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46 Cards in this Set
- Front
- Back
Commissioner
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- Elected to a 4 year term during each general election.
- There is no term limit associated with the office - DOES NOT set rates for insurance policies |
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If a licensee is convicted for any crime other than a Motor Vehicle infraction, the licensee shall notify the Commissioner within ____ days after the conviction
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10
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Persons suspected of criminal violations of NC insurance law are given a ____ day notice prior to the date of any hearing.
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10
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Each licensee must give WRITTEN notification to the NCDOI of any change to their residential address or email address or email address within ___ days of the change.
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10
- Failure to provide this information may result in a $50 fee |
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A person who willfully and knowingly
- Makes a false insurance claim - Presents and proof in support of a false insurance claim - Prepares or makes a false account, certificate, affidavit, proof of loss or other documents or writings to an insurer with the intent that it shall be presented or used in support of a claim will be punished as a __________________ for insurance fraud. |
Class I Felon
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Embezzlement of money received is punishable as a ____________________
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Class H Felony
- A representative must provide evidence of the suspected crime to the Commissioner within *30 DAYS* - Embezzlement does not have to take place, however, the intent must be proven |
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The Commission must examine the records of each Domestic Insurer every ______ years.
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5
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All insurance agents must keep the records of complaints made to the department and communicated to the insurer or agent for a period of ___ years
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5
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Statements and descriptions in an insurance policy application or in the policy itself are considered _________________.
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Representation
- They are NOT warranties |
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No insurance company can refuse to insure an individual solely because of _____________ or _________ ____________or _____________ or ___________ ____________, race, color or ethnic orgin
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blindness or partial blindness or deafness or partial deafness
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When an insurer requires a written proof of loss, the form must be furnished within ____ days AFTER the receipt from the notice of a claim
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15
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Agent MAY accept payment of premium by ______ _______.
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Credit Card.
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Insurance Agent Applicant must meet the following:
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- Applicant must apply to the Commissioner (this is done by taking the state exam)
- They must be at least **18 YEARS** old and be + Competent + Trustworthy + Financially responsible + Have not willfully violated the insurance laws of this state or any other state - They must have the required (prelicensing) education - Applicant must pass the licensing exam required by law |
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Restricted License
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May be issued by the Commissioner which is valid to represent the insurer in a foreign country
- A person may be licensed as a foreign military sales agent to represent an insurer |
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Limited Representative
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A person who is authorized to sell contracts for the particular type of insurance as identified by the license
Limited Lines insurance include: - Dental Services - Limited line Credit Insurance - Motor Club - Prearrangement Insurance (funeral, burial) - Travel, Accident - Vehicle Service Agreements |
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An insurer must report to the Commissioner the names of all appointed Agents and pay the prescribed appointment fee within ____ days of the first application for insurance
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15
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Appointments must be renewed annually by ____________
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April 1st
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Insurance Agents writing business in NC may NOT write business for...
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...insurance companies that are not admitted and/or authorized to do business in NC
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An insurer or authorized representative of the insurer who terminates the appointment with the Agent must notify the Commissioner within ____ days after the effective date of the termination
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30
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Within ____ days after notifying the Commissioner, the insurer must mail a copy of the notification to the Agent and the Agents last known address.
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15
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Resident License
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Agent reside in NC.
- Any issued license is void if the licensee ceases to be a resident of the state |
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Nonresident License
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Agent holds a same type of license in another state.
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An Agent must report to the Commissioner an administrative action taken against them in another state or by another government agency in NC within ____ days after the final disposition of the matter.
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30
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Within ____ days after the initial pretrial hearing date, an agent must report to the Commissioner any criminal prosecution taken in state.
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30
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If one applies for and insurance Agents license in NC and is currently licensed for the same types of insurance in their current home state, they are...
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... not required to complete any pre-licensing education or exam if they move to NC.
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Any agent, broker or insurer must notify the Commissioner of a filing for bankruptcy within ____ days of filing
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3
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Whenever the NC Commissioner denies an initial application for a license, the must...
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...notify the applicant, IN WRITING, the reasons for denial
- Within 30 days, the applicant may request, in writing, a hearing |
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The Commissioner may issue a temporary insurance agent license for a period of _____ days or longer for good cause
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180
- This temp license may be issued to anyone that the Commissioner deems as a responsible party |
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Any licensee who ceases to maintain their residency in this State shall deliver their insurance license to the Commissioner by personal delivery or by mail within ____ days after terminating residency
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30
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Rebating
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Any valuable consideration not specified in the contract that is offered as an inducement to purchase insurance
EXAMPLE – would be offering to pay a portion of the commissions from the policy or paying a portion of the premium |
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Any agent or limited rep who signs and BLANK contract or policy of insurance is guilty of a ______________________ and upon conviction, shall be punished only by a fine of $1000 - $5000.
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Class 3 Misdemeanor
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If any persons acts or pretends to act either as a licensee without a license, which is required by law, is deemed guilty of a ______________________.
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Class 1 Misdemeanor
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Commingling (NCAC)
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The accounting records and monies maintained by Agents on behalf of insurers and policyowners must be kept SEPARATE from any other business or personal records or accounts
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Ethical Standards (NCAC)
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Agents, Brokers, Limited Reps, Appraisers, and Adjusters must:
- Identify themselves and their occupation in any transaction with the public regarding insurance affairs - Carry their issued insurance license while conducting insurance affairs - Act as an ethical manner that inspires confidence in the public of the person’s honesty |
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Federal Fair Credit Reporting Act of 1971 (Article 39)
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Established the right of a consumer to know what info has been collected on them.
- Gave the consumer the right to challenge inaccurate info and prohibited use of materials dating back after a specified number of years |
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The Privacy Act of 1974 (Article 39)
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Established the requirement that personal info collected by the insurance industry could not be given to any other party without the consent of the affected party
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Valid Disclosure Authorization Form will remain valid up to _____ months from the date signed if the application involves Life or Health Insurance
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30
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Within ____ days of the notice date from an adverse underwriting decision, the insurer or agent must furnish the 1) __________________________________ 2) ___________________________ within 21 business days of the request date
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90
1) Specific reason for the adverse decision if not initially furnished in writing and 2) Specific terms of personal and privileged info that support those reasons |
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Defamation
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The dissemination of information orally or in writing that provides a false or derogatory statement that would harm the reputation of another party is strictly prohibited
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A person who attempts to obtain anything of value from another by false pretenses with intent to cheat or defraud is guilty of a ____________________.
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Class H Felony
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NC continue Education is required of all insurance agents, brokers, and adjusters every ____ years
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2
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Compliance Period
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The 2 year period (Biennium) in which the licensee must complete their continuing education.
- A total of 24 hours is due by the end of the month of the licensee’s birthday in each Biennium |
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The failure to meet the continuing education requirements will result in...
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...the cancellation of their license
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Within ____ days of the end of their compliance period, they cannot sell or service insurance
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120
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If requirements for reinstatement are not completed within _____ days, the licensee will be required to