal date
the maximum deductible for uninsured/underinsured coverage is? •$250 •$750 •$1,000 •$500
$250
any person who violates the liability requirements for motor vehicles used in a ridesharing arrangement can be fined a maximum of? •$250 •$3,000 •$5,000 •$10,000
$5,000
at what level of net worth will a insured have only limited or no coverage from the oiga? •$25,000,000 •$50,000,000 •net worth does not limit or eliminate coverage •$10,000,000
$50,000,000
the benefit for funeral expenses cannot exceed •$1,500 •$500 •$5500 •$200
$5500
a policy that includes uninsured/underinsured motorist coverage damage or destruction coverage to any motor vehicle identified in the policy does not need to exceed? •$50,000 •$10,500 •$7,500 •$25,000
$7,500
what is the maximum assessment amount the oiga can assess their members? •1.5% of the ohio premiums received in the year prior to the insolvency •15% of the ohio premiums received in the year prior to the insolvency •11.5% of the ohio premiums received in the year prior to the insolvency •.15% of the ohio premiums received in the year prior to the insolvency
1.5% of the ohio premiums received in the year prior to the insolvency
cancellation for nonpayment of premium requires at least how many days of notice? •5 days •10 days •7 days •15 days
10 days
the cancellation of a chauffeured limosine liability policy requires a minimum notification of? •30 days •7 days •20 days •10 days
10 days
proof of financial responsibility evidenced by a bond cannot be cancelled except after •60 days written notice •10 days written notice •30 days written notice •20 days written notice
10 days written notice
the minimum liability insurance for motor vehicles used in a rideshare arrangement with a capacity of carrying more than nine but not more than fifteen passengers are? •100/300/50 •25/50/10 •50/100/25 •25/50/25
100/300/50
what percent of the amount collected from foreign insurance companies that sell fire insurance to residents of this state is paid into the state fire marshals fund? •5 percent •20 percent •50 percent •100 percent
20 percent
an automobile policy is cancelled for a reason other than for nonpayment of premium, requires how much prior notice? •10 days •45 days •15 days •30 days
30 days
at what percent or greater does a controlling producers calendar year aggregate gross written premiums trigger contractual action by the insurer? •5% •3% •8% •10%
5%
an employer who wants to self insure must employee at least ___ workers •10 or more •1 or more •500 or more •50 or more
500 or more
when how many days must an insurer return the premium when a policy on the mutual plan is cancelled? •60 days •45 days •30 days •10 days
60 days
an insurer who needs more time to investigate a claim must notify the claimant within how many days? •within twelve days •within ten days •within ninety days •within twenty one days
an insurer who needs more time to investigate a loss must within twenty one days after receipt of such proof of loss notify the claimant
intrafamily liability exclusion means •any provision that excludes uninsured/underinsured motorist coverage in the household policy •any provision that excludes interfamily coverage for non family members living in separate households •any provision that excludes family members within the same household coverage on a single policy •any provision that excludes liability insurance for the owner or operator against a claim by a family member
any provision that excludes liability insurance for the owner or operator against a claim by a family member
when a dependent spouse remarries their death benefits will •continue to be paid at a rate equal to one half of the full benefit •continue with out change until the death of the dependent spouse •be paid in a lump sum amount equal to two years of compensation •cease immediately after the marriage is consummated
be paid in a lump sum amount equal to two years of compensation
which of the following is not a personal auto endorsement? •collision coverage •bodily injury or death of one person in any one accident •medical payments and funeral services for the insured and the insured's passengers •uninsured/underinsured coverage
bodily injury or death of one person in any one accident
which of the following is required for an insurer to conduct business in this state? •certificate of domestication •certificate of authority •certificate of authenticity •certificate of admission
certificate of authority
how long does claim data need to be kept? •claim data must be kept for no less than 6 years, or no later until the next state financial examination, whichever is greater •claim data must be kept for no less than 3 years, or no later until the next state financial examination, whichever is greater •claim data must be kept for no less than 5 years, or no later until the next state financial examination, whichever is greater •claim data must be kept for no less than 2 years, or no later until the next state financial examination, whichever is greater
claim data must be kept for no less than 3 years, or no later until the next state financial examination, whichever is greater
what type of insurance policies does the oiga provide coverage for? •surplus lines insurance •workers compensation •warranty insurance •common property and liability policies
common property and liability policies
workers compensation laws in ohio are? •competitive •elective •discretionary •compulsory
compulsory
all the following may be an unfair claims practice EXCEPT •failing to effectuate prompt, fair, and equitable settlements of a claim •denying an insureds fraudulent claim •turning down a claim without providing the basis of denial •failing to promptly acknowledge pertinent communications concerning claims
