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12 Cards in this Set
- Front
- Back
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How is the Director of Insurance selected for the office? |
They are appointed by the Governor. |
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What are the broad powers and duties of the Director of Insurance? |
Regulate the internal affairs of the Department of Insurance. Prescribed forms and procedures to be followed in proceedings before the department. Aid in the interpretation of any state law insurance. Withdraw or amend any rule or regulation. |
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When can the Director examine the insurers books or records? |
As often as deemed necessary but not less than every 5 years mandatory. |
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What is the purpose of a cease-and-desist order? |
To require the person to stop committing the violation. |
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What are the applicable penalties for engaging in unfair methods of competition or unfair trade practices? |
Cease and desist order licence denial, suspension, revocation, monetary fines, other penalties established by state laws. |
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Who is exempt from the licensing requirement in this state? |
Anyone who does not receive any Commission and is not directly or indirectly involved with an actual cell of an insurance contract. |
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What qualifications must a candidate for a producer license meet in this state? |
18 years old, file an application with the application and pay $100 license fee, pass each examination, not committed any act that is grounds for license denial, suspension or revocation. |
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What are the continuing education requirements for producers in this state? |
16 hours every 2 years, 3 of which (or more) must be related to ethics, state law and producer duties. |
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Upon what grounds can the Director revoke or suspend a producer license? |
Anything proved in court or having been admitted to and been convicted. |
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What is the difference between an authorized / admitted and unauthorized / non-admitted insurer? |
Unauthorized insurers are those who have not been approved to do business in the state |
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What constitutes rebating? |
Any inducement offered to the insured in the sale of insurance products that is not specified in the policy. It is illegal.
Inducements- when customers offer rebates to the insurance agents. |
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What is the purpose of the Life and Health Guaranty Association? |
To protect policyholders, etc. from any type of insurance company going bankrupt. There are limits to the guaranty. |
