State Farm License Exam Complete Study Guide Questions and Answers 2023

State Farm License Exam Complete Study Guide Questions and Answers When will the license expire? What should you do after? - It will be expired 2 years after the date of issue. - The agent must complete a 30 hours course every 2 years to renew expiring license. - A person who continuously having license for 20 years are exempt from continuing education requirements. Can you apply to renew late? - Yes, you have up to 90 days to send in a late renewal application. U will just have to pay a late fee. - After 90 days but less than a year, you cannot renew the license or get a new one - after 12 months, you may obtain a new license and take the exam all over again. If the license is revolt due to willful violation of the insurance code or fraud, how long until the agent can be requalified? How much are the penalty? - at least 5 years - up to 25,000 what is transacting insurance? any activity related to the negotiation, sale or purchase of insurance comes under the jurisdictions of Texas Ins code. Ex: claims, inspecting risks, and collecting premiums. How to have an business as an insurer (agency)? 1. Must obtain the certificate of authority given by the Commissioner. 2. Must file an annual financial statement to show that they have adequate legal reserves. 3. rates cannot be too high or too low so that they insurer can ear a fair and reasonable profits 4. If at any time, the insurer run into a possibility of insolvency, the commissioner may place the insurer under Department of insurance. And within 60 days, the insurer must comply the requirement or else the commissioner will take charge as conservator, suspend insurer's property, and certificate of authority. 5. no policy form needed. 6. will have examination of records to see if insurer violates insurance laws. 7. May only pay commissions to licensed agents How to iprotect the insurance information and personal privacy of insured/ policy holder? When an insurance app is submitted, the policy is delivered, renewed, and personal information is collected from the applicant. YOU MUST SEND a written notice that describe the privacy law. This law includes the type of info to be collected, disclosure of personal info may be made without authorization of the applicant, and they may opt out from sharing. What information must the insurance agent disclosed when telemarketing? 1. the identity of the seller 2. The purpose of the call 3. The nature of the goods or services 4. No purchase or payment is necessary to be able to win a prize of offered Note: all records related to telemarketing must be kept a min of 24 months from the date of recording. What are the 3 provisions to which the spammers must adhere? 1. Unsolicited email must be clearly identified as soliciation or advertisements for products 2. senders must provide easily access to opt- out of receiving future message 3.Must contain legitimate return email address or postal address.