Ch. 5 Quiz

An applicant whose license has lapsed during active military service will be granted a new license if an application is made within what time period after the lapse?

5 years

Which of the following would be required to submit fingerprints with the license application?

A new producer applying for a resident license

Which of the following persons is required to hold a producer license?

A person who negotiates insurance contracts

Which of the following would be considered an unfair claims settlement practice?

Advising the insured that if the claim goes to arbitration, the insured would probably receive less than what is currently being offered

Which of the following would NOT be a violation of state insurance regulations?

Agent C uses her license to write only business other than controlled.

A producer whose license is revoked or whose application for a license is denied will be ineligible to reapply for any license for at least

5 years

Which of the following entities investigates and negotiates settlement of claims arising under insurance contracts?

Adjusted

An insurer publishes intimidating brochures that portray the insurer's competition as financially and professionally unstable. The insurer is hoping that this advertising will help eliminate the competition and therefore create a monopoly. Which of the following best describes this act?

Illegal

A nonresident agent is allowed to conduct insurance transactions in Georgia because his home state allows Georgia residents to transact insurance business in it. This is known as a/n

Reciprocity agreement

Which of the following would be considered an illegal inducement to purchase insurance?

Confirming future dividends in a life insurance proposal

Which of the following types of licenses is solely responsible for offering advice on insurance policies for a fee?

Counselor

How often does an agent's insurance license expire?

Every 2 years

A willful violation of an agent's fiduciary responsibility that involved funds exceeding $1,000 will be considered

Felony

An agent commingled $500 of insurance premiums collected with new applications with his personal funds. The agent could be found guilty of a

Misdemeanor

Which of the following is an example of a producer's fiduciary duty?

The trust that a client places in the producer in regard to handling premiums