Chapter 17/2: Florida General Regulations Continued

If a licensee is found guilty of a felony, how much time do they have to report it to the Florida Department of Insurance?

Each licensee must advise the department in writing within 30 days after having been found guilty of or having pleaded guilty or nolo contendere (no contest) to a felony or a crime punishable by imprisonment of 1 year or more under the laws of the United States, any state of the United States, or any other country, without regard to whether a judgment of conviction has been entered by the court having jurisdiction of such cases. The correct answer is: 30 days

How many hours of continuing education are required every 2 years for Florida life and health agents?

Life and health agents must complete 24 hours of continuing education every 2 years. The correct answer is: 24 hours

In order to sell variable annuities in Florida, which of the following is required?

Sale of variable annuity contracts may be made or solicited only by persons licensed by the Department of Financial Services to sell life insurance and variable annuity contracts. Agents must also have a securities license and have at least one appointment with an insurer. The correct answer is: All of the above

For which of the following can an agent lose their license?

The department will deny an application for, suspend, revoke, or refuse to renew or continue the license or appointment of any applicant or agent if it finds that one or more of the following conditions exist: Willful misrepresentation of any insurance policy or annuity contract or willful deception with regard to any such policy or contract, done either in person or by any form of dissemination of information or advertising. Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. The correct answer is: All of the above

In Florida, what is the minimum age to become licensed as an insurance producer?

The minimum age to become licensed as an insurance producer in Florida is 18. The correct answer is: 18

Which of the following penalties may be applied to an agent committing an unfair trade practice?

A licensee who commits an unfair trade practice is subject to having his license suspended, revoked, nonrenewed or nonissued. He may also be assessed a fine up to $3,500 and/or imprisonment for up to six months. The correct answer is: License suspension, revocation, nonrenewal or refusal to issue

How soon must agents notify the department of a change in address?

Agents must notify the department of a change in name, address, contact phone numbers or email address within 30 days of the change. The correct answer is: Within 30 days of the change

How much time does an agent have to report a change in address or phone number before a fine is assessed?

Every licensee must notify the department in writing within 30 days after a change of name, residence address, principal business street address, mailing address, contact telephone numbers, including a business telephone number, or e-mail address. The correct answer is: 30 days

In Florida, who pays the biennial agent appointment renewal fee?

The appointing insurer pays the appointment renewal fee for each appointed agent. The correct answer is: Insurers

Which of the following is a correct statement concerning an application?

Agents cannot make changes to the insurance application. No alteration of any written application for any life or health insurance policy shall be made by any person other than the applicant without his written consent, except that insertions may be made by the insurer, for administrative purposes only, in such manner as to indicate clearly that such insertions are not to be ascribed to the applicant. The correct answer is: All of the above

How much notice must an appointing entity give an appointee before their termination?

An appointing entity may terminate its appointment of any appointee at any time. Except when termination is upon a ground which would subject the appointee to suspension or revocation of their license and appointment, and except as provided by contract between the appointing entity and the appointee, the appointing entity will give at least 60 days' advance written notice of its intention to terminate such appointment to the appointee. The correct answer is: 60 days

How long may a licensed nonresident of Florida transact insurance before they must have a resident license?

Any individual who holds a Florida nonresident agent's license, upon becoming a resident of Florida may, for a maximum period of 90 days, continue to transact insurance in Florida under the nonresident license and appointment. Such individual must make application for resident licensure and must become licensed as a resident agent within 90 days after becoming a Florida resident. The correct answer is: 90 days

What is the biennial license fee for an insurance agent in Florida?

The agent appointment fee and biennial renewal is $60 (including tax), paid by each appointing insurer. The correct answer is: $60

Which of the following is true?

The application will disclose the name and license identification number of the agent as shown on the agent's license issued by the Department, which information will be legibly typed, printed, stamped, or handwritten. Upon completion of the application, a copy must be provided to the prospective insured. The correct answer is: An insurance application must have the agent's name and license number on the first page.

Which of the following must be shown on the first page of the application form at the time the premium is quoted?

