The Commissioner conducts an examination of a domestic insurer and
believes that the costs of examination places an unreasonable financial
burden on the
... [Show More] insurer. Which of the following will happen?
a. The federal government will absorb the full cost
b. The federal government will absorb part of the cost, and the state
government will absorb the rest of the cost
c. The costs will be reduced to the amount that the examinee can
reasonable pat; the rest will be paid by the federal government
d. The Commissioner's office may pay all or part of the costs
(Ans- d. The Commissioner's office may pay all or part of the costs
Forcing a client to buy insurance from a particular lender as a condition of
granting a loan is defined as
a. Defamation
b. Coercion
c. Rebating
D. Misleading advertising
(Ans- b. Coercion
An agent who includes a statement or omits a statement which, when taken
in context of the whole presentation, may tend to mislead or deceive the
persons addressed has committed
a. Twisting
b. Coercion
c. Misrepresentation
d. Defamation
(Ans- c. Misrepresentation
If a consumer requests additional information concerning an investigative
consumer report, how long does the insurer or reporting agency have to
comply?
a. 7 days
b. 10 days
c. 3 days
d. 5 days
(Ans- d. 5 days
After the original hearing and a final order is issued, an aggrieved person
may request a re-hearing within
a. 30 days
b. 40 days
c. 15 days
d. 20 days
(Ans- 20 days
Which of the following is an example of a producer being involved in an
unfair trade practice of rebating?
a. Telling a client that his first premium will be waived if he purchases the
insurance policy today
b. Inducing the insured to drop a policy in favor of another one when it is
not the insured's best interest
c. Charging a client a higher premium for the same policy as another client
in the same insuring class
d. Making deceptive statements about a competitor
(Ans- a. Telling a client that his first premium will be waived if he purchases
the insurance policy today [Show Less]