Chapter 8 Life Insurance Questions

Boycott, Coercion, Intimidation

A mortgage company requiring the applicant to buy insurance from it as a condition for receiving a loan is an example of which of the following?

30 Days

Admitted life insurers must pay interest, at a rate specified by law, on death benefits from the date of the insured's death, through how many days following the date the insurer receives the claim?

An insurer failing to pay a first-party property and casualty claim within 30 days, except for reasonable dispute, shall be fined

All of the following are penalties for unfair claims practices, except:

Term Life

Regulations governing replacement of life insurance policies would apply to which of the following policy types?

Fine the producer up to $3,000 for the violation

The Commissioner may assign penalties in addition to those authorized by law, including:

Issued insufficient coverage to a customer through apparent authority

The Commissioner may revoke, suspend, or refuse to renew a license for each of the following, except:

The applicant/licensee had a license revoked or suspended in another state

The Commissioner may suspend or revoke a licensee/applicant's license, or deny a license application, for which of the following reasons?

A person who solicits or negotiates membership enrollments in a health care plan

The definition of a Colorado producer includes which of the following?

A producer may split commissions with another person, partnership, or corporation, as long as they are licensed

All of the following are true regarding a producer's responsibility regarding payment for and the acceptance of commissions and fees, except:

The Commissioner may require an insurer to submit advertisements for review and approval

All of the following are true regarding life insurance advertising, except:

There must be at least 3 months between enrollment periods for individual coverage

All of the following statements are true regarding rules for solicitation, except:

5 Business Days

An insurer replacing a life policy must notify the existing insurer of the proposed replacement within how many days of receiving an application?

At least 50 hours of an approved course including 3 hours of ethics

Each applicant for an insurance license must provide evidence to the Commissioner of completion of the following:

The insured, only

Group life death benefits may be assigned to a party other than the beneficiary by:

24

How many credit hours of continuing education must a producer complete every renewal period?

30 days

If a producer is the subject of criminal prosecution in any jurisdiction, the producer must report to the Commissioner after the initial pretrial hearing date within what time period?

Holding a hearing

If the Commissioner suspects that a license holder has violated state law, the Commissioner may revoke, suspend, or refuse to issue or renew such person's license by:

5 years

In Colorado, how long must an insurer maintain files containing the advertisements it has used?

15

In Colorado, the Free Look period for life policies is set at how many days?

A Labor Union Trust

In Colorado, which of the following would be considered an eligible group?

Rebate

Offering anything such as a rebate, premium discount, credit, service or anything of value that is not specified in the policy is considered?

Controlled business

Procuring insurance on the life of one's employer is which of the following?

Immediately

When must the Buyer's Guide and disclosure document be delivered to an applicant for the purchase of an annuity, if the producer meets with the applicant in person?

A person who solicits, negotiates effects, procures, delivers, renews, continues or binds insurance, memberships in a prepayment health care plan or enrollments in a state health care plan

Which of the following individuals/entities is required to be licensed?

The death benefit is not liable to garnishment or debts without the insured's directive

Which of the following is true about group life insurance death benefits?

An insurer must pay interest on death benefits from the date of the insured's death through the 30th day following the date the insurer receives the claim, unless the beneficiary elects not to receive the proceeds in a lump sum

Which of the following is true regarding interest on life insurance proceeds?

The replacing insurer and existing insurer must retain records relating to replacements for 5 years

Which of the following is true regarding the duties of replacing and existing insurers?

Equity Indexed annuities

Which of the following types of annuities is subject to the Disclosure Requirements?

Every licensed insurer

Who among the following doing business in Colorado is required to prepare, implement, and maintain an insurance anti-fraud plan?

Maintain separate bank accounts for each insurer the producer represents

With respect to a producer's fiduciary capacity, producers must do each of the following, except: