NV common insurance law quiz (4)
Which of the following is not considered a rebate?
Offering a client a multi-policy discount
When you receive clients' money, which of the following is a true statement?
The funds must be kept separate from all other funds, deposited in a fiduciary account
Which of the following is not consider a rebate? a. Offering a client a multi-policy discount b. Returning part of your premium to your client c. Any inducement to buy that is not stated in the policy d. Giving clients who buy policies from you $100 gift cards
a. Offering a client a multi-policy discount
When a client is due a return premium that is in your possession, how long have to remit the return premium to your client? a. 10 days b. 30 days c. 90 days d. 15 days
b. 30 days
Misrepresentation is prohibited and includes all of the following except: a. Misrepresentation of the benefits or terms of any insurance policy b. Projecting a dividend on a participating policy c. Misrepresentation of the effects of a loan on a policy d. Using a misleading name for a policy
b. Projecting a dividend on a participating policy
Whenever a loss is believed to have been caused by an intentional fire (arson), the insurer is required to notify an investigative or law enforcement agency. An investigative or law enforcement agency includes all of the following except: a. The State Fire Marshall b. The insurance company c. The chief of the fire department in whose jurisdiction the fire has occurred d. The district attorney of the county where the fraudulent activity occurred
b. The insurance company
Which of the following is true regarding assessments made by the Nevada Insurance Guaranty Association (NIGA) a. Assessments are equal against all member insurers b. Assessments are only made against insurers that are within their first five years of membership c. Assessments are made proportionally against all members insurers d. An insurer can decline to participate in assessment, in exchange for reduced coverage
c. Assessments are made proportionally against all members insurers
Regarding life or health insurance which of the following is allowed if the applicant is blind? a. Charging the person a higher rate solely due to blindness b. Refusing to insure the person solely due to blindness c. Charging the person a rate based upon his or her age d. Limiting the person's coverage
c. Charging the person a rate based upon his or her age
Which of the following would be considered defamation? a. Returning premiums paid to clients as an inducement to buy b. Requiring the client buy insurance from you as a condition to a loan c. Making a maliciously critical statement regarding an insurer calculated to injure the insurer's reputation d. Stating that the insurer is having financial difficulties when that is a true statement
c. Making a maliciously critical statement regarding an insurer calculated to injure the insurer's reputation
Which of the following properly describes twisting? a. Policy replacement when your client has had a policy for less than one year b. Policy replacement in which your commission is greater c. Policy replacement that is to the detriment of your client d. Policy replacement that is in your client's best intereset
c. Policy replacement that is to the detriment of your client
Covered claims of the Nevada Insurance Guaranty Association (NIGA) include which of the following? a. Coverage exists only for claims that occurred prior to the determination of insolvency (無力償還) b. Coverage exists only for claims turned in within 60 days of insolvency c. Coverage exists only for claims turned in within 30 days of insolvency d. Coverage exists for those claims that exists prior to insolvency and those that occur within 30 days of the determination of insolvency
d. Coverage exists for those claims that exists prior to insolvency and those that occur within 30 days of the determination of insolvency
In investigating insurance fraud the Attorney General may request all of the following information regarding the claim except: a. Information regarding the policy of insurance on the property to which the claim relates b. Information on previous claim made by the insured c. Records of the premiums paid for the policy of insurance d. Results of a polygraph test
d. Results of a polygraph test
Obligations of the Nevada Insurance Guaranty Association (NIGA) include all of the following except: a. Workers' compensation claims paid without limit b. Up to $300,000 for each policy when the claim is for the return on unearned premiums c. The limit specified in the policy, or $300,000, which ever is less d. Up to $500,000 for each policy when the claim is for the return on unearned premiums
d. Up to $500,000 for each policy when the claim is for the return on unearned premiums
All of the following would be considered insurance fraud except: a. Accidentally misinforming a client b. Knowing defrauding or attempting to defraud an insurer c. Purposefully committing an act of misrepresentation d. Engaging in a deceitful practice
a. Accidentally misinforming a client
Coverage provided by the Nevada Insurance Guaranty Association (NIGA) includes all of the following except: a. The entire amount of the claim for workers' compensation b. Unlimited coverage for return of unearned premiums c. Up to $300,000 for each policy if the claim is for return of unearned premiums d. The limit specified in the policy, up to $300,000, whichever is less
b. Unlimited coverage for return of unearned premiums
Every producer of insurance shall keep complete records of transactions under his or her license a. One year from the date of sale b. Five years from the date of sale c. Three years after expiration of the policy d. Six year after expiration of the policy
c. Three years after expiration of the policy
Which of the following statements regarding sex or marital status is correct? a. Nevada law allows marital status to be used for the purpose of determining eligibility for dependent or family coverage b. The amount of benefits payable may be restricted based upon sex or marital status c. The type of coverage may be modified based on marital status d. Policy riders may be available only to only men and not women
a. Nevada law allows marital status to be used for the purpose of determining eligibility for dependent or family coverage
When is a producer allowed to pay a commission to others? a. When the person with whom the commission is shared holds the license required by law b. When the commission paid to others is properly disclosed c. When the commission paid is not in addition to a fee d. At anytime
a. When the person with whom the commission is shared holds the license required by law
If an assessment is made by the Nevada Life and Health Guaranty Association it is due when: a. Within 30 days after receipt of written notice b. Within 10 days after receipt of written notice c. Within 40 days after receipt of written notice d. Within 60 days after receipt of written notice
a. Within 30 days after receipt of written notice
Which of the following is not an unfair claims practice? a. Attempting to settle on the basis of an application which was altered b. Failing to settle claims promptly c. Advising an insured not to seek legal counsel d. Starting with the denial of the claim the reason why the claim was denied
d. Starting with the denial of the claim the reason why the claim was denied
When is it allowable for renewal commissions to be paid? a. Anytime b. If the person had held a license for 5 years c. If the person was properly licensed at the time of the sale d. If the renewal commission is less than $500
If the person was properly licensed at the time of the sale
Which of the following types of accounts would not be appropriate for depositing clients' premiums received into: a. A brokerage account b. A checking account that bears interest c. A time deposit d. A savings account
a. A brokerage account
Coverage provided by the Nevada Life and Health Guaranty Association include all of the following except: a. $300,000 in life insurance death benefits b. $500,000 in cash surrender benefits c. $300,000 for disability insurance d. $100,000 in the present value of an annuity
b. $500,000 in cash surrender benefits
To deny insurance on the basis of a person's marital status is: a. Allowed under state law b. Considered unfair discrimination c. Allowable with permission of the Insurance Commissioner d. Considered a category D felony
b. Considered unfair discrimination
A person found guilty of insurance fraud is guilty of which of the following? a. A misdemeanor b. A class A felony c. A category B felony d. A category D felony
d. A category D felony
All of the following would be practices prohibited by Nevada's Unfair Discrimination laws except: a. Denying coverage to women who are gainfully employed by relatives when coverage is offered to men who are similarly employ b. Denying policy riders to women when the riders are available to men c. Denying maternity coverage to unmarried women when such coverage would be made available to married applicants d. Treating a complication of pregnancy the same as any other illness or sickness covered by the policy
d. Treating a complication of pregnancy the same as any other illness or sickness covered by the policy
