PropertygandgCasualtygInsurancegExamg–
gGeorgiagcorrectlygansweredg2023gratedgA+
BPPgbuildinggcoverageg-
gcorrectganswerginsuresgthegbuildinggatgthegdescribedglocation,goutdoor,gfixtures,gfurnitur
es,gitemsgusedgtogservicegthegproperty,gpermanentlyginstalledgmachinerygandgequipment
,gandgadditionsgundergconstruction,gincludinggthegmaterials,gsupplies,gandgequipment.
HOglimitsgofgpropertygatgothergresidencesg-
gcorrectganswergtheglargergofg$1000gorg10%gCoveragegC.gLimitgdoesgnotgapplygifgpropert
ygisgmovedgbecausegthegresidencegpremisegisgbeinggrepairedgorgrebuilt.
Whengpropertygisgmovedgtognewlygacquiredgresidence,gtheglimitgshowngongdeclarationgw
illgapplygongagproportionalgbasisgtogeachgresidence
Dwellingsgundergconstructiong-
gcorrectganswergTheglimitgofgliabilitygforgagdwellinggundergconstructiongisgprovisional,gand
gisgbasedgongthegcompletedgvaluegofgthegstructure.gAtgthegtimegofgloss,gthegapplicablegli
mitgisgagpercentagegofgthegprovisionalglimit,gbasedgongthegproportiongofgactualgcashgvalu
egofgthegpropertygatgthegtimegofgloss.gPremiumgisgbasedgongangaveragegamountgofginsur
ancegduringgconstruction.
WatergBackupg&gSumpgPumpgEndorsementg-
gcorrectganswergCoveragegforgupgtog$5,000ginglossgorgdamage,gsubjectgtogag$250gdeduc
tible,gcangbegprovidedgforgangadditionalgpremiumgwithgthisgendorsement.
AutomaticgIncreasegingInsurancegEndorsementg-
gcorrectganswergisgusedgtogprovidegatgthegannualgrenewalgdategofgthegpolicy,gangautomat
icgincreasegingthegCoveragegAgandgBglimitsgofginsurancegtoghelpgoffsetginflation
Otherginsuranceg-
gcorrectganswergAgprovisionginganginsurancegpolicygthatgdefinesghowgthegpolicygwillgresp
ondgifgtheregisganothergvalidginsurancegpolicygwrittengongthegsamegrisk.
StockgCompaniesg-
gcorrectganswergOwnedgbygthegstockholdersgwhogprovidegthegcapitalgnecessarygtogestab
lishgandgoperategtheginsurancegcompanygandgwhogshareginganygprofitsgorglosses.
Mutualgcompaniesg-
gcorrectganswergOwnedgbygthegpolicyownersgandgissuegparticipatinggpolicies.gPolicyown
ersgaregentitledgtogdividends,gwhichgaregagreturngofgexcessgpremiumgandgaregnontaxable
.
6gclassesgofginsurancegingGeorgiag-gcorrectganswerg1.gLife,gaccident,gandgsicknessg
2.gProperty,gmarine,gandgtransportation
3.gCasualty
,4.gSurety
5.gTitle
6.gHMOs
HowgoftengmustgthegInsurancegCommissiongexaminegdomesticginsurers?g-
gcorrectganswergOncegeveryg5gyears.
Whatgaregthegtimelinesgifgaghearinggisgrequested?g-
gcorrectganswergAghearinggmustgbegmadegwithing30gdaysgofgthegreceiptgofgthegrequest.
Agnotificationgofgtheghearinggmustgbegsentgatgleastg15gdaysgingadvance.g
Withing30gdaysgofgtheghearing,gthegCommissionergmustgreleaseghisgdecision.
Whatgaregthegpenaltiesgaftergagnotice,ghearing,gandgceasegandgdesistgorder?g-
gcorrectganswergAgfinegofgupgtog$10,000gpergviolation
Suspension/revocationgofglicense
Anygothergappropriategrelief.
Expressgauthorityg-
gcorrectganswergthegauthoritygofgangagent,gstatedgingthegdocumentgorgagreementgcreatin
ggthegagency
Impliedgauthorityg-
gcorrectganswergAuthoritygthatgisgnotgexpressedgorgwrittengintogthegcontract,gbutgwhichgth
egagentgisgassumedgtoghavegingordergtogtransactgthegbusinessgofginsurancegforgthegprinci
pal.
Apparentgauthorityg-
gcorrectganswergThegappearancegorgthegassumptiongofgauthoritygbasedgongthegactions,g
words,gorgdeedsgofgthegprincipalgorgbecausegofgcircumstancesgthegprincipalgcreated.
