Chapter Exam Arkansas Laws and Rules Questions and Answers(Verified By Experts)

In Arkansas, a domestic insurance company is defined as a company that - ANSWER-is incorporated and formed in Arkansas What MUST an insurance company use in its advertising? - ANSWER-Its true corporate name Which of the following is NOT an example of a producer's breach of fiduciary duty? - ANSWER-allowing premiums to be submitted electronically Which of the following is an example of defamation? - ANSWER-A brochure including an untrue statement regarding a competitor's ability to pay claims The PRIMARY purpose of the life insurance replacement regulation is to protect the - ANSWER-interests of policyowners A temporary license is issued by the Commissioner to allow - ANSWER-the personal representative of a deceased producer to provide service to existing policyowners A stock insurance company is owned by it's - ANSWER-stockholders A producer must have how many hours of ethics per continuing education reporting period? - ANSWER-3 Before holding a hearing that may lead to suspension or revocation of a producer's license, the Commissioner MUST give - ANSWER-written notice to the producer Which of the following actions by an insurance company is considered an unfair claims settlement practice? - ANSWER-Denying an insured's claim without indicating the basis of denial under the policy In Arkansas, the Commissioner may place on probation, suspend, revoke, refuse to renew, or deny a license for all of the following reasons EXCEPT: - ANSWER-Filing bankruptcy To be eligible for a group life policy, a group MUST meet which of the following requirements? - ANSWER-Be formed for a purpose other than obtaining insurance