Chapter 15 Terms to Know

Cease and desist

to stop or discontinue

Coercion

forceful act or threat aimed to influence a person to act against their will

Commission

payment to the agent by the insurance company for placing insurance, usually a percentage of the policy premium

Commissioner

the head of the state Department of Insurance and Financial Services (DIFS)

Disclosure

revealed information to help someone make an intelligent and educated decision

Inducement

an offer that attempts to influence the other party

Restitution

restoration to the original condition or repayment

Statute

a formal written law enacted by legislature; insurance statutes can be found in the state Insurance Code

Subpoena

an order for someone to appear as a witness or submit testimony or evidence

Surplus lines

insurance not available from authorized insurers; placed with nonadmitted insurers who specialize in offering insurance to the high-risk market