Idaho Statutes, Rules & Regulations common to All Lines Flashcards
What is a foreign insurer?
An insurer with a home office in another state.
A policyowner provides a check to the producer for her initial premium. How soon from receiving the check must the producer remit it to the insurer?
Within 21 days
If there is a complaint regarding an insurer and the matter can be cleared by looking at a record of a particular transaction, which authority would most likely conduct the investigation?
Director
An insurer decides to change its premium rates. Which entity must approve this change before it can go into effect?
Director of Insurance
Agents who persuade insureds to cancel a policy in favor of another one when it might not be in the insured’s best interest are guilty of what?
Twisting
Which type of insurance is base on mutual agreements among subscribers?
Reciprocal Insurance
True or False: On a participating insurance policy issued by a mutual insurance company, dividends paid to policyholders are taxable.
False - they are not taxable.
Within how many days are insurers required to notify the Director that a producer’s employment has been terminated?
30 Days
In any case where there is controversy or dispute between the insurance company and the insured, the soliciting agent is the agent of the what?
Company
Records of insurance transacted must be kept available for a minimum of how many years?
5 Years
What is the minimum age requirement for an adjuster license in Idaho?
21
True or False: An agent will always be deemed to represent the insurer, not the insured.
True
The Director issues an order to an insurer and immediately receives a request for the charges to be reviewed in court. Within what number of days must the hearing be held?
30 Days
True or False: Commissions are regulated areas of the insurance industry.
False
An applicant is denied insurance because of information found on a consumer report. What is required of the insurance company to supply the applicant with the name and address of the consumer reporting company?
Fair credit reporting act
What is the maximum penalty for habitual willful noncompliance with the Fair Credit Reporting Act?
$2,500
An agreement that is enforceable by law is known as what?
Legal Contract
Fire insurance companies must report to the state fire marshal any settlements related to fire losses in excess of what amount?
$1,000
What type of insurers are owned by stock holders?
Stock
If a consumer requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply?
5 Days
When is it legal to limit coverage based on marital status?
It is never legal to limit based on marital status.
How many continuing education credits are required every 2 years?
3 Credits
When the Director requests a hearing, written notice must be submitted how many days in advance?
14
Within how many days of requesting an investigative consumer report, must an insurer notify the consumer in writing that the report will be obtained?
3 Days
True or False: Rebating is defined as any inducement offered to the insured in the sale of insurance products that is not specified in the policy.
True
True or False: Dividends from a mutual insurer could be considered rebates if offered to an insured in the sale of insurance.
False
What effect does the Terrorism Risk Insurance Act of 2002 have on the war and military action exclusion with regard to property and casualty insurance?
Nullifies the exclusion of certified acts of terrorism as covered by the act.
Who might receive dividends from a mutual insurer?
Policyholders
What is the major difference between a stock company and a mutual company?
Ownership
What does the Federal Fair Credit Reporting Act do?
Regulates consumer reports
Producers are required to complete approved continuing education courses. Who approves courses available to producers in this state?
The Director
An insured purchased an insurance policy 5 years ago. Last year she received a dividend check that was not taxable, but this year she did not receive a check. From what type of insurer did the insured purchase the policy?
Mutual Insurer
The Gramm-Leach-Bliley Act was passed to do what?
Protect private customer information filed with a financial institution.
If a producer’s license has been revoked, what is the maximum amount of time the producer may be prohibited from reapplying for a new license?
5 Years
