primerica ch.5

What is controlled business?

Any coverage written on a producer's own life, health or property, and/or that of the producer's immediate family or business associates

How often does the commissioner examine domestic insurers?

every 5 years

How long does a licensee have to demand a hearing if his or her license has been suspended?

10 days

A license is required to notify the commissioner of a change of address within how many days?

30 days

How long must insurers maintain records of insurance transactions?

5 years

What is the minimum age to apply for a producer's license in this state?

18

When can producers share commissions?

when they have the same license

What constitutes rebating?

any inducement offered to the insured in the sale of insurance products that is not specified in the policy

What is the purpose of the guaranty association?

assist in the detection and prevention of insurer insolvency, pay claims to the policyholders of any insurers that become insolvent, assess member insurers the funds needed to carry out this coverage

What is the difference between an authorized/admitted and unauthorized/nonadmitted insurer?

authorized/admitted: insurers who meet the state's financial requirements and are approved to transact business in the state. unathorized/nonadmitted: those who have not been approved to do business.

What is the difference between domestic, foreign, and alien insurance companies?

domestic: insurance company that is incorporated in this state. foreign: insurance company that is incorporated in another state. alien: insurance company that is incorporated outside the US.

How many days does an insurer or licensee have to respond to the commissioner regarding a complaint?

15 days

Within how many days must the commissioner hold a hearing upon a request from a licensed person?

within 30 days after receipt

What are the continuing education requirements for agents in the state?

every 2 years, licensee must complete total of 24 credit hours of CE, including 3 credit hours on ethics training.

What are the duties of the commissioner?

making, adopting and enforcing rules, conducting examinations and investigations of insurance matters, requiring insurers to report any claims.

who is exempt from the licensing requirement in the state?

those who do not receive any commission

Under what circumstances can a temporary license be issued?

to the surviving spouse or court appointed personal representative of a producer who dies, to an employee of a business entity licensed as an insurance producer upon death, to the designee of an insurance producer entering active military service