Primerica Part 5
The Commissioner of Insurance issues a Cease and Desist Order and immediately receives a request fir the charges to be reviewed in a hearing. Within how many days must the hearing be held?
10 days
What is the minimum required number of continuing education credits in ethics every licensing period?
2 hours
Agents whose license has been revoked will not be able to receive another license in Texas for at least
5 years
A temporary license is normally valid for
90 days
Who is considered a nonresident agent?
An agent who resides in another state, but is licensed to write insurance in this state.
A life agent's license must be renewed
Every 2 years on the anniversary date of issuance
statute
a formal written law enacted by legislature; insurance statutes can be found in the state Insurance Code
reciprocity
a mutual interchange of rights and privileges
Which of the following persons is required to hold a producer license? a. a directer of the insurer who administers employee benefits. b. a salaried employee who creates insurance advertisements c. a nonresident agent who negotiates insurance contracts d. an agent's administrative assistant who takes messages related to claims
a nonresident agent who negotiates insurance contracts
inducement
an offer that attempts to influence the other party
What is NOT an example of a company's location of incorporation? a. authorized b. domestic c. foreign d. alien
authorized
moral turpitude
conduct that is contrary to community standards of justice, honesty or good morals
An insurer who deliberately makes a malicious statement about another insurance company is guilty of an illegal trade practice called
defamation
How often must producers renew their licenses?
every 2 years
coercion
forceful act or threat aimed to influence a person to act against his or her will
In an insurance transaction, who does a licensed agent represent?
insurer
home office
insurer's headquarters, principal place of business
exempt
not subject to an obligation
All would be considered an insurance transaction EXCEPT a. soliciting a policy b. advising a policyowner regarding a claim c. negotiating coverage d. obtaining an insurance license
obtaining an insurance license
commission
payment to the agent by the insurance company for placing insurance, usually a percentage of the policy premium
An agent who offers a cash reward to a prospect for buying a policy is guilty of
rebating
restitution
restoration to the original condition or repayment
The Commissioner of Insurance is responsible for all of the following actions EXCEPT a. issuing Certificates of Authority b. enforcing the Insurance Code c. setting premium rates d. issuing cease and desist orders
setting premium rates
commissioner
the head of the State Department of Insurance
What is the main purpose of requiring licenses for persons who transact insurance?
to protect the general public
cease and desist
to stop or discontinue
insolvent
unable to meet financial obligations