Whengdoesgangagentsglicensegexpire?g-
gcorrectganswergLicensesgareggoodgtogforg2gyearsgandgexpiregongtheglastgdaygofgtheglice
nsee'sgwithgmonth.
WhatgaregthegCEgrequirementsgforgangagent?g-
gcorrectganswerg24gCEgcreditghoursgeveryg2gyears,gincludingg3gcreditghoursgofgethics.
Agentsgwithglicensedgforg20gyearsgonlygneedg20gCEgcreditghours,gincludinggethics.
Howglonggmustgangagentgkeepgrecordsgregardinggcontracts,gpremiums,getc.?g-
gcorrectganswergAllgrecordsgmustgbegkeptgforg5gyearsgaftergthegcompletiongofgagtransacti
ongorgforgthegtermgofgthegcontract,gwhichevergisggreater.
Misrepresentationg-
gcorrectganswergIssuing,gpublishing,gorgcirculationgandgillustrationgorgsalesgmaterialsgthat
,gisgfalse,gmisleading,gorgdeceptivegasgtogpolicygbenefitsgorgterms,gthegpaymentsgofgdivide
nds,getc.
Falsegadvertisingg-
gcorrectganswergadvertisinggthatgisgmisleadinggingsomegimportantgway,gincludinggthegfail
uregtogrevealgfactsgaboutgpossiblegresultsgfromgusinggthegadvertisedgproducts
Rebatingg-
gcorrectganswergAnyginducementgofferedgingthegsalegofginsurancegproductsgthatgisgnotgsp
ecifiedgingthegpolicy.gTheygaregillegalgingGeorgia.
Twistingg-
gcorrectganswergAgformgofgmisrepresentationgingwhichgangagentgpersuadesganginsured/o
wnergtogcancel,glapse,gorgswitchgpolicies,gevengwhengit'sgtogtheginsured'sgdisadvantage.
Churningg-
gcorrectganswergReplacingginsurancegpoliciesgforgthegsolegpurposegofgmakinggcommissi
ons.gItgisgillegalgtogreplacegexistingglifegorgdisabilitygpoliciesgwithgnewgpoliciesgifgthegprod
ucergcannotgdemonstrategthatgthegreplacementgwillgbenefitgtheginsured.
Coerciong-
gcorrectganswergUnfairgtradegpracticegwheregangagentgusesgphysicalgorgmentalgforcegwit
hgthegintensegofginducinggangapplicantgtogpurchaseginsurance.
Defamationg-
gcorrectganswergDefamationgoccursgwhengangoralgorgwrittengstatementgisgmadegthatgisgin
tendedgtoginjuregagpersongengagedgingtheginsurancegbusiness.gThisgalsogappliesgtogstat
ementsgthatgaregmaliciouslygcriticalgofgthegfinancialgconditiongofganygpersongorgagcompa
ny.
Controlledgbusinessg-
gcorrectganswergControlledgbusinessgisganygcoveragegwrittengongagproducer'sgownglife,gh
ealthgorgproperty,gand/orgthatgofgthegproducer'sgimmediategfamilygorgbusinessgassociate
s.gAglicenseegisgnotgallowedgtogcollectgcommissionsgongcontrolledgbusinessgatgrateghigh
ergthang25%gofgthegagent'gvolumegpergcalendargyear.
Whatgisgagbinderg-
gcorrectganswergAgtemporaryginsurancegcontractgthatggoesgingeffectgpriorgtogthegpolicygis
sue.gNogbindergshallgbegvalidgpassgthegissuancegofgthegpolicygbeyondg90gdaysgofgitsgeffe
ctivegdate,gwhichevergperiodgisgshorted.
GeorgiagFAIRg-
gcorrectganswergThegGeorgiagFairgAccessgtogInsurancegRequirementgprovidesgbasicgpro
pertyginsurancegforgthosegwhogcannotgobtaingitgingthegordinarygmarket.
, GeorgiagAutomobilegInsurancegPlang-
gcorrectganswergThegGeorgiagAutomobilegInsurancegPlangmakesgautomobileginsuranceg
availablegforginsuredsgwhogaregunablegtogpurchasegcoveragegingthegvoluntarygmarket.gW
hengangautomobilegpolicygisgcancelledgorgnonrenewedgforgagreasongothergthangforgnonp
aymentgofgpremium,gtheginsurergmustgnotifygtheginsuredgofgtheirgeligibilitygforgcoveragegt
hroughgthegGeorgiagAutomobilegInsurancegPlan.gThegnoticegaboutgthegPlangmustgacco
mpanygthegnoticegofgcancellationgorgnonrenewal.
