AINS Practice Exam Review | 91 Question with 100 % correct answers | Verified& Updated 2024 Graded A+

One distinguishing feature between independent agency systems and other marketing systems is the... - agency expiration list Foreign Insurer - An insurer licensed to operate in a state but incorporated in another state Domestic Insurer - An insurer doing business in the jurisdiction in which it was incorporated Alien Insurer - An insurer domiciled in a country other than the US Direct Response Marketing System - Greatly reduces compensation costs but has higher advertising costs Agency Expiration List - An agency's most valuable asset (does not belong to insurer) Important consideration when selecting distribution channels - Does the channel capitalize on its core capabilities? Knowledge acquired by the agent is presumed to be.. - knowledge acquired by the insurerPremium collection method used for personal insurance and small commercial accounts - Direct Bill What specifies scope of authority of an agent? - Agency contract Agency Bill - Payment procedure in which a producer sends premium bills to the insured, collects the premium, and sends the premium to the insurer, less any commission Item Basis - Premium (less commission) is forwarded to the insurer when the producer collects it or when it comes due. Least complex method Statement Basis - Insurer sends statement to the producer showing the premiums due. Producer is obligated to pay the premiums as due. Account Current Basis - Producer periodically prepares a statement showing the premiums due to the insurer, after deducting appropriate commissions, and transmits th