Texas State Law

Commissioner of Insurance

appointed by governor for 2 years

Commissioner

must have 5 years experience in business or government

Commissioner

must provide a $50k surety bond

State fees in excess of ___ must be submitted by electronic transfer.

$500,000

Persons must respond to the commissioner inquires within ___ days

15

Department must send notice of violation within ___ of findings.

14

Response from ledged violator must be within ___ days of receipt.

20

Insurers must be examined every ___ years.

5

Maximum penalty for insurance code violations.

$25,000

Minimum age for license is

18

Waiting period to reapply if license is denied or revoked

5 years

Total Continuing Education Requirement

24 hours

Ethics and Consumer protection Continuing education requirement

3 hours

Long Term Care CE Requirements

8 hours for initial course

4 hours every 2 years

Small employer health Benefits CE Requirements

8 Hours for Initial Course

5 Hours every 2 yrs

Medicare - Related products

8 hours for intial training

4 hours for CE every 2 yrs.

Annuity Products Continuing Ed

4 hours for course

4 hours every 12 months

Business entity agent licensed are renewed every __ years after the licensed has been issued.

2

Agent Licenses for individuals are renewed every __ years based on their birth year.

2

if a license has been expired for __ days or less, it may be renewed by paying the renewal fee plus and a 50% penalty.

90

A license more that ___ expired but less than one year cannot be renewed: a new license may be issued with no exam upon payment of license and penalty fee.

90

If the license is expire for more than __ year, all requirements for a new license ( including exam) must be met.

1

change of address, felony convictions, or administrative actions must be reported tot he commissioner on a __ Basis.

monthly

Suspected fraudulent activities must be reported tot he commissioner or law enforcement with __ days.

30 Days

Maximum penalty for each violation

$1,000

Maximum penalty for all violations

$5,000

The Association’s Maximum liability per person is as follows: Life Insurance Death Benefit

$300,000

The Association’s Maximum liability per person is as follows: Life Insurance Cash Value

$100,000

The Association’s Maximum liability per person is as follows: Cash Value Annuities

$250,000

The Association’s Maximum liability per person is as follows: Basic Hospital, Medical-surgical, or major medical insurance

$500,000

The Association’s Maximum liability per person is as follows: Disability and long-term care benefits

$300,000

The Association’s Maximum liability per person is as follows: Other Health insruance Benefits

$200,000

Policy loans must be available after __ years.

3

Settlement of Death Benefits

2 months

Time Limit for legal action may not be less than __ yrs.

2

Right to return (free look)

15 days

Policy cannot be back dated more than __ months.

6

Conversions to an Individual policy allowed within __ of coverage termination.

31

Maximum pre-existing exclusion period (Medicare)

6 months

Open enrollment within __ months of enrolling in Medicare part B, and being 65 or older.

6

Right of return/ Freelook (Medicare)

30 Days

Guaranteed issue is available to those who had prior group health or Medicare Advantage coverage who apply for a Medicare supplement within __ days after the date of termination or disenrollment of the prior coverage.

63

Advertisements must be submitted __ days before use.

60

Medicare Supplement first-year commission can be no more that __% of the commission paid for selling or servicing the policy in the second year.

200

Long term care - Provides coverage for not less that __ months.

12

Long term care - Minimum inflation protection percentage

5%

Long Term care- maximum pre-existing exclusion period

6 months

Small Group Health Insurance - employs at least two, but not more than __ eligible employees.

50

Small Group Health Insurance - a minimum of __% of employees must elect coverage

75

Notice of cancellation - __ days for nonpayment of amounts due under the contract (no notice is required for failure to pay premium)

30

Notice of cancellation - ___ days in advance for fraud or intentional misrepresentation

15