PA Regulation Flashcards
Pre licensing Education Requirement
24 Hours
Minimum Age to get license
Age 18
Length of time for temporary license
180 Hours
Producers licenses issued for a term of
2 years
Lapsed license may be reinstated within
1 year of renewal date
Change of address
30 Days
Continuing Education
24 Hours
Hours of ethics
3 hours
Number of hours that may be carried forward to next CE term
24 Hours
Days a Commissioner must give for notice of hearing
10 Days
Maximum producer fine per violation of the insurance code
$5,000 (code 5)
Fine per violation for non-willful violations
$1,000
Aggregate penalty for non-willful violations
$10,000
Finer per willful violations
$5,000 (Will 5)
Aggregate penalty for willful violations
$50,000
Will 50k
Commissioner must examine rating organizations at least
5 Years
Amount of days rates must be filed before use
30 Days
Days forms must be approved unless rejected
30 Days
Commissioner must conduct a examination of every licensed insurer once every
5 Years
Amount of valuable considerations other than money an insurance producer may offer
$100
Guilty of fraud for first violation
$5,000
Guilty of second violation
$10,000
Two 10
Guilty of each subsequent violation
$15,000
Insurers must acknowledge receipt of claim
Within 10 days
Must respond to inquiry from insurance department
Within 15 days
15 responses
Provide an explanation of a claim
Within 30 days
30 Explanation
Keeping replacement transaction records on file
3 years
Maximum policy loan annual fixed interest rate
8%
Free Look Period
10 days for life insurance
45 days for internal (same insurance) replacement of life
20 days for external (other insurance) replacement of life
Grace Period to pay premium
30 Days
Accelerated death benefit
Must be at least 25% but no more than 100% of the total death benefit
Chronically ill
Unable to perform at least 2 ADLs
Terminally ill
Expected to result in death in 24 months or less
Viator has the right to rescind the contract for __ days for at least __ days after receiving viatical settlement proceeds
30 days
15 days
Probationary periods must not exceed __ days
30 days
30 Pro’s
Free look for health insurance and free look for LTC and Medicare
10 days for health insurance
30 says for LTC and Medicare
Time limit on certain defenses (incontestability) health policy provision
3 Years
LTC Minimum benefit period
12 Months
LTC Minimum inflation protection percentage that must be offered
5%
5 foot min
First Year Commissions
May not be greater than 50% of the first-year premium
Renewal commissions may not exceed
10% of the renewal premium
Maximum pre-existing condition exclusion period
6 Months
Penalties for violating LTC regulations are up to ___ times the commissions paid for each policy involved, or ___ whichever is greater
3 times
or $10,000
Maximum first year compensation
No more than 200% of first year compensation
Open enrollment for Medicare Part B and being 65 or older
6 Months
Guaranteed issue is available to those who had prior group health coverage or medicare advantage who apply for medicare supplement within
63 days