Workman'sgCompensationg-
gcorrectganswergCoversgallgbusinessgwithg3gorgmoregemployees
Workman'sgCompensationgCoverageg-gcorrectganswergDoctorsgbills
hospitalgbills
physicalgtherapy
prescriptions
necessarygtravelgexpenses
Treatmentglimitedgtogmaxgofg400gweeksgunlessginjuriesgaregcatastrophic.
WhatgaregthegbenefitgpayoutgrequirementsgforgWC?g-
gcorrectganswergWorkersgcangcollectgWCgbenefitsgaftergbeinggoutgofgworkgforgmoregthang
7gdays,gandgthegfirstgcheckgwillgarrivegwithg21gdaysgofgthegfirstgmissedgworkday.gThegco
mpensationgisglimitedgtog2/3gofgthegworker'sgaveragegweeklygpaygupgtog$575.
GeorgiagWorkersgCompensationgAssignedgRiskgPlang-
gcorrectganswergThegGeorgiagWorkersgCompensationgAssignedgRiskgPlangexistsgtogpro
videgrequiredgWorkersgCompensationgcoveragegforgemployersgwhogdognotgqualifygforgco
veragegingthegvoluntarygmarket.gLiabilitygisgapportionedgamonggallginsurersgauthorizedgto
gwritegWorkersgCompensationgandgEmployersgLiabilitygingthegstate.
Howgoftengmustganginsurergupdategtheirgrategfilings?g-gcorrectganswergEveryg2gyears
Allginsurersgmustgfilegtheirgratesg45gdaysgbeforegtheirgeffectivegdate.g
Whengagrategincreasesgmoregthang10$gorgmoregwithing12gmonths,gthegCommissionergwil
lgordergandgexamination.
WhatgisgthegCommissioner'sgtermgofgoffice?g-gcorrectganswerg4gyears
WhengdoesgangagentghavegtognotifygthegCommissionergofgagchangegofgaddress?g-
gcorrectganswergWithing30gdays
Howgmanygdaysgaregallowedgtogreportgagcriminalgprosecutiongagainstgaglicensee?g-
gcorrectganswerg30gdays
gGeorgiagcorrectlygansweredg2023gratedgA+
BPPgbuildinggcoverageg-
gcorrectganswerginsuresgthegbuildinggatgthegdescribedglocation,goutdoor,gfixtures,gfurnitur
es,gitemsgusedgtogservicegthegproperty,gpermanentlyginstalledgmachinerygandgequipment
,gandgadditionsgundergconstruction,gincludinggthegmaterials,gsupplies,gandgequipment.
HOglimitsgofgpropertygatgothergresidencesg-
gcorrectganswergtheglargergofg$1000gorg10%gCoveragegC.gLimitgdoesgnotgapplygifgpropert
ygisgmovedgbecausegthegresidencegpremisegisgbeinggrepairedgorgrebuilt.
Whengpropertygisgmovedgtognewlygacquiredgresidence,gtheglimitgshowngongdeclarationgw
illgapplygongagproportionalgbasisgtogeachgresidence
Dwellingsgundergconstructiong-
gcorrectganswergTheglimitgofgliabilitygforgagdwellinggundergconstructiongisgprovisional,gand
gisgbasedgongthegcompletedgvaluegofgthegstructure.gAtgthegtimegofgloss,gthegapplicablegli
mitgisgagpercentagegofgthegprovisionalglimit,gbasedgongthegproportiongofgactualgcashgvalu
egofgthegpropertygatgthegtimegofgloss.gPremiumgisgbasedgongangaveragegamountgofginsur
ancegduringgconstruction.
WatergBackupg&gSumpgPumpgEndorsementg-
gcorrectganswergCoveragegforgupgtog$5,000ginglossgorgdamage,gsubjectgtogag$250gdeduc
tible,gcangbegprovidedgforgangadditionalgpremiumgwithgthisgendorsement.
AutomaticgIncreasegingInsurancegEndorsementg-
gcorrectganswergisgusedgtogprovidegatgthegannualgrenewalgdategofgthegpolicy,gangautomat
icgincreasegingthegCoveragegAgandgBglimitsgofginsurancegtoghelpgoffsetginflation
Otherginsuranceg-
gcorrectganswergAgprovisionginganginsurancegpolicygthatgdefinesghowgthegpolicygwillgresp
ondgifgtheregisganothergvalidginsurancegpolicygwrittengongthegsamegrisk.
