Washington State Property & Casualty Insurance Exam Correct 100%.

uthorized Insurer - ANSWER An insurer that has qualified and received a Certificate of Authority from the Department of Insurance to transact insurance in the state. Contact adhesion - ANSWER the accepter of the contract must "adhere" to the written contract inducement - ANSWER An action aimed at persuading insolvent - ANSWER Bankrupt; unable to pay debts. Transacting Insurance - ANSWER Conducting insurance business, such as soliciting or negotiating to buy or sell an insurance policy. Unauthorized Insurer - ANSWER Is held personally liable. Each violation is separate and can result in suspension, revocation of license, and a min fine of $25,000. (Class B Felony) When would a commissioner order a replacement policy? - ANSWER When a unauthorized insurer improperly placed a policy. Would be replaced by a policy with a legal insurer. Surplus Lines - ANSWER Insurance that is not available or offered in the regular marketplace from admitted insurers. Insurance Commissioner (IOC) - ANSWER State elected term of 4 years. insurance Commissioner duties - ANSWER -Protects the Public from unfair trade practices - Examinations/investigations - Hearings - Cease and Desist orders - Public information - Appoints Dep. Chief Commissioner - How often must the Insurance Commissioner examine companies? - ANSWER As often as deemed necessary, but MUST be done every 5 years Receiving Written Notice from Commissioner - ANSWER the person must respond within 90 days. if not made the request is considered waved. Notice of Hearing - ANSWER - must state grounds of hearing (can be written demand by aggrieved person) - Right to request administrative law judge Licence Suspension Hearing - ANSWER Commissioner must hold a hearing within 90 days. Insurance Producer - ANSWER A person required to be licensed under the laws of this state to sell, solicit, or negotiate insurance. - Must be 18+ - h