Louisiana Insurance Adjuster Laws and Fines Exam Questions With Verified Answers

Service of Process, the Commissioner has how long to forward a copy to the nonresident adjuster - Answer 10 days If adjuster has a change in name, phone, address, etc, how long do they have to notify the Commissioner? and how much is the fine per violation? - Answer 30 days $50.00 per violation Assumed names - prior to use of it, a letter of registration from the secretary of state shall accompany the application for a trade name. The use by any insurance producer of a nonapproved trade name shall subject them to a fine not exceeding $_____ and if continues to use it for 10 or more days, add'l fine of $________ - Answer $250 $5,000 For unfair method of competition or an unfair or deceptive act or practice, the penalty is $_____ for each one but not to exceed $_____ - Answer $1,000 $100,000 If an agent/adjuster knew they were committing an Unfair Method of competition, the fine is ______ for each one up to ________ in any six months. - Answer $25,000 $250,000 Good Faith Duty - failing to pay settlement with in ______ days after agreement is made in writing - Answer 30 Insurance Fraud and False Statements violators are subject to a fine and/or imprisonment for up to _____ years. Maybe up to ______ years if the crime jeopardized the safety and soundness of an insurer - Answer 10 & 15 To be considered an act of terrorism, there must be more than $________ in loss within certain lines of insurance to all injured parties - aggregate industry loss - Answer 5 million TRIA program limit in one year are capped at $_______ inclusive of both insurer and government participation. Neither the gov. nor insurers would be required to pay losses beyond this amount. Loss above this limit must be borne by the insured - Answer 100 billion an insurance Professional who has been convicted of any criminal felony involving dishonesty of a breach of trust or who has been convicted of an offense under this section may be fined and/or imprisoned for up to ___ years - Answer 5 Insurance Fraud and False Statements - the US Attorney General may issue a civil penalty of not more than $_______ for each violation - Answer 50,000 Service of Process upon any nonresident licensee, the Commissioner has ______ days of being served to notify the adjuster by certified mail - Answer 10 the licensee must inform the Commissioner of any change of address, phone number, etc within _____ days of the change. Failure to do so is a $_____ fine per violation - Answer 30 days $50 Use of a non approved name or assumed name the fine is not to exceed $______ but if they continue to use name for 10 days or more, add'l fine not to exceed $______ - Answer 250 5000 Any administrative action taken against the adjuster must be reported to the Commissioner within ____ days - Answer 30 The Commissioner may place on probation, suspend, revoke or refuse to issue, renew or reinstate a claims adjuster's license or may levy a fine not to exceed $____ for each violation up to $____ aggregate for all violations in a calendar year - Answer $500 $10,000 If the Commissioner denies or refuses an application the applicant may make written demand upon the Commissioner within ______ days for a hearing - Answer 30 If charged with Unfair Method of Competition or unfair of deceptive act, the Commissioner may penalize not more than $_____ for each violation but not to exceed an aggregate penalty of $_________ - Answer 1,000 100,000 If the person knew or should have known they were in violation of Unfair Competition or deceptive acts, the the penalty is $______ for each act but not to exceed an aggregate penalty of $______ in any SIX MONTH period - Answer $25,000 $250,000 Unfair Claims Settlement Practices - must provide forms necessary to present claims within ____ calendar days of a request with explanations regarding their use - Answer 15 Loss Information, if requested by the insured, must be provided by the Ins co within _______ days of receipt of insured's written request for the _____ previous policy years. And if add'l info is needed then ____ days of receipt of written request - Answer 30 3 years 20 days If an Ins. Co. requires/request an agent or broker who represents more than one company to limit information provided to consumers on limited benefit plans, shall subject the insurer to a penalty of not less than $_____ or more than $_____ payable to the agent or broker - Answer 2,500 5,000 if an Ins Co requires an agent who represents more than one insurance company to limit the number of other ins. co. they may represent, the penalty is up to $_____ - Answer 10,000 An Insurer is in breach of Good Faith Duty if they fail to pay a settlement within ____ days after an agreement is reduced to writing - Answer 30 Breach of Good Faith Duty - failing to pay the amount of any claim due any person insured by the contract within ______ days after receipt of satisfactory proof of loss from the claimant when such failure is without probable cause - Answer 60 Breach of Good Faith Duty - in addition to any general or special damages, the claimant may be awarded penalties assessed against the insurer in an amount not to exceed ________the damages sustained or $_______, whichever is greater - Answer two times $5,000 Breach of Immediate Contact Rule, the Commissioner may place on probation, suspend, revoke a claims adjuster's license or may levy a fine not to exceed $_______ for each violation up to $_______ aggregate for all violations in a calendar year - Answer $500 $10,000 All insurers issuing any type of contract (except life and health) shall pay the amount of any claim due any insured within____ days after receipt of satisfactory proofs of loss from the insured or any party in interest - Answer 30 Except for catastrophic loss, the InsCo shall initiate loss adjustment of a property damage claim and a claim for reasonable medical expenses within _____ days after notification of loss by the claimant - Answer 14 days If there is catastrophic loss, the InsCo shall initiate loss adjustment of a property damage claim within ____ days after notification of loss by the claimant - Answer 30 days