Georgia State Insurance Laws Exam
Study Guide Solutions
Chief Executive Officer of the Office of Insurance - ANSWER✔✔-
Insurance and Safety Fire Commissioner (Commissioner)
What is the Ins. Commissioner's term of office? - ANSWER✔✔-4 years
Chief Deputy Commissioner - ANSWER✔✔-Appointed by commissioner
and assumes duties if the commissioner is disabled or absent
Powers of Commissioner - ANSWER✔✔-Regulation
Examination of records
Investigation
Hearing and judicial review
Issuing penalties
Regulatory Authority - ANSWER✔✔-The Commissioner is given the
authority to enforce the laws related to insurance created by the state
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,legislature. Likewise, the commissioner is granted the authority to produce
rules related to administration and enforcement of such laws.
The legality of any rule is determined by the State Attorney General.
Examination - ANSWER✔✔-When the Commissioner feels it is necessary,
he may examine insurance companies' authorized to do business in
Georgia related to transactions, accounts, records and assets and other facts
relative to its business methods, management and dealings with
policyowners.
How often are companies subject to Examination - ANSWER✔✔-Every 5
years
Who is examined every 5 years - ANSWER✔✔-Domestic Insurance
Companies and rating organizations.
Who is SUBJECT to examination - ANSWER✔✔-insurance agent, subagent,
broker, counselor, adjuster or other licensed person. Any person with a
contract granting a dominant right of control of an insurance company.
Those persons controlling the management of, or involved in the creation
or promotion of an insurance co. or an insurance co. holding company
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,Investigation - ANSWER✔✔-To gather information related to the activities
of insurance companies, agents, and others in the conduct of insurance
transactions. The Commissioner may hold hearings to discover possible
violations. They are empowered to subpoena witnesses and ask questions
of those commanded to those hearings.
Hearing and Judicial Review - ANSWER✔✔-The Commissioner may hold
a hearing based upon his belief that there is a possible violation of the
Insurance Code or in response to a written demand made by any person
who feels they have been wronged under Georgia insurance law.
After a person has complained and the Commissioner feels that grounds
for the hearing exist...the hearing will be held within 30 days of the
demand. The Commissioner will serve notice of hearings by registered
mail. The Commissioner
may preside or assign a designated representative as a hearing officer
Penalties - ANSWER✔✔-The Commissioner has the right to impose any
penalty or remedy provided by the law against any person who has been
investigated and found responsible for a violation without a hearing. If the
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, wrongdoer wishes a hearing they must make such request within 10 days
of receipt of the order.
If found in violation of the law, what are the actions taken by the
Commissioner's office - ANSWER✔✔-a) to cease and desist (stop) from
engaging in that act or practice.
b) to be placed on probation for a period of time not exceed 1 year for each
and every violation.
c) payment of fine of not more than $1,000 for each violation, unless the
violator did it knowingly and in that case the penalty shall not be more
than $5,000 for each violation.
d) a person or organization who fails to pay the penalty after it becomes
final is subject to a judgment ordered by the appropriate court upon
request of the Commissioner.
If the Commissioner feels a violation warrants criminal prosecution, what
happens - ANSWER✔✔-He turns it over to the appropriate authorities
Domestic Insurer - ANSWER✔✔-insurance company formed (or chartered)
under the laws
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Study Guide Solutions
Chief Executive Officer of the Office of Insurance - ANSWER✔✔-
Insurance and Safety Fire Commissioner (Commissioner)
What is the Ins. Commissioner's term of office? - ANSWER✔✔-4 years
Chief Deputy Commissioner - ANSWER✔✔-Appointed by commissioner
and assumes duties if the commissioner is disabled or absent
Powers of Commissioner - ANSWER✔✔-Regulation
Examination of records
Investigation
Hearing and judicial review
Issuing penalties
Regulatory Authority - ANSWER✔✔-The Commissioner is given the
authority to enforce the laws related to insurance created by the state
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 1/50
,legislature. Likewise, the commissioner is granted the authority to produce
rules related to administration and enforcement of such laws.
The legality of any rule is determined by the State Attorney General.
Examination - ANSWER✔✔-When the Commissioner feels it is necessary,
he may examine insurance companies' authorized to do business in
Georgia related to transactions, accounts, records and assets and other facts
relative to its business methods, management and dealings with
policyowners.
How often are companies subject to Examination - ANSWER✔✔-Every 5
years
Who is examined every 5 years - ANSWER✔✔-Domestic Insurance
Companies and rating organizations.
Who is SUBJECT to examination - ANSWER✔✔-insurance agent, subagent,
broker, counselor, adjuster or other licensed person. Any person with a
contract granting a dominant right of control of an insurance company.
Those persons controlling the management of, or involved in the creation
or promotion of an insurance co. or an insurance co. holding company
Copyright ©EMILLYCHARLOTE 2025 ACADEMIC YEAR, ALL RIGHTS RESERVED. Page 2/50
,Investigation - ANSWER✔✔-To gather information related to the activities
of insurance companies, agents, and others in the conduct of insurance
transactions. The Commissioner may hold hearings to discover possible
violations. They are empowered to subpoena witnesses and ask questions
of those commanded to those hearings.
Hearing and Judicial Review - ANSWER✔✔-The Commissioner may hold
a hearing based upon his belief that there is a possible violation of the
Insurance Code or in response to a written demand made by any person
who feels they have been wronged under Georgia insurance law.
After a person has complained and the Commissioner feels that grounds
for the hearing exist...the hearing will be held within 30 days of the
demand. The Commissioner will serve notice of hearings by registered
mail. The Commissioner
may preside or assign a designated representative as a hearing officer
Penalties - ANSWER✔✔-The Commissioner has the right to impose any
penalty or remedy provided by the law against any person who has been
investigated and found responsible for a violation without a hearing. If the
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, wrongdoer wishes a hearing they must make such request within 10 days
of receipt of the order.
If found in violation of the law, what are the actions taken by the
Commissioner's office - ANSWER✔✔-a) to cease and desist (stop) from
engaging in that act or practice.
b) to be placed on probation for a period of time not exceed 1 year for each
and every violation.
c) payment of fine of not more than $1,000 for each violation, unless the
violator did it knowingly and in that case the penalty shall not be more
than $5,000 for each violation.
d) a person or organization who fails to pay the penalty after it becomes
final is subject to a judgment ordered by the appropriate court upon
request of the Commissioner.
If the Commissioner feels a violation warrants criminal prosecution, what
happens - ANSWER✔✔-He turns it over to the appropriate authorities
Domestic Insurer - ANSWER✔✔-insurance company formed (or chartered)
under the laws
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