Assignment 15

Question 1

Regulation

Answer 1

The supervision and control of an activity for a specific purpose by an entity that is not directly involved in, or party to, the activity.

Question 2

Producer

Answer 2

Any of several kinds of insurance personnel who place insurance business with insurers and who represent either insurers or insureds, or both.

Question 3

Legislation

Answer 3

Law enacted by a legislative body.

Question 4

Jurisdiction

Answer 4

The geographic area over which authority extends.

Question 5

Common-law system

Answer 5

A legal system in which the body of law is derived more from court decisions as opposed to statues or constitutions.

Question 6

Civil law system

Answer 6

A basic legal system that relies on scholarly interpretations of codes and constitutions rather than court interpretations of prior court decisions, as in common-law systems.

Question 7

Precedent

Answer 7

A court decision that serves as an example, or rule, for later, similar cases.

Question 8

Stare decisis

Answer 8

The principle that lower courts must follow precedents set by higher courts.

Question 9

Administrative agency

Answer 9

An official governmental body that is empowered with the authority to implement and administer particular legislative acts.

Question 10

Administrative law

Answer 10

The statutory laws that grant power to administrative agencies to act and the body of law that is created by administrative agencies themselves.

Question 11

Loss exposure

Answer 11

Any condition or situation that presents a possibility of loss, whether or not an actual loss occurs.

Question 12

Misrepresentation

Answer 12

A false statement of a material fact on which a party relies.