FLORIDA LAW AND REGULATIONS
EXAM GUIDE Q&A
What practice gives the CFO the power to investigate companies? - ANSWER-The
unfair trade practices.
What exists as the last line of defense? - ANSWER-State Guaranty Associations
What is the insurer called if they have been licensed appointed by the state of
Florida - ANSWER-Competent
People who buy life insurance is called what? - ANSWER-Policy owners not policy
holders
What is required to contain a provision that all statements in the application are
considered representations, not warranties - ANSWER-Life insurance
______must exist at the inception of the policy but not required for later - ANSWER-
Insurance interest
The producer is a what - ANSWER-Teacher and a facilitator
The term ______ is not to be used because of past abuses - ANSWER-Vanishing
premiums
What is an action that eliminates the original policy or diminishes its benefits and
values - ANSWER-Replacement
Term policies do not have what? - ANSWER-Cash values
He term used to describe increasing charges in premium payments for term policies
is known as what? - ANSWER-Step-rate
What is considered pure endowment when the insurance guarantees a specified
sum payable - ANSWER-If the insured is living at the end of the stated time
What can be compared to whole life policy with accelerated maturity dates such as
age 65 - ANSWER-Endowment policies
The entire contract provision is found where of the policy - ANSWER-At the
beginning of the policy
The suicide provision is stated as how many ywars - ANSWER-1-2 years
Is a stock company is doing both par and non par it is considered a what? -
ANSWER-"The Mixed plan"
What is called the possibility of gain - ANSWER-Speculative risk
, Companies that write one or more of insurance are known as what? - ANSWER-
Multi line insurer
What is considered non-participating because hey don't participate in dividends? -
ANSWER-Stock companies
In Florida who functions as brokers - ANSWER-The agents
All insurance companies in Florida must have how many license agents - ANSWER-
One known as the agent of record
The CFO of the DFS cannot make laws. What can they do? - ANSWER-They can
make rules where the agents have to follow
Who makes the laws in Florida? - ANSWER-Legislatures
What is known as when the beneficiary is changed and the policy notifies the
insurance company in writing and the change is made at the company? - ANSWER-
Recording method
The name of mortality table used by actuaries is - ANSWER-2001 CSO mortality
table
The main 3 factors actuaries use in calculating premium is?______ - ANSWER-The
acronym MIX X is for expense
With the inspection and credit report, where do we find out about a persons
finances? - ANSWER-Inspection report
On employer sponsored group plan how much for the employee does not need to
report the employer paid premium - ANSWER-Up to $50,000 in coverage
An immediate annuity makes its first benefit payment one payment intervals when? -
ANSWER-From the date of purchase. It's not immediately
What is a statement of the fraction of the disbursement received which is excluded
from taxes because that fraction came into the account with after-tax dollars -
ANSWER-Exclusion Ratio in annuities
Who monitors the SEC rules and is in the series 6 and 7 exams - ANSWER-FINRA
Workers who are not covered by the state include... - ANSWER-CSR from 1984
1/4 of States and local government employees hired before 1984
Railroad workers RRS
What is for unincorporated only - ANSWER-Keogh
What companies function on the reimbursement approach. Meaning they cover up to
whatever the cost is and no more - ANSWER-Commercial Insurance Companies
EXAM GUIDE Q&A
What practice gives the CFO the power to investigate companies? - ANSWER-The
unfair trade practices.
What exists as the last line of defense? - ANSWER-State Guaranty Associations
What is the insurer called if they have been licensed appointed by the state of
Florida - ANSWER-Competent
People who buy life insurance is called what? - ANSWER-Policy owners not policy
holders
What is required to contain a provision that all statements in the application are
considered representations, not warranties - ANSWER-Life insurance
______must exist at the inception of the policy but not required for later - ANSWER-
Insurance interest
The producer is a what - ANSWER-Teacher and a facilitator
The term ______ is not to be used because of past abuses - ANSWER-Vanishing
premiums
What is an action that eliminates the original policy or diminishes its benefits and
values - ANSWER-Replacement
Term policies do not have what? - ANSWER-Cash values
He term used to describe increasing charges in premium payments for term policies
is known as what? - ANSWER-Step-rate
What is considered pure endowment when the insurance guarantees a specified
sum payable - ANSWER-If the insured is living at the end of the stated time
What can be compared to whole life policy with accelerated maturity dates such as
age 65 - ANSWER-Endowment policies
The entire contract provision is found where of the policy - ANSWER-At the
beginning of the policy
The suicide provision is stated as how many ywars - ANSWER-1-2 years
Is a stock company is doing both par and non par it is considered a what? -
ANSWER-"The Mixed plan"
What is called the possibility of gain - ANSWER-Speculative risk
, Companies that write one or more of insurance are known as what? - ANSWER-
Multi line insurer
What is considered non-participating because hey don't participate in dividends? -
ANSWER-Stock companies
In Florida who functions as brokers - ANSWER-The agents
All insurance companies in Florida must have how many license agents - ANSWER-
One known as the agent of record
The CFO of the DFS cannot make laws. What can they do? - ANSWER-They can
make rules where the agents have to follow
Who makes the laws in Florida? - ANSWER-Legislatures
What is known as when the beneficiary is changed and the policy notifies the
insurance company in writing and the change is made at the company? - ANSWER-
Recording method
The name of mortality table used by actuaries is - ANSWER-2001 CSO mortality
table
The main 3 factors actuaries use in calculating premium is?______ - ANSWER-The
acronym MIX X is for expense
With the inspection and credit report, where do we find out about a persons
finances? - ANSWER-Inspection report
On employer sponsored group plan how much for the employee does not need to
report the employer paid premium - ANSWER-Up to $50,000 in coverage
An immediate annuity makes its first benefit payment one payment intervals when? -
ANSWER-From the date of purchase. It's not immediately
What is a statement of the fraction of the disbursement received which is excluded
from taxes because that fraction came into the account with after-tax dollars -
ANSWER-Exclusion Ratio in annuities
Who monitors the SEC rules and is in the series 6 and 7 exams - ANSWER-FINRA
Workers who are not covered by the state include... - ANSWER-CSR from 1984
1/4 of States and local government employees hired before 1984
Railroad workers RRS
What is for unincorporated only - ANSWER-Keogh
What companies function on the reimbursement approach. Meaning they cover up to
whatever the cost is and no more - ANSWER-Commercial Insurance Companies
