7.3 Terms Only

Question 1

authorized insurer

Answer 1

an insurer who has received a Certificate of Authority from the department of insurance to transact insurance in this state

Question 2

Cease and desist

Answer 2

to stop or discontinue

Question 3

Commission

Answer 3

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

Question 4

Commissioner

Answer 4

the head of the State Department of Insurance

Question 5

Exempt

Answer 5

not subject to an obligation

Question 6

Home office

Answer 6

insurer’s headquarters, principal place of business

Question 7

an inducement

Answer 7

an offer that attempts to influence the other party

nononononono don’t

Question 8

Insolvent

Answer 8

unable to meet financial obligations

Question 9

Reciprocity

Answer 9

a mutual interchange of rights and privileges

Question 10

Statute

Answer 10

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

Question 11

Statutory

Answer 11

enacted or regulated by a statute