Georgia Laws and Rules Questions and answers latest
update
Using an existing life insurance policy's cash value to purchase another policy with the same
insurer for the sole purpose of earning additional commissions is called... -
(ANSWERS)Churning: is an illegal practice where insurance agents unnecessarily replace
existing life insurance for the purpose of earning additional (higher) first year commissions
An example of unfair discrimination would be - (ANSWERS)offering different terms of coverage
for different policyowners in the same risk classification
A mutual insurance company and a stock insurance company have one main difference
between them. What is this major contrast? - (ANSWERS)Stock company is owned by its
shareholders. Mutual company is owned by its policyholders
The ___ must provide an insured with proper disclosure concerning the replacement of an
insurance policy. - (ANSWERS)agent
The Commissioner must give ___ days notice prior to holding a hearing regarding an agent's
unfair or deceptive practice. - (ANSWERS)10
As a condition for a loan, a bank requires the borrower to purchase credit insurance from a
specific company. What is the bank guilty of? - (ANSWERS)Coercion
When advertising, an insurer is required to use its ___ - (ANSWERS)true corporate name
Which type of insurance company allows their policyowners to elect governing body? -
(ANSWERS)Mutual
T is an agent and when hired, is reminded that he has a responsibility to handle client's funds
in an honest and ethical manner. This responsibility is referred to as - (ANSWERS)fiduciary
responsibility
Which of the following is NOT an unfair claim settlement practice? - (ANSWERS)Needing written
documentation of claim details
Before an insurance company can pay commissions to an agent, the agent must be -
(ANSWERS)licensed and appointed
What is one of the roles of the Commissioner? - (ANSWERS)Administering insurance laws
In Georgia, an example of an alien insurer would be one that is incorporated in -
(ANSWERS)France
, Georgia Laws and Rules Questions and answers latest
update
All agents licensed less than 20 years are required to complete ___ continuing education hours
every two years. - (ANSWERS)24
During the application process, the agent's responsibility is to - (ANSWERS)the insurance
company
A person who is required to be a licensed agent would be a(n) - (ANSWERS)a person who places
insurnace on behalf
All accident and sickness plans MUST provide coverage on newborn children for ___ days. -
(ANSWERS)31
Insurance agents do NOT have a fiduciary responsibility to - (ANSWERS)another agent
The coordination of benefits (COB) provision exists in order to - (ANSWERS)avoid duplication of
benefit payments
Which of the following is the MINIMUM age at which an individual can sign a life insurance
application? - (ANSWERS)15
Someone who is appointed by an insurer to engage in insurance transactions is called a(n) -
(ANSWERS)agent
The purpose of the Rules Governing Advertisement of Life Insurance and Annuities is to -
(ANSWERS)assure full disclosure to the public of all material and relevant information
In Georgia, an insurance company must notify the Commissioner within ____ days to terminate
an agent's appointment. - (ANSWERS)30
What is an organization that solicits insurance only to its members? - (ANSWERS)Fraternal
benefit society
What is NOT a requirement for becoming a licensed agent in Georgia? - (ANSWERS)high school
graduate
With whom may an agent legally share commissions? - (ANSWERS)Another agent who is
licensed in the same line of insurance
Which document MUST accompany an application that initiates the replacement of an existing
life insurance policy? - (ANSWERS)A signed statement by the applicant regarding the
replacement
update
Using an existing life insurance policy's cash value to purchase another policy with the same
insurer for the sole purpose of earning additional commissions is called... -
(ANSWERS)Churning: is an illegal practice where insurance agents unnecessarily replace
existing life insurance for the purpose of earning additional (higher) first year commissions
An example of unfair discrimination would be - (ANSWERS)offering different terms of coverage
for different policyowners in the same risk classification
A mutual insurance company and a stock insurance company have one main difference
between them. What is this major contrast? - (ANSWERS)Stock company is owned by its
shareholders. Mutual company is owned by its policyholders
The ___ must provide an insured with proper disclosure concerning the replacement of an
insurance policy. - (ANSWERS)agent
The Commissioner must give ___ days notice prior to holding a hearing regarding an agent's
unfair or deceptive practice. - (ANSWERS)10
As a condition for a loan, a bank requires the borrower to purchase credit insurance from a
specific company. What is the bank guilty of? - (ANSWERS)Coercion
When advertising, an insurer is required to use its ___ - (ANSWERS)true corporate name
Which type of insurance company allows their policyowners to elect governing body? -
(ANSWERS)Mutual
T is an agent and when hired, is reminded that he has a responsibility to handle client's funds
in an honest and ethical manner. This responsibility is referred to as - (ANSWERS)fiduciary
responsibility
Which of the following is NOT an unfair claim settlement practice? - (ANSWERS)Needing written
documentation of claim details
Before an insurance company can pay commissions to an agent, the agent must be -
(ANSWERS)licensed and appointed
What is one of the roles of the Commissioner? - (ANSWERS)Administering insurance laws
In Georgia, an example of an alien insurer would be one that is incorporated in -
(ANSWERS)France
, Georgia Laws and Rules Questions and answers latest
update
All agents licensed less than 20 years are required to complete ___ continuing education hours
every two years. - (ANSWERS)24
During the application process, the agent's responsibility is to - (ANSWERS)the insurance
company
A person who is required to be a licensed agent would be a(n) - (ANSWERS)a person who places
insurnace on behalf
All accident and sickness plans MUST provide coverage on newborn children for ___ days. -
(ANSWERS)31
Insurance agents do NOT have a fiduciary responsibility to - (ANSWERS)another agent
The coordination of benefits (COB) provision exists in order to - (ANSWERS)avoid duplication of
benefit payments
Which of the following is the MINIMUM age at which an individual can sign a life insurance
application? - (ANSWERS)15
Someone who is appointed by an insurer to engage in insurance transactions is called a(n) -
(ANSWERS)agent
The purpose of the Rules Governing Advertisement of Life Insurance and Annuities is to -
(ANSWERS)assure full disclosure to the public of all material and relevant information
In Georgia, an insurance company must notify the Commissioner within ____ days to terminate
an agent's appointment. - (ANSWERS)30
What is an organization that solicits insurance only to its members? - (ANSWERS)Fraternal
benefit society
What is NOT a requirement for becoming a licensed agent in Georgia? - (ANSWERS)high school
graduate
With whom may an agent legally share commissions? - (ANSWERS)Another agent who is
licensed in the same line of insurance
Which document MUST accompany an application that initiates the replacement of an existing
life insurance policy? - (ANSWERS)A signed statement by the applicant regarding the
replacement
