The Insurance Marketplace
After a cease and desist order is final, if the Commissioner finds that the person has continued to willfully violate the insurance code, what penalty may be applicable in addition to initial penalties?
$55,000 fine
If a claimant contacts an agent regarding her life insurance policy and clearly expects a response, within what span of time must a complete response be issued?
15 days
When an agent doesn't hold any active appointments with insurers, what happens to the agents license?
It becomes inactive
What are the consequences for failure to comply with the Commisioners office while it is executing a seizure order?
Its a misdemeanor punishable by a fine of $1,000 one year imprisonment or both
When can earned surplus be returned to the policyholder?
Whenever it exists and it's not needed for other expenses
In a conservation or liquidation effort, what power does the Commissioner have?
Complete control over the assets of the insolvent company, power to sue company officers and power to sell the company's assets until all creditors are paid
What's true about an insurers Earned Surplus?
Earned Surplus are unassigned funds that are required to be reported on the insurers annual statement
If the department of insurance requests information from an agent regarding a claim, this must be provided within how many days?
21 days
Which of the following terms describes making false statements about the financial condition of any insurer that are intended to injure any person engaged in the business of insurance?
Defamation
Which of the following best describes an unfair trade practice of defamation?
Making derogatory oral statements about another insurers financial condition
If a licensee wants to terminate her agents license but it is in the possession of her employer, what is true?
She can terminate the license by sending the Commissioner a written notice
Which of the following is the closest term to an authorized insurer
Admitted
How often must every insurer doing business in California report its financial condition to the Commissioner?
Each year, on or before March 1
The claims department would be responsible for investigating what?
Possible fraudulent claims by an insured