Rules & Regulation

Question 1

What is an insurance Contract?

Answer 1

Policy & App, agreement Between policy owner and insurer; for consideration, indemnify insured at loss

Question 2

Acts considered Transacting Insurance?

Answer 2

Solicitation, negotiations preliminary, execution of insurance contract, transaction matters, insuring

Question 3

Consequence: Issue ins. Contract under an unauthorized insurer

Answer 3

Held personally liable, suspension or revoke license, max fine of $2500
Commissioner order replacement of policies

Question 4

Days foreign or alien insurer has to plead, answer to commissioner if suit is brought against?

Answer 4

40 Day

Question 5

Wa Life & Disability Ins Guaranty Association

Answer 5

Protects, $500,000 max

Question 6

Wa Life & Disability ins guaranty Assoc Two Accounts ??

Answer 6

Disability, Life Ins and Annuity

Question 7

What’s a Fraternal Benefit Society?

Answer 7

Charitable not ins, Ins Benefits for member w lodge religious org, fraternal org.
No property or liability

Question 8

Commissioners Gen Powers ?

Answer 8

ACMIIDA
Adopt Rules
Conduct Exams
Maintain Confidentiality
Issue cease and desist order
Issue insurance license
Disseminate information
Appoint Chief Deputy Commissioner

Question 9

Purpose of the Commissioners ability to exam insurance companies ? How often?

Answer 9

Ensure companies remain SOLVENT, following state laws
As often as necessary, every 5years

Question 10

Days to respond after notice of hearing?

Answer 10

90 Days

Question 11

Days Commissioner has to hold hearing for temporary suspension?

Answer 11

30 Days

Question 12

Days in advance filings should be made before issuance? Disapprove?

Answer 12

30 Days
15 days Disapprove

Question 13

Max Days for temp license?

Answer 13

180 Days

Question 14

Temp license for who?

Answer 14

Spouse of producer who dies for prod recovery, sale of business, training
Member or employee
Designee for producer enter active service

Question 15

Insurer must file a notice of appointment in how many days?
Will receive verification?
Days to be deemed ineligible?

Answer 15

15 Days
30 Days
10 Days

Question 16

License Renewal Period ?

Answer 16

Initial: last day of birth month plus a year
After: 2 Years

Question 17

Late Renewal Fees

Answer 17

First 30: 50%
31-60 Days: 100%
61-12 months: 200%

Question 18

DRLP
Designated Responsible Licensed Person serves what purpose to an insurance company ?

Answer 18

Responsible to ensure insurer is in compliance with Laws

Question 19

Suspension notice for Felonies ?

Answer 19

15 days

Question 20

Suspension period for felony?

Answer 20

No longer than 12 months

Question 21

Consequences for transacting insurance
w/o a license?

Answer 21

Class B Felony
Cease and desist
Suspend or revoke
No more than 25,000$

Question 22

Fines for licensed found guilty of violating insurance code?

Answer 22

1,000$ for each offense
Paid fully within 15 - 30 Days

Question 23

Receipt should contain ?

Answer 23

Prod. Name and address
Insurers full name
Name of person who paid
Amount received
Identity of contract and discript

Question 24

Commingling constitutes?

Answer 24

Each willful violation is a misdemeanor

Question 25

Days to reply to Commissioner for inquiry regarding business of ins?

Answer 25

15 Days

Question 26

If compensation includes a fee producer must disclose?

Answer 26

Full Amt paid, full Amt of commission, explanation, full name of insurer

Question 27

Commission Disclosure must be maintained for how long?

Answer 27

5 Years

Question 28

What is the Fair Credit Reporting Act?

Answer 28

Establish procedures consumer reporting agencies must follow, Protects consumers

Question 29

Consumer Report

Answer 29

Credit, character, reputation, habits

Question 30

Investigative Consumer Report

Answer 30

obtained thru investigation and interviews w friends and associates Must advise client 3days of report made

Question 31

How many years for willfully obtaining info on a client under false pretenses?

Answer 31

2 years $2500

Question 32

Unlawful insurance fraud punishment.? Embezzlement?

Answer 32

10-15 Years +5k

Question 33

Federal Law 18 USC Section 1033

Answer 33

Anyone who violates the Violent Crime Control need LETTER OF CONSENT Felony conviction = 5 Years

Question 34

Federal Law 18 USC Section 1034

Answer 34

Anyone who violates 1033, Civil Action 50,000$ per violation

Question 35

What is Can Spam?

Answer 35

Set rules for commercial email and right to reject them.

Question 36

Can Spam must contain ?

Answer 36

Opt out W/in 10 business days

Question 37

Can spam violation subject to?

Answer 37

Each violation 16,000$ $250 per non compliant email

Question 38

What is the Gramm Leach Bailey Act

Answer 38

Can’t disclose no public personal info to third party

Question 39

Gramm Leach Bailey Requires what 2 disclosures?

Answer 39

Policy purchased Disclosure of protected info

Question 40

National Do Not Call List time period ? Must consult the registry how often?

Answer 40

8am - 9pm Every 31 Days

Question 41

Affordable Care Act (ACA) Patient Protection and Affordable Care Act (PPACA) serve what purpose ?

Answer 41

Make sure us resident have affordable access to health care

Question 42

The ACA provides what and for who?

Answer 42

Premium tax credits Lower health care costs for Lower Income

Question 43

ACA is protection for who ?

Answer 43

Individuals with pre existing conditions