StockgCompaniesg-
gcorrectganswergOwnedgbygthegstockholdersgwhogprovidegthegcapitalgnecessarygtogestab
lishgandgoperategtheginsurancegcompanygandgwhogshareginganygprofitsgorglosses.
Mutualgcompaniesg-
gcorrectganswergOwnedgbygthegpolicyownersgandgissuegparticipatinggpolicies.gPolicyown
ersgaregentitledgtogdividends,gwhichgaregagreturngofgexcessgpremiumgandgaregnontaxable
.
6gclassesgofginsurancegingGeorgiag-gcorrectganswerg1.gLife,gaccident,gandgsicknessg
2.gProperty,gmarine,gandgtransportation
3.gCasualty
,4.gSurety
5.gTitle
6.gHMOs
HowgoftengmustgthegInsurancegCommissiongexaminegdomesticginsurers?g-
gcorrectganswergOncegeveryg5gyears.
Whatgaregthegtimelinesgifgaghearinggisgrequested?g-
gcorrectganswergAghearinggmustgbegmadegwithing30gdaysgofgthegreceiptgofgthegrequest.
Agnotificationgofgtheghearinggmustgbegsentgatgleastg15gdaysgingadvance.g
Withing30gdaysgofgtheghearing,gthegCommissionergmustgreleaseghisgdecision.
Whatgaregthegpenaltiesgaftergagnotice,ghearing,gandgceasegandgdesistgorder?g-
gcorrectganswergAgfinegofgupgtog$10,000gpergviolation
Suspension/revocationgofglicense
Anygothergappropriategrelief.
Expressgauthorityg-
gcorrectganswergthegauthoritygofgangagent,gstatedgingthegdocumentgorgagreementgcreatin
ggthegagency
Impliedgauthorityg-
gcorrectganswergAuthoritygthatgisgnotgexpressedgorgwrittengintogthegcontract,gbutgwhichgth
egagentgisgassumedgtoghavegingordergtogtransactgthegbusinessgofginsurancegforgthegprinci
pal.
Apparentgauthorityg-
gcorrectganswergThegappearancegorgthegassumptiongofgauthoritygbasedgongthegactions,g
words,gorgdeedsgofgthegprincipalgorgbecausegofgcircumstancesgthegprincipalgcreated.
Whengdoesgangagentsglicensegexpire?g-
gcorrectganswergLicensesgareggoodgtogforg2gyearsgandgexpiregongtheglastgdaygofgtheglice
nsee'sgwithgmonth.
WhatgaregthegCEgrequirementsgforgangagent?g-
gcorrectganswerg24gCEgcreditghoursgeveryg2gyears,gincludingg3gcreditghoursgofgethics.
Agentsgwithglicensedgforg20gyearsgonlygneedg20gCEgcreditghours,gincludinggethics.
Howglonggmustgangagentgkeepgrecordsgregardinggcontracts,gpremiums,getc.?g-
gcorrectganswergAllgrecordsgmustgbegkeptgforg5gyearsgaftergthegcompletiongofgagtransacti
ongorgforgthegtermgofgthegcontract,gwhichevergisggreater.
Misrepresentationg-
gcorrectganswergIssuing,gpublishing,gorgcirculationgandgillustrationgorgsalesgmaterialsgthat
,gisgfalse,gmisleading,gorgdeceptivegasgtogpolicygbenefitsgorgterms,gthegpaymentsgofgdivide
nds,getc.
Falsegadvertisingg-
gcorrectganswergadvertisinggthatgisgmisleadinggingsomegimportantgway,gincludinggthegfail
uregtogrevealgfactsgaboutgpossiblegresultsgfromgusinggthegadvertisedgproducts
Rebatingg-
gcorrectganswergAnyginducementgofferedgingthegsalegofginsurancegproductsgthatgisgnotgsp
ecifiedgingthegpolicy.gTheygaregillegalgingGeorgia.
Twistingg-
gcorrectganswergAgformgofgmisrepresentationgingwhichgangagentgpersuadesganginsured/o
wnergtogcancel,glapse,gorgswitchgpolicies,gevengwhengit'sgtogtheginsured'sgdisadvantage.
Churningg-
gcorrectganswergReplacingginsurancegpoliciesgforgthegsolegpurposegofgmakinggcommissi
ons.gItgisgillegalgtogreplacegexistingglifegorgdisabilitygpoliciesgwithgnewgpoliciesgifgthegprod
ucergcannotgdemonstrategthatgthegreplacementgwillgbenefitgtheginsured.
