Hawaii Common Law
A producer who is found guilty of a single unintentional violation of Unfair Trade Practice Regulations may be fined up to
$1,000
If, after a hearing the Commissioner finds that an insurer knew or reasonably should have known they were in violation of Unfair Trade Practice Regulations, he may issue a Cease and Desist order and impose a maximum total fine of
$50,000
If a producer writes a policy with an unauthorized insurer who refuses to pay a covered claim, the producer must pay how much percent of the claim?
100%
The insurer must notify the Commissioner of a producer's appointment within how many days of receiving their first application
15
A producer with a L&H or a P&C license must earn how many hours of CE every 2 years, 3 of which must be related to HI law
20
After a hearing, the commissioner may levy all of the following penalties on a producer who violated an Unfair Trade Practice Regulation EXCEPT:
6 months in jail
To which of the following could a producer pay part of her commission without violating any insurance regulations:
A partnership of which the producer is a member
All are true regarding a producers license EXCEPT:
A producer may continue to sell for up to 12 months on an expired license.
Of $100,000 in premiums producer Smith wrote over the past year $60,000 came from sales to Smith's family members, this is
A violation of the "controlled: business regulations
Conditions for a corporate insurance agency seeking a Hawaii producer's license include
All agency principals selling insurance to have an individual liucense
In authorizing an insurer to transact business in Hawaii, the Commissioner is
Allowing that company to legally do business in this state.
Clark's credit union refused his application for an auto loan unless he agreed to purchase credit life insurance from them. This is an example of:
Coercion
All of the following are considered to be misuses of Trustee funds EXCEPT:
Collecting interest on a customer balances held in a producers trust account, with their permissions
All of the following are requirements for obtaining a resident producer's license EXCEPT
Completion of pre-license training
A producer who procures a license for the principal purpose of obtaining insurance for herself, her family members or employees is violating the regulations concerning
Controlled Business
A producers license may be suspended or revoked for all of the following except:
Conviction of a misdemeanor
Domestic insurers must be audited by the Commissioner
Every 3 years
All are the duties of the Commissioner, EXCEPT
Examine insureds
A client may challenge the validity of a consumer investigation report under the
Fair Credit Reporting Act
All of the following are penalties that the Commissioner may levy when a producer fails to report a change of address within 30 days EXCEPT:
Fine up to $15,000
All of the following are included in the premium EXCEPT:
General Excise Tax
Which of the following is a producer Trustee duty:
Handling premiums
To obtain a Hawaii producer's license as a nonresident you must
Have a similar license in your home state
Mr. " R " is a corporate officer who works at the insurer's home office. If he does not sell insurance and does not receive commission
He does not need a producers license
A marketing program that relies on threats, fear or intimidation is known as
High pressure sales tastics
If a producer or insurer is found to have violated an insurance law, the Commissioner may do all of the following EXCEPT
Impose time in jail
As an insurance company, you represent:
Insurers
All are true about the State Guaranty Association EXCEPT:
It covers title and ocean marine insurance
All of the following are true regarding a producer's license EXCEPT:
It is issued for 1 year.
Which of the following is not one of the duties of the commissioner
Making rates
A producer's statement that the policy they are selling is similar to shares of stock is:
Misrepresentation
Which of the following is considered to be an Unfair Claims Settlement Practice
Misrepresenting policy provision
An example of Defamation, which is an Unfair Trade Practice is:
Misstating the financial condition of an insurer or producer
Which type of insurer may pay dividends to a policyholders:
Mutual
Which of the following is considered to be rebating
Offering Super Bowl tickets as an inducement to a sale
Which of the following would be considered to be a rebate
Offering to give part of the commission to a customer as an inducement to buy
Under Hawaii's Unfair Claim Practices regulations, when denying a claim an insurer must do all of the following except:
Pay a claim that occurs after the grace period has ended.
You need a producer's license to sell all EXCEPT:
Pre-Paid Legal Insurance
The purpose of insurance regulation is to
Protect the insurance buying public
Which is not prohibited under the Unfair Trade Practice Regulations
Readjusting group premiums based on loss or expense experience
Which of the following would not be considered an Unfair Claims Settlement Practice?
Refusing to pay a claim after conducting a proper investigation
Under Hawaii's Unfair Claims Practice regulations, all would be considered violations Except:
Requiring claimants to submit proof of loss
All of the following are violations of Hawaii insurance law EXCEPT:
Selling insurance with a nonresident license
Which type of government is primarily concerned with regulating insurance
State
Types of insurers that may be formed in this state include which of the following
Stock, mutual, and reciprocal
All of the following are true regarding producer's records EXCEPT:
The commissioner must pay all costs relatied to an examination
All of the following can void a policy written by an unauthorized insurer EXCEPT:
The insurer
All are true about "foreign" insurance companies EXCEPT:
They do not need a Certificate of Authority in Hawaii
All are true about temporary licenses EXCEPT:
They may be issued to new producers while they bare in training
You represent a large California based insurer who does business in all 50 states . All of the following are true EXCEPT:
You must obtain a producers license in all 50 states.
All are true regarding producer appointments EXCEPT:
a producer must be appointed at the time business is placed with an insurer
No foreign insurer shall transact insurance in this state without a
certificate of authority
A California based insurer cannot pay a commission to a Hawaii producer unless the producer is licensed
in Hawaii
All of the following are duties of a producer EXCEPT:
modifying insurance contracts
Which of the following correctly defines an "alien" insurer doing business in Hawaii
one formed under the laws of another country, but holding a certificate of authority in Hawaii
An insurer that is domiciled in another state may do business in Hawaii if:
they obtain a Certificate of Authority in Hawaii
An insurer or producer may not compensate a(n)
unlicensed producer
How many principals may a producer represent
unlimited
The commissioner may examine an authorized insurer
whenever prudent to enforce the insurance code
Insurers must respond to claims communications
within 15 working days