denying an insureds fraudulent claim
which statement regarding the addition of collision as an endorsement to a commercial policy is true? •if added, the employees coverage is secondary •if added, the employees coverage is still primary •a collision endorsement cannot be added to the business auto policy •if added, the employers coverage is primary
if added, the employees coverage is still primary
a motor vehicle liability policy is not required to provide coverage for all the following except? •liability on account of bodily injury to or death of an employee other than domestic help of the insured •liability under any wc law •liability on account of a person other than the insured who operates the vehicle without the permission of the insured •liability on account of bodily injury or death of a domestic employee
liability on account of bodily injury or death of a domestic employee
the membership of the commercial insurance joint underwriting association is •voluntary for commercial insurers •the commercial version of the insurance guaranty association •mandatory for commercial insurers •by invitation only
mandatory for commercial insurers
pete the agent recently had his license suspended because he was found to be in violation of a state insurance law. due to this suspension, pete •may not be in any communication with current clients regarding the suspension •will lose his ability for an appeal •may be assessed the administrative costs sustained by the department •will be eligible for license reinstatement in 3 months
may be assessed the administrative costs sustained by the department
if an agent is believed to be causing considerable harm, the superintendent •may issue a cease and desist order against the agent •may take away the agents appointment •may suspend the agents license without a hearing •may incarcerate the agent
may issue a cease and desist order against the agent
ohio personal auto insurance law requires all the following except? •medical payments •bodily injury liability •property damage liability •auto rental reimbursement
medical payments
which statement about the mine subsidence insurance fund is true? •ms coverage for homeowners in certain designated counties will be mandatory, and in other designated counties the coverage will be optional •when the plan of operation for the fund is disapproved, a revised plan must be submitted within 10 days •the superintendent of insurance submits the funds operating plan •the fund must be audited by an independent certified public accounting firm
mine subsidence coverage for homeowners in certain designated counties will be mandatory, and in other designated counties the coverage will be optional
all the following statements about ohio mine subsidence are true except? •all authorized insurers of basic property insurance or multi peril policies must be a member of the ohio mine subsidence insurance underwriting association •it means the liability insurance purchased by mining operations within the state of ohio •it may assume and cede resinsurance on insurable risk written by its members •it consists of all insurers authorized to write basic property insurance or multi peril policies
mine subsidence means the liability insurance purchased by mining operations within the state of ohio
what are the minimum and maximum unearned premium claims of the oiga? •minimum of $100 and a maximum of $10,000 •minimum of $10 and a maximum of $1,000 •minimum of $100 and a maximum of $1,000 •minimum of $1000 and a maximum of $10,000
minimum of $100 and a maximum of $10,000
the name of the financial responsibility law of ohio is? •motor financial responsibility •motor vehicle financial responsibility law •drivers responsibility law •motor vehicle safety responsibility law
motor vehicle financial responsibility law
carole is a licensed agent who lives in michigan and transacts insurance in ohio. carole is a(n) •foreign agent •reciprocal agent •nonresident agent •alien agent
nonresident agent
at what number of employees must a business provide workers compensation coverage? •ten or more persons •six or more persons •five hundred or more persons •one or more persons
one or more persons
which of the following is not a commercial carrier endorsement? •double and triple trailers-authorize drivers to drive a vehicle with double or triple trailers that create more than one articulation point for the combination •tanker-authorize driver to drive tank vehicles •hazmat-authorizes drivers to drive a vehicle transporting hazardous materials in an amount requiring placarding •passenger-authorized driver to drive vehicles designed to transport nine or more passengers
passenger-authorized driver to drive vehicles designed to transport nine or more passengers
a standard ohio commercial auto policy will provide all of the following except? •provide bodily injury liability coverage •provide additional liability coverage above the personal policy limits of the employees, when using the car for work •protect the company and the employee who are being sued •provide property liability coverage
protect the company and the employee who are being sued
the ohio automobile insurance plan •provides for the interpretation of state law and regulatory rules for their members •provides disciplinary actions such as suspension, fine and expulsion against industry participants •provides an arbitration function for customer complaints •provides an avenue for applicants who have been denied coverage in the private market to obtain coverage
provides an avenue for applicants who have been denied coverage in the private market to obtain coverage
the second/subsequent fund •increases the employers premiums to offset the additional cost incurred •decreases an employee wc claim •provides employees protection from the cost of prior disability and new injury claims •receives reimbursement from the insurer or self employed employee
provides employees protection from the cost of prior disability and new injury claims
insurance agent kelly offers a prospect a $1,000 shopping card if an insurance policy is purchased through her. what illegal activity is this an example of? •defamation •rebating •coercion •twisting
rebating
which of the following are defined as a motor vehicle? •streetcar •semi tractor •construction equipment •motorized bicycle
semi tractor
all fire insurance companies must include an obligation to cancel a policy upon written request. to discourage cancellation, an insurer can charge a •short rate •discount rate •preferred rate •long rate
short rate
which statement regarding the oiga is false? •requires claimants to first exhaust any other insurance that is available to pay any portion of the claim •does not pay claims of other insurers as subrogation or otherwise nor can other insurer file claims against the policyholders •will not be liable for any claims filed after the later of the final date set by the court or eighteen months after the order of liquidation •any amount of a claim that isnt covered is still a claim against the insurer
the association will not be liable for any claims filed after the later of the final date set by the court or eighteen months after the order of liquidation
the mine subsidence insurance governing board does all the following except? •the board governs the mine subsidence insurance underwriting association •the board provides services for the administration and adjusting of claims •the board administrates the mine subsidence fund •the board contracted the ohio fair plan underwriting association to proved certain services
the board provides services for the administration and adjusting of claims
when a contract provides that the producers compensation on insurance business placed with the insurer is contingent upon the insurers profits on that business, the compensation must not be determined and paid until? •at least three years •at least one year •at least five years •at least two years
the compensation must not be determined and paid until at least five years after the premiums on liability insurance are earned and at least one year after the premiums on any other insurance are earned
an employee whose wage is less than thirty-three and one-third percent of the minimum statewide average weekly wage will receive compensation equal to •sixty six and two thirds percent of their average weekly wage •seventy percent of the employers average weekly wage •thirty two and one half percent of the statewide average weekly wage •the employees full wages
the employees full wages
how does the second/subsequent fund encourage employers to retain and hire people with disabilities? •the fund does this by allowing the employer to reimburse the fund for previous claims •the fund does this by requiring the employer to be on the ohio fund list of disabled employees •the fund does this by reimbursing the insurer or self insured employee part of all the wc claim of an already disabled •the fund does this by generating federal tax credits the employer can use to offset taxes
the fund does this by reimbursing the insurer or self insured employee part of all the wc claim of an already partially disabled employee
every motor vehicle liability policy must contain all the following except? •the policy period •an indorsement that the policy is in accordance with the revised code •the premium charges •the insurance rating of the insured or a statement that it will be prpvided upon request
the insurance rating of the insured or a statement that it will be prpvided upon request
who is not subject to the non oem disclosure requirements? •a repair facility •the insured •an installer •the insurer
the insured
according to the homeowners endorsement ho 01 34, special provisions for ohio, an insurer may cancel a policy after it has been in force for 60 days for all of the following reasons, except •the insured made a material misrepresentation •there is a material change in the level of risk •nonpayment of premiums •the insurer needs to review the coverage following a claim
the insurer needs to review the coverage following a claim
an agents renewal date for his/her license is on or before •january 1 every 2 years •the first day of the licensees birth month •december 31 every year •the last day of the licensees birth month
the last day of the licensees birth month
the oiga claim coverage is limited to? •the lesser of the policy limit or $30,000 •the lesser of the policy limit or $300,000 •the lesser of the policy limit or $10,000 •the lesser of the policy limit or $100,000
the lesser of the policy limit or $300,000
all of the following come under the definition of uninsured motorist except? •there exists no bodily injury liability bond or insurance policy covering the owners or operators liability to the insured •a person who has diplomatic or political subdivision immunity •the operator of a vehicle that is self insured •the liability insurer denies coverage to the owner or operator, or is or becomes the subject of insolvency proceedings in any state
the operator of a vehicle that is self insured
which statement is true regarding stacked and nonstacked ohio motor coverage? •the policy can include terms and conditions that only preclude the stacking of intrafamily coverages •the policy can include terms and conditions that preclude unstacked coverages •the policy can include terms and conditions that only preclude stacking of interfamily coverages •the policy can include terms and conditions that preclude the stacking of coverages
