IDAHO INSURANCE QUESTIONS AND ANSWERS WITH COMPLETE VERIFIED SOLUTIONS

Each of the following is listed under the Idaho statute defining "transacting insurance" EXCEPT: premium trust accounting. The Director of Insurance has the power to regulate Insurance transactions under: Title 41 of Idaho statutes. It is illegal for an insurance company to advertise: that it is a member of the Guaranty Fund. Client funds received by the Producer may be kept in the following accounts EXCEPT: Office checking account. Which of the following must have an appointment? A Producer who represents an insurance company as an agent. Funds in the account payable to the Insurer must be disbursed within: 21 days A temporary producer license is effective for: 180 days. An Idaho producer wants to borrow money from a client. This is lawful: If the Producer has a written loan agreement signed by both parties. Exaggerating policy terms is: Misrepresentation The Settlement Provider must pay settlement proceeds to an escrow account within _____ days of receiving the executed change of ownership documents. 3 Tim has used his cash assets to purchase an annuity. His creditors want to seize the annuity payments. His creditors will: Be able to seize annuity payments in excess of $1,250 per month. A credit life insurer may be considered to have excessive premiums unless the loss ratio is at least: 50% of the premiums collected. Which of the following is FALSE regarding advertisements for life settlements? They cannot use paid testimonials. A person with both licenses in Life, Health, Property, and Casualty must complete how many hours of Continuing Education in a biennial 2 year period? 24 hours The Director may fine anyone transacting insurance without a license up to: 15,000 A producer must notify the Director of any change of address within: 30 days. Making false or incomplete policy comparisons to induce policy replacement is: Twisting The Life Settlement Provider has _____ days to give written notice to the Insurer that the policy is going to be sold through a settlement contract. 20 Of the courses required for Continuing Education, how many hours must cover insurance law or ethics? 3 Before selling an annuity, the Producer must ascertain each of the following EXCEPT the applicant's: Marital status. Once settlement proceeds are paid to an escrow account, the Escrow Agent must submit the policy owners's change of ownership documents to the Settlement Provider and pay the settlement proceeds to the policy owner with _____ days 3 An Idaho producer may share a commission with: another Producer with the same type of license. A credit life policy may be: Term only. Which of the following is correct regarding the situation where a producer pays a client's premium? This is legal only if the Producer collects reasonable interest from the client. The Director may fine a producer for willfully violating any insurance law up to: 5,000 The amount of a credit life policy sold in Idaho may be Up to the amount of the debt. Which claims adjuster is NOT required to be licensed? an adjuster employed on a salaried basis by an Insurer. A producer must notify the Director of any fraudulent claim within: 60 days Employee Group Life policies may cover each of the following EXCEPT: Directors Prior to execution of a life settlement contract, the Life Settlement Provider must obtain a witnessed notarized document in which the owner acknowledges each of the following except: that he or she has a terminal or chronic illness that was diagnosed before the life insurance policy was issued. Under the Replacement Rules, if the Existing Insurer attempts a "conservation," it must send the Existing Policy's Policy Summary to the policy owner within: 20 days. If a Producer voluntarily allows a license to lapse, the Producer will not have to retake the examination if the Producer requests reinstatement within: 12 months. Funds in the account payable to the Insured must be disbursed within 14 days. Which of the following is NOT required to complete the Continuing Education requirement? Limited Lines Producers. Molly is the beneficiary under a life insurance policy with a $1,000,000 death benefit. The Insured has died and Molly wonders whether creditors will be able to claim the death benefit. Creditors will not be allowed to claim the death benefit. Permanent policies must have a cash value after 3 years A person must wait how long to reapply for a license after it has been revoked? 1 year. The Director may fine a producer for unknowingly violating any insurance law up to: $1,000 Which of the following is FALSE regarding Stranger-Oriented Life Insurance (STOLI)? STOLI policies must be approved by the Director.