GA Adjuster Exam Review questions with correct answers

In GA, _____insurance cannot be written by a reciprocal type insurer. CORRECT ANS life No insurer or licensee doing business in Georgia may pay any commissions or valuable consideration to any person for services as an agent, subagent, or adjuster unless that person is duly licensed under the CORRECT ANS Code Mediation is not _____ on the parties involved, but with arbitration the decision is final and _____. CORRECT ANS Binding Standard and Poor's, A.M. Best and Moody's are examples of: CORRECT ANS Independent Rating Services What is the application fee for filing to become a self-insurer for workers compensation in Georgia? CORRECT ANS $500 Insurance adjusters have the "power to bind". Which of the following statements best describes what this means? CORRECT ANS The principal is bound to the decisions of the adjuster. The perils most frequently covered by a Difference in Conditions policy are: CORRECT ANS Flood and Earthquake What is the purpose of the Georgia Insurance Guaranty Association? CORRECT ANS Cover claims of insolvent insurers Twisting CORRECT ANS The act of inducing or attempting to induce a policy owner to drop an existing life insurance policy and to take another policy that is substantially the same kind by using misrepresentations or incomplete comparisons of the advantages and disadvantages of the two policies. Most states have enacted legislation making twisting a crime.