License

The commissioner has a duty to examine each domestic insurer admitted to transact insurance in Oklahoma at least once every

5 years

What term describes an individual domiciled and licensed as a resident agent in a state other than Oklahoma

A nonresident agent

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

A person who negotiates insurance contracts

The commissioner is placed in office by

Election

If the insured chose the reduced paid-up insurance nonforfeiture option

The amount purchased will be as much as the cash value will purchase at the insured's current age

The regulation of the insurance industry primarily rests with

The state

In the event of the death, disablement of a license, or other specifice vents, the Commissioner may issue temporary license to another person to continue their business of insurance. A temporary license is issued for a period not to exceed

6 months

An insurance company is domiciled in Montana and transacts insurance in Wyoming. Which term best describes the insurer's classification in Wyoming?

Foreign

If the Commissioner has reason to believe that a person or insurer has violated the Insurance Code, the Commissioner may set a hearing. The notice of the hearing must be given how many days in advance.

10 days

Any licensed person whose activities affect interstate commerce and who knowingly makes false material statements related to the business of insurance may be imprisoned for up to

10 years

Which of the following would NOT constitute doing the business of insurance in this state?

Examining insurer records

Which of the following criminal activities would be a sufficient violation to warrant rejection, revocation, or suspension of an insurance agent's license?

Forgery

The initial amount of credit life insurance may NOT exceed

The amount to be repaid under the contract

Who is responsible for paying producer appointment fees?

The appointing insurer

In the event of an admitted life insurer's insolvency, the maximum obligation of the Oklahoma Life and Health Insurance Guaranty Association for all cash surrender values under life insurance policies covering any one life is

$100,000

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.

Under what circumstances may a licensed agent hold a consultant's license?

Agents may not hold a consultant's license

Forcing a client to buy insurance from a particular lender as a condition of granting a loan is defined as

Coercion

All of the following acts constitute transacting insurance

Collection Premiums Preliminary insurance negotiations Delivering insurance contracts

Which of the following would NOT be considered an unfair and deceptive practice?

Controlled business

What type of insurance is known as consumer credit insurance?

Credit life and health

Which of the following is NOT allowed in credit life insurance?

Creditor requiring that a debtor buys insurance from a certain insurer

Which of the following terms describes making false statements about the financial condition of nay insurer that are intended to injure any person engaged in the business of insurance

Defamation

Renewal fees for all licenses are the same as the initial license. However, late application for renewal of a license requires a fee of

Double the original license fee

An applicant is denied insurance because of information found on a consumer report. Which of the following requires that the insurance company supply the applicant with the name and address of the consumer reporting company?

Fair Credit Reporting Act

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

IN which of the following situations is legal to limit coverage based on marital status

It is never legal to limit coverage based on marital status.

Which is NOT an act of transacting insurance?

Obtaining an insurance license

A participating insurance policy may do which of the following?

Pay dividends to the policy owner

Who might receive dividends from a mutual insurer?

Policyholders

All of the following information must be included on a producer's license EXCEPT

Producer's personal phone number

Under the Fair Credit Reporting Act if a consumer challenges the accuracy of the information contained in a consumer or investigative report, the reporting agency must

Respond to the consumer's complaint

All of the following are unfair claims settlement practices

Reusing to pay claims without conducting a reasonable investigation Failing to adopt and implement reasonable standards for settling claims Failing to acknowledge pertinent communication pertaining to a claim

Which is NOT required of an applicant for an insurance license in Oklahoma?

Submitting a bond to the Department of Insurance

If a policyowner wants to take out a loan from a life insurance policy, how much can he borrow?

The amount equal the cash value

Every licensed agent must notify the Commissioner of any change of the address shown on the license

Within 30 days after the change

Which of the following is NOT required of a business entity applying for its required insurance producer license?

Ensuing that all employees of the business have passed an insurance licensing exam

On a participating insurance policy issued by a mutual insurance company, dividends paid to policyholders are

Not taxable since IRS treats them as a return of a portion of the premium paid

Which of the following is included on the certificate for credit life insurance?

The effective date and termination date

Federal law makes it illegal for any individual convicted of a crime involving dishonesty or breach of trust to work in the business of insurance affecting interstate commerce

Without receiving written consent from an insurance regulatory authority

Which of the following licensees is NOT compensated directly related to the amount of insurance sold?

Insurance consultant

According to the Oklahoma law, the term "insurance agent" is synonymous with which of the following terms

Insurance producer

An individual or legal entity appointed by insurer to exercise supervision over the business of that insurer in Oklahoma is known as a/an

Managing General Agent

To become licensed to transact insurance in Oklahoma, an individual must meet all of the requirements

Meet the specified age limit of 18 Pass a licensing examination Pay licensing fees specified by the state An insurance producer is not required to be a resident of the county in which he or she transacts insurance

If a producer allows his or her license to lapse, what is the maximum time period during which the producer can reinstate the license without having to retake the examination?

12 months

How many days does a producer have to respond to the Commissioner's inquiry regarding a claim

20 calendar days