All applications for an insurance policy or annuity contract must prominently display the name of the insuring entity on the first page of the application form at the time the coverage is bound or premium is quoted. Applications will also disclose the name and license identification number of the agent as shown on the agent's license issued by the department. The name and license identification number of the agent must be shown on the first page. The correct answer is: All of the above

Which of the following is false?

All persons performing the duties of an agent must be licensed as an agent in Florida. An insurance agency is any business location where individuals engage in the actions which may only be performed by a licensed insurance agent. Each insurance agency must have an agent in charge. Such person must be full-time at the particular agency location. All branch locations must also be licensed separately. One agent in charge can manage several branch locations. A life and/or health agent working out of his home does not need to license his home as an insurance agency. The correct answer is: All branch locations may also be licensed together.

Agents who have been licensed 25 years or more and have a CLU designation must complete how many continuing education hours every 2 years?

Agents must complete a minimum of 24 hours of continuing education courses every 2 years. At least 3 of the hours must be ethics. For life agents, at least 3 of the hours must cover suitability in annuity and life insurance transactions. Agents who have been licensed for 6 or more years must complete 20 hours of continuing education courses every 2 years. Agents who have been licensed for 25 years or more and have a CLU designation, or have a Bachelor of Science degree in risk management or insurance with evidence of 18 or more semester hours in upper-level insurance-related courses must complete 10 hours of continuing education courses every 2 years. The correct answer is: 10 hours

In Florida, how many appointments may an agent hold?

Agents may hold an unlimited number of appointments in the lines of authority for which licensure is held. The correct answer is: No limit

Agents who have been licensed for more than 6 years, but less than 25 years, must complete how many continuing education hours every 2 years?

Agents must complete a minimum of 24 hours of continuing education courses every 2 years. At least 3 of the hours must be ethics. For life agents, at least 3 of the hours must cover suitability in annuity and life insurance transactions. Agents who have been licensed for 6 or more years must complete 20 hours of continuing education courses every 2 years. Agents who have been licensed for 25 years or more and have a CLU designation, or have a Bachelor of Science degree in risk management or insurance with evidence of 18 or more semester hours in upper-level insurance-related courses must complete 10 hours of continuing education courses every 2 years. The correct answer is: 20 hours

How must the notice be given when an appointee is terminated?

The appointing entity will give at least 60 days' advance written notice of its intention to terminate such appointment to the appointee, either by delivery to the appointee in person or by mailing it, postage prepaid, addressed to the appointee at his last address of record with the appointing entity. Notice so mailed will be deemed to have been given when deposited in a United States Postal Service mail depository. The correct answer is: In person or by mail

Agents who have been licensed for less than 6 years must complete how many continuing education hours every 2 years?

Agents must complete a minimum of 24 hours of continuing education courses every 2 years. At least 3 of the hours must be ethics. For life agents, at least 3 of the hours must cover suitability in annuity and life insurance transactions. Agents who have been licensed for 6 or more years must complete 20 hours of continuing education courses every 2 years. The correct answer is: 24 hours

How much time does an appointing entity have to report a termination to the Florida Department of Insurance?

As soon as possible and at all events within 30 days after terminating the appointment of an appointee, other than for failure to continue or renew it, the appointing entity will file written notice of the termination of appointment with the department, together with a statement that it has given the appointee notice and will file with the department the reasons and facts involved in such termination. The correct answer is: 30 days

Which of the following is false?

Qualifications for life and health insurance agents in Florida: Individual is not found to be untrustworthy or incompetent, Natural person at least 18 years of age, United States citizen or legal alien with work authorization, Resident of Florida, Not an employee of the United States Department of Veterans Affairs or state service office, Not a funeral director, direct disposer or employee thereof, 40-hour pre-licensing education course, Take and pass the insurance state licensing examination for the lines of insurance licensure is desired The correct answer is: An insurance agent in Florida cannot be a legal alien.

How much is the fine if an agent fails to report a change in address or phone number in the required timeframe?

Failure to notify the department within the required time period will result in a fine not to exceed $250 for the first offense and, for subsequent offenses, a fine of at least $500 or suspension or revocation of the license. The correct answer is: $250 the first time and $500 the second time