Coerciong-
gcorrectganswergUnfairgtradegpracticegwheregangagentgusesgphysicalgorgmentalgforcegwit
hgthegintensegofginducinggangapplicantgtogpurchaseginsurance.
Defamationg-
gcorrectganswergDefamationgoccursgwhengangoralgorgwrittengstatementgisgmadegthatgisgin
tendedgtoginjuregagpersongengagedgingtheginsurancegbusiness.gThisgalsogappliesgtogstat
ementsgthatgaregmaliciouslygcriticalgofgthegfinancialgconditiongofganygpersongorgagcompa
ny.
Controlledgbusinessg-
gcorrectganswergControlledgbusinessgisganygcoveragegwrittengongagproducer'sgownglife,gh
ealthgorgproperty,gand/orgthatgofgthegproducer'sgimmediategfamilygorgbusinessgassociate
s.gAglicenseegisgnotgallowedgtogcollectgcommissionsgongcontrolledgbusinessgatgrateghigh
ergthang25%gofgthegagent'gvolumegpergcalendargyear.
Whatgisgagbinderg-
gcorrectganswergAgtemporaryginsurancegcontractgthatggoesgingeffectgpriorgtogthegpolicygis
sue.gNogbindergshallgbegvalidgpassgthegissuancegofgthegpolicygbeyondg90gdaysgofgitsgeffe
ctivegdate,gwhichevergperiodgisgshorted.
GeorgiagFAIRg-
gcorrectganswergThegGeorgiagFairgAccessgtogInsurancegRequirementgprovidesgbasicgpro
pertyginsurancegforgthosegwhogcannotgobtaingitgingthegordinarygmarket.
, GeorgiagAutomobilegInsurancegPlang-
gcorrectganswergThegGeorgiagAutomobilegInsurancegPlangmakesgautomobileginsuranceg
availablegforginsuredsgwhogaregunablegtogpurchasegcoveragegingthegvoluntarygmarket.gW
hengangautomobilegpolicygisgcancelledgorgnonrenewedgforgagreasongothergthangforgnonp
aymentgofgpremium,gtheginsurergmustgnotifygtheginsuredgofgtheirgeligibilitygforgcoveragegt
hroughgthegGeorgiagAutomobilegInsurancegPlan.gThegnoticegaboutgthegPlangmustgacco
mpanygthegnoticegofgcancellationgorgnonrenewal.
Workman'sgCompensationg-
gcorrectganswergCoversgallgbusinessgwithg3gorgmoregemployees
Workman'sgCompensationgCoverageg-gcorrectganswergDoctorsgbills
hospitalgbills
physicalgtherapy
prescriptions
necessarygtravelgexpenses
Treatmentglimitedgtogmaxgofg400gweeksgunlessginjuriesgaregcatastrophic.
WhatgaregthegbenefitgpayoutgrequirementsgforgWC?g-
gcorrectganswergWorkersgcangcollectgWCgbenefitsgaftergbeinggoutgofgworkgforgmoregthang
7gdays,gandgthegfirstgcheckgwillgarrivegwithg21gdaysgofgthegfirstgmissedgworkday.gThegco
mpensationgisglimitedgtog2/3gofgthegworker'sgaveragegweeklygpaygupgtog$575.
GeorgiagWorkersgCompensationgAssignedgRiskgPlang-
gcorrectganswergThegGeorgiagWorkersgCompensationgAssignedgRiskgPlangexistsgtogpro
videgrequiredgWorkersgCompensationgcoveragegforgemployersgwhogdognotgqualifygforgco
veragegingthegvoluntarygmarket.gLiabilitygisgapportionedgamonggallginsurersgauthorizedgto
gwritegWorkersgCompensationgandgEmployersgLiabilitygingthegstate.
Howgoftengmustganginsurergupdategtheirgrategfilings?g-gcorrectganswergEveryg2gyears
Allginsurersgmustgfilegtheirgratesg45gdaysgbeforegtheirgeffectivegdate.g
Whengagrategincreasesgmoregthang10$gorgmoregwithing12gmonths,gthegCommissionergwil
lgordergandgexamination.
WhatgisgthegCommissioner'sgtermgofgoffice?g-gcorrectganswerg4gyears
WhengdoesgangagentghavegtognotifygthegCommissionergofgagchangegofgaddress?g-
gcorrectganswergWithing30gdays
Howgmanygdaysgaregallowedgtogreportgagcriminalgprosecutiongagainstgaglicensee?g-
gcorrectganswerg30gdays
