Director and licensing and oregon insurance laws and rules
A licensed adjuster A.may adjust losses on policies placed under a surplus line insurance license. B.may adjust losses only for an insurer. C.may adjust losses only for an insured. D.may only adjust losses for or against authorized insurers
A
The minimum combined paid-up capital and surplus required of a stock insurer, or the minimum surplus required of an insurer without capital stock is A.required capitalization. B,retention limit. C.insolvency. D.impairment
A
Except for title insurance, an insurer cannot retain risk on any one subject of insurance in excess of _____% of its surplus to policyholders unless it reinsures the excess. A.10 B.20 C.50 D.100
A.
A producer may charge a service fee for service additional to usual and customary service on A.personal lines insurance. B.commercial insurance. C.workers' compensation insurance. D.bonding and surety coverage
B
An insurer's retention limit is the maximum amount of insurance it may write A,in any state. B.covering any one subject of insurance. C.covering any one class of insurance. D.through any one agent.
B
When an insurance producer terminates an agency appointment, he must A.give 90 days' advance notice. B,give written notice to the Director within 30 days, and to the insurer. C.specify the reasons for the termination. D.forfeit all contract rights.
B
Which of the following is a charge made by a producer, with respect to an insurance transaction to a party other than the insurer, which is not a part of the insurer's rate filing? A.Rebate B.Service fee C.Consultation fee D.Premium
B
In general, an insurance company may terminate an agent's appointment A.at any time, without notice. Bat any time, after giving 90 days advance notice to the agent. C,only with prior approval from the Insurance Department. D.only on an anniversary of the original appointment.
B Termination can be at any time, provided notice and reasons are given 90 days in advance of the effective date. Notice need not be given 90 days in advance if the agent's license is terminated,
A licensed insurance producer is an agent of A.the policyholder. B.the insurer issuing the policy in all matters relating to the insurance application and policy. C.the insured. D.only one insurer under one license.
B. In. A licensed insurance producer is regarded as the agent of the insurer issuing the policy in all matters relating to the insurance application and policy. A producer may act as an agent and represent any number of insurers under one license.
A consultant can act as a consultant for A.for life insurance only B.for all lines of insurance, without any endorsements. C.for lines of insurance endorsed on his license only. D.for property and casualty insurance only.
C
A producer may terminate an appointment with an insurer A.at any time, with at least 30 days notice to the insurer. B.only with the insurer's written authority. C.at any time, and the producer has 30 days to notify the insurer and the state in writing. D.never; only the insurer has the legal authority to terminate appointments.
C
A termination notice is required to terminate a producer appointment on the basis that the producer A.is insolvent. B.failed to send balances to the insurer as agreed. C.failed to meet sales quotas agreed to with the insurer. D.engaged in intentional misconduct.
C
If an insurance producer does not renew his license within 12 months after the expiration date and wishes to obtain a license, he must A.complete 24 hours of education. B.pay a late fee. C.qualify for a license as if he were initially applying for a license. D.satisfy all renewal requirements.
C
Personal or controlled insurance is insurance sold A.by nonresident insurance producers B. to replace existing policies issued by the same insurer. C.by a producer to himself, his family, his employers or his employees. C.to persons solicited by a producer's employees.
C
An insurer must adequately respond to the Director within how many days after receipt of an inquiry about a claim? A.10 B.15 C.21 D.30
C Correct. An insurer must adequately respond to the Director within 21 days after receipt of an inquiry about a claim.
An insurer must generally complete an investigation within how many days after receipt of claim notification? A.20 B.30 C.45 D.60
C Correct. An insurer must complete an investigation within 45 days after receipt of claim notification, unless that time is unreasonable.
A licensee must provide a clear and conspicuous notice of personal information practices A.When he negotiates with a consumer B.When he provides any insurance products or services to a customer C.When he provides insurance products or services to be used primarily for personal, family or household purposes to a customer D.Within 30 days after providing insurance products or services to a customer
C.
An insurer may allow A.its auto policies to be offered without a separate charge to customers of an auto rental agency. B.its agents to personally guarantee that the prospect's auto policy would be renewed regardless of his driving record during the policy period. C.its agents to offer prospects cash value accumulation as shown in the life insurance policy sold. D.its agents to offer prospects benefits not shown in its policies.
C.