the policy can include terms and conditions that preclude the stacking of coverages
when the aggregate amount of gross written premium on business placed with a controlled insurer is equal to or greater than a certain percentage of the admitted assets of the insurer, the controlling insurer must include all the following into a contract with the controlling producer except? •on or before the first day of april •the controlled insurer must cease accepting business from the controlling producer •the controlled insurer must have an audit commitee •the producer may negotiate
the producer may negotiate, but must not bind, reinsurance on behalf of the insurer on business the producer places with the insurer
in order to apply to the ohio fair plan for coverage, all of the following must happen except •the property must be inspected •there can be no taxes or assessments outstanding •the property owner was turned down by at three or more insurers •if there are buildings code violations, they must be fixable
the property owner was turned down by at three or more insurers
which statement about the mine subsidence insurance fund is false? •there are liabilities created on the mine subsidence association, the ohio fair plan underwriting association, or the ohio insurance guaranty or its members •the state assumes any liabilities beyond the amounts paid into the fund •the treasurer of the state will be the custodian of the fund •the money in the fund is derived from premiums for reinsurance assumed by the mine subsidence association
the state assumes any liabilities beyond the amounts paid into the fund
which statement best describes "controlling producer" •the term "controlling producer" means a producer that, directly or indirectly, controls an insured •the term "controlling producer" means an insured that, directly or indirectly, controls an issuer •the term "controlling producer" means a producer that, directly or indirectly, controls an issuer •the term "controlling producer" means an insurer that, directly or indirectly, controls an issuer
the term "controlling producer" means a producer that, directly or indirectly, controls an issuer
when the laws of another municipality impose any taxes, fines, penalties, license fees, deposits, securities, or other obligations/prohibitions on insurance companies/agents of this state, this state will retaliate by? •the insurer and agents must file with the superintendent •the state will impose a 20% fine on the aggregate gross commissions •the insurance companies and agents will lose their certificate of authority •those same obligations will be imposed on the insurance companies
those same obligations and prohibitions will be imposed on insurance companies or agents from those municipalities or nations when doing business in this state
what is the purpose of the special provisions endorsement of a dwelling policy? •to identify the policy as covered by the ohio insurance guaranty association •to add additional exclusions •to add additional benefits •to adjust the terms of the standard policy to better reflect local conditions and state law
to adjust the terms of the standard policy to better reflect local conditions and state law
the goal of the second/subsequent injury fund is? •to encourage employers to retain and hire people with disabilities •to remove employees from the ohio fund list of disabled employees •to provide secondary education benefits to injured employees •to force self employed employers to reimburse the ohio fund on claims already submitted
to encourage employers to retain and hire people with disabilities
what is the purpose of the ohio insurance guaranty association? •to establish insurance coverage for insureds who tried but could not obtain coverage in the open market •to in force interstate inspectional power upon domestic and alien insurers •to provide claimants or policyholders some level of protection against the insolvency of an insurance company •the interpret insurance law and develop rules that assist members to remain compliant with insurance laws
to provide claimants or policyholders some level of protection against the insolvency of an insurance company
after how many weeks of temporary total disability benefits will an evaluation examination be scheduled? •two hundred weeks •twenty six weeks •thirteen weeks •fifty two weeks
two hundred weeks
an employee who suffers a wage loss by returning to work in a different position will receive compensation for a maximum of •thirteen weeks •fifty two weeks •twenty six weeks •two hundred weeks
two hundred weeks
an employee who is totally disabled for a period of ___weeks or more will be compensated for the no compensation period •two weeks •three weeks or more •four weeks •one week
two weeks
which statement regarding stacked or unstacked insurance is false? •stacking insurance can occur within one policy or across multiple policies •unstacked insurance is the default position for one car owner •stacked insurance is the combining of uninsured/underinsured motorist coverage limits •unstacked insurance increases uninsured/underinsured motorist coverage
unstacked insurance increases uninsured/underinsured motorist coverage
if the notice of cancellation has been mailed less than 30 days before the expiration date, how long will the coverage remain in effect? •until unearned are returned •until the expiration date •until the earlier of 30 days or the expiration date •until 30 days after the date of mailing the notice unless the insured has accepted the nonrenewal in writing
until 30 days after the date of mailing the notice unless the insured has accepted the nonrenewal in writing
