Florida Statutes, Rules, and Regulations Common to All Lines - Questions
In what way can an agent demonstrate a high standard of ethics?
Putting the client's best interests before their own
An agent has been convicted of a crime punishable by a 1-year imprisonment. Within how many days must the agent notify the department of insurance?
30 days
If an insurance company makes a statement that its policies are guaranteed by the existence of the Insurance Guaranty Association, that would be considered
An unfair trade practice
An insurance company has published a brochure that inaccurately portrays the advantages of a particular insurance policy. What is this an example of?
False advertising
Which of the following entities is not an insurer but an organization formed to provide insurance benefits for members of an affiliated lodge or religious organization?
Fraternal benefit society
When an insurer terminates an agent's appointment, the insurer must do all of the following EXCEPT
Provide a 30-day advance notice to the Commissioner
What method do insurers use to protect themselves against catastrophic losses?
Reinsurance
Who examines the books and records of insurance companies in Florida?
The Chief Financial Officer
Which of the following entities is responsible for agent licensing and administrative supervision?
The Office of Insurance Regulation
An insured submits a proof of loss form within 10 days of a loss. The isnurer, however, does not acknowledge the form for 3 months. Which of the following violations has the insurer committed?
Unfair claims settlement
All of the following would be considering rebating EXCEPT
An agent misrepresents policy benefits to convince a policyowner to replace policies.
What is reinsurance?
An agreement between a ceding insurer an assuming insurer.
How are state Insurance Guaranty Associations funded?
By their members - authorized insurers
When applying for an individual life insurance policy, an applicant states that he went to the doctor for nausea, but fails to mention that he was also having severe chests pain. This is an example of
Concealment
Which of the following is NOT a responsibility of the Office of Insurance Regulation?
Enacting new insurance laws
An agent's client needs additional insurance which the agent's own insurer cannot provide. The agent has to solicit additional coverage from another authorized insurer. This coverage is known as
Excess
An agent's appointment has been denied. Which of the following is true?
State taxes may be refunded upon a written request.
Which of the following insurers are owned by stockholders who have the usual rights of ownership, including the right of voting?
Stock
On its advertisement, a company claims that it has funds in its possession that are, in fact, not available for the payment of losses or claims. The company is guilty of
Misrepresentation
