Ch.5 Quiz General State Law
A
If the director suspects that someone has committed a fiduciary violation under the law the director could do which of the following? A) Issue a cease and desist order B) suspend their bank accounts with the premium dollars in it C) have their agency contracts cancelled D) suspend their license at renewal
A
The director upon receiving a complaint would do which of the following? A) issue a cease and desist order B) send a notice of revocation C) fine the person D) contact the governor
D
If a producer misrepresents the terms of policy in order for you to replace one policy with another, the producer has committed which of the following? A) illegal inducement B) misrepresentation C) fiduciary violation D) twisting
B
If a producer purposely lies on an application for insurance he has committed which violation under the law? A) fiduciary violation B) Misrepresentation C) Twisting D) Defamation
B
An insurance agency will place you in a drawing for a free trip if you purchase a policy from them. This is an example of which of the following? A) misrepresentation B) illegal inducement C) twisting D) fiduciary violation
C
An unlicensed individual can do all of the following except? A) take claim information B) take the information necessary to file out an application C) give advice to an insured regarding their insurance policy D) set up appointments for a producer
C
Chapter 45 of the insurance code dealing with fraud states that all of the following are considered financial losses except? A) loss of use B) replacement and repair cost C) Additional premium D) Legal costs
D
How many days does the producer have to inform the director of a change of name? A) 15 B) 60 C) 3 D) 30
C
How many hours of continuing education must a producer do every 2 years? A) 15 B) 30 C) 24 D) 3
A
If a producer does not pay their fine commissioner/Director could do which of the following? A) revoke the producer's license B) Seize the producers business bank accounts C) put the producer in jail D) make the producer appear before a judge
C
If a producer does not turn over money to the insurer in a timely manner they have committed which of the following violations? A) twisting B) misrepresentation C) fiduciary violation D) rebating
C
If a producer forges someone else's name on application the Director has the power to do all of the following except? A) place the producer on probation after finding him guilty B) revoke the producer's license after finding him guilty C) Make the producer inform all of his other clients D) Fine a producer after finding him guilty
D
If a producer knowingly violates the insurance code the director can impose a MAXIMUM fine of how much per violation? A) $10,000 B) $500 C) $25,000 D) $2,500
C
If a producer lies on their license application they have committed which violation under the law? A) defamation B) fiduciary violation C) misrepresentation D) twisting
B
If a producer makes a false statement on a claim form the producer has committed which violation under the law? A) misrepresentation B) fraud C) twisting D) fiduciary violation
A
Someone who holds a counselors license and no other license may do which of the following? A) give advice about insurance for a fee B) Sell insurance C) negotiate insurace D) Solicit insurance
intimidation
Someone who uses threats in order to have insured's buy insurance polices from them has committed which violation under the law? A) twisting B) fiduciary violation C) intimidation D) misrepresentation
A
To receive a deferred commission which of the following must be true? A) you need to be licensed as a producer at the time of the sale B) you needed to have your requirements for licensing completed by the time of the sale C) you need to be licensed as a broker at the time of the sale D) you need to only have applied for a license at the time of the sale
D
Under consumer privacy laws the producer must disclose all privacy information at which of the following times? A) 10 days after initial contact B) At the time the policy is delivered C) 30 days from the effective date of coverage D) during the initial transaction
C
Under the consumer privacy act a producer could share an insured's private information with all of the following except? A) an investigator B) third party used for driving record verification C) a non-affiliated third party D) Underwriter of the insurer
C
When a business entity wants to get licensed they need to do all of the following except? A) Complete an application B) pay a fee C) receive special from the director D) Designate an individual who holds a producer's license to act as the compliance officer
A
When a person involved in the insurance industry makes maliciously critical statements about the financial condition of the insurer they have committed which of the following violations? A) defamation B) discrimination C) rebating D) misrepresentation
D
When a producer is being terminated they would receive that notice of termination from who? A) the agency owner B) the director of the department of insurance and financial services C) the governor's office D) the insurer
A
When an agent is doing their concentration on a specific subject how many hours doe they have to do? A) 3 B) 6 C) 10 D) 1
D
When the producer is doing their continuing education they must have a concentration of hours in which topic? A) personal lines B) errors and omissions C) Property insurance D) Ethics
C
Which of the following actions can the director take? A) fine the producer based on an initial complaint B) enforce a subpoena C) revoke the producer's license after finding them guilty in a hearing D) put the producer in jail
D
Which of the following actions would require notification to the department of insurance and financial services? A) change of marital status B) change a phone number C) change an occupation D) change of name
A
Which of the following would need a license? A) a business entity soliciting insurance policies B) the president of the insurer C) an accountant in an insurance agency D) someone enrolling people in group plan
B
Which of the following would not be a violation of the unfair claim statute? A) denying a claim conducting a reasonable investigation B) not calling the insured back within a day of them contacting you C) misrepresenting the terms of the contract D) Failing to timely inform the insured what constitutes a valid proof of loss
B
Which of the following would not be considered a violation of the rebating statute? A) give a $20 gas card B) giving a $5 pen with the company logo C) giving a $20 shirt with the company logo D) giving a $25 bag with the company logo
D
Within how many days of a producer signing a contract to represent an insurer must the insurer file the notice of appointment? A) 10 B) 30 C) 5 D) 15
