Insurance regulation quiz

How much is an agent's appointment fee?

$5

Within what time period after completing pre-licensing education must an applicant file certificate of education completion with the Commissioner?

12 months

If an insurer wishes to appoint a producer, it must file a notice of appointment within how many days of the date that the contract is executed

15 days

If an insurer terminates a producer, the Commissioner must be notified. How many days does the insurer have to deliver this notice?

30 days

Within how many days does a licensee have to inform the Commissioner of a change of address

30 days

If a licensee does not earn 24 hour of continuing education by the license review date, the license will be suspended for up to how many days?

90 days

When an insurance agency published an advertising brochure, it emphasized the company's financial stability and sound business practices. In reality, its financial health is terrible, and the company will soon have to file for bankruptcy. Which of the following terms best describes the advertisement?

False financial statement

Producers are permitted to share or split commissions, providing that

Both are properly licensed for the line of insurance

When a producer was reviewing a potential customer's coverage written by another company, the producer made several remarks that were maliciously critical of that other insurer. The producer could be found guilty of

Defamation

All of the following could be considered rebates if offered to an insured in the sale of insurance EXCEPT a. An offer to share in commissions generated by the sale b. Dividends from a mutual insurer c. An offer of employment d. Stocks, securities, or bonds

Dividends from a mutual insurer

In which of the following situations is it legal to limit coverage based on marital status?

It is never legal to limit coverage based on marital status

Which of the following best describes the unfair trade practice of defamation?

Making derogatory oral statements about another insurer's financial condition

An out-of-state producer wants to start selling insurance in this state. What type of license should the producer obtain?

Nonresident

It would be considered unfair discrimination to ask an insurance applicant about which of the following and then use that information as a rating factor to determine insurability?

Sexual orientation

Which of the following individuals could qualify for temporary insurance license?

The designee of a producer that is called to active service with the Navy