Unit 21 - Basic Cram Sheet Facts

The Commissioner of insurance is appointed by the governor for a term of ___ years

2

The commissioner must have at least ___ years’ experience in business or government

5

The commissioner must provide a surety bond of ____

$50,000

State fees in excess of ____ must be submitted by electronic transfer (as regulated by the Commissioner)

$500,000

Persons must respond to Commissioner inquiries withing ____ days

15 days, 10 day extension available

All insurers (including foreign insurers) must be examined at least once every ____ years

5

The Department of Insurance must send notice of violation within ___ days of findings

14 days

Responses from alleged violators must be withing ____ days of notice receipt

20 days

The maximum penalty for insurance code violations is

$25,000

The minimum age to get an insurance license is

18 years

The waiting period to reapply if your license is denied or revoked is

5 years

Temporary licenses are valid for up to ___

180 days

Emergency licenses are valid for ___

90 days

Emergency licenses can be renewed for ___

An additional 90 days

A managing general agent is one who accepts ____ of premium volume, or ___ or more of total annual business, whichever is less, from policies produced and sold by other agents

50%, $500,000

Business entity agent licenses are renewed every ___ after the license is issues

2 years

Agent licenses for individuals are renewed every ___ years based on birth year

2 years - even birthdays renew in even years and vice versa

If a license has been expired for ____, it may be renewed by paying the renewal fee plus a ___ penalty

less then 90 days - 50% penalty

A license expired ____ cannot be renewed, but a new license may be issued with no exam upon payment of the licensing fee and penalty fee

between 90 days and 1 year

A license expired for ___ cannot be renewed, and all requirements for a new license (including exam) must be met

more than 1 year

Change of address, felony convictions, or administrative actions must be reported to the Commissioner on a ____ basis

monthly - within 30 days

Total CE requirement

24 hours

Ethics and consumer protection CE requirement

3 hours out of the total 24 hours

Flood insurance requires a ___ certification course

3 hour

Continuing education records must be kept for ___ years

4 years

No more than ___ of annual premiums can be derived from the applicant, applicant’s family, and applicant’s business associate

75% - you cannot operate solely to solicit to people you’re close to - code requires you to serve the public

Suspected fraudulent acts must be reported to the Commissioner or law enforcement within ___

30 days