Premiums for controlled property and casualty business transacted by an producer in a calendar year were $150,000. Premiums for his noncontrolled property and casualty business were $140,000. As a result, A.he has not transacted an excessive amount of controlled insurance. B.he has received an unlawful rebate of $10,000. C.he has received an unlawful rebate equal to the commissions on $10,000 of excessive controlled insurance. D.he is subject to a fine, but not license suspension or revocation for selling excessive controlled insurance.
C. controlled premiums cannot excess uncontrolled premiums
An insurer must acknowledge notification of a claim or pay the claim within how many days after receipt? A.10 B.15 C.20 D.30
D
An insurer wanting to terminate an appointment must give written notice to do so if A.the insurer discontinues a class of insurance or ceases selling insurance in Oregon. B.the producer's insurance license is denied, restricted, revoked, suspended, or canceled. C.the producer's business is sold, transferred, or merged and the insurer has not appointed the successor. D.the insurer has received numerous complaints about the producer's failure to follow up on matters in a timely manner.
D
An insurer's notice of termination of an appointment must A.be delivered in person. B.be delivered by mail. C.be provided at least 30 days prior to the effective date of termination. D.specify the termination date and reasons for the termination.
D
Which of the following is rebating? A.Inducing an individual to lapse a policy with one insurer to buy one with another insurer B.Failing to remit premiums to the insurer C.Misrepresenting a policy to an insured D.A person is guilty of rebating if he does any of the following EXCEPT
D
Which of the following is true of a producer appointment? A.The contract may be written or oral. B.The appointment may not be terminated prior to its expiration date. C.The insurer must file notice of each appointment with the Director within 45 days after the effective date of the appointment. D.A producer may represent as many insurers under one license as may appoint her.
D An insurance producer may represent any number of insurers as long as he receives an appointment from each. The appointment must be under a written contract. The appointment is effective until the insurance producer license is terminated, or the appointment is terminated or not renewed. The insurer need not notify the Director of appointments.
A person is guilty of rebating if he does any of the following EXCEPT A.gives an insurance applicant $50 of his commission as an inducement to buy a policy. B.takes $50 from the agent in return for buying an insurance policy. C.offers a prospect any inducement to purchase insurance which is not specified or provided for in the policy. D.makes a false statement on an application in order to get money from an insurer.
D.
An insurer advertised interest rates on a Universal Life insurance policy that were not actually given in the contract for insurance. The insurer might be accused of which of the following? A.Rebating B.Defamation C.Twisting D.Misrepresentation
D.
Making false or maliciously critical public statements about an insurer's financial condition in the offer or sale of any insurance, with the intent to injure the insurer, is called A.twisting. B.conversion. C.inducement. D.defamation.
D.
Which of the following persons must obtain a consultant license to give insurance advice for a fee? A.An attorney-at-law acting as an attorney B.A financial institution or consumer finance licensee C.A person who provides consultant services only to a producer or insurer D.An insurance producer
D.
guaranty associations
The organization that exists to pay claims arising out of policies issued by member insurers that are insolvent
Director
administer the code fro the actual provisions which can be reasonably implied from the code: and other state laws. The director may conduct examination and investigation expressly authorized by the code to determine if the code has been violated .But may not make a law
records must
available and open to inspection during normal business hours for three years after the policy.
continuing ed
complete 24 hours of coursework and atleast three hours in Oregon statues and administrative rules and three hours of professional ethics.
temporary license
does not exceed 180 days does not require a written examination and will only be issued if the director determines it is necessary for servicing insurance business.
insurer formed under laws of another state is called
foreign
Authorized insurers
generally a person may only transact insurance for and insurer that is authorized to transact that type of insurance in Oregon through its certificate of authority
insurer being discriminating
has 10 days to correct the situation if the director believes its unfair or the discrimination is is willful the director can hold a hearing and the insurers license could be revoked or suspended.
service fee
is a charge arising out of an insurance transaction made by a producer to a party other than the insurer
insurance producer
is a person licensed under Oregon law to sell,solicit or negotiate insurance.
producer
is a person or a company and may or may not be a resident of Oregon that sells and solicits or negotiates insurance .
order
is and oral or written action by a state or government agency directed to one or more named persons outside the agency.
impaired insured
is one that is potentially unable to fulfill its obligations or is insolvent .
insolvent insurer
is one under a liquidation, conservation or rehabilitation order.
termination
means cancellation of the relationship between an insurance producer and the insurer or cancellation of a producer authority to sell, solicit or negotiate insurance for the insurer . must be delivered in mail and at least a 90 days before the termination date.
consultant
must be licensed as and insurance consultant and may only act as a consultant for classes of insurance (life ,health ,or property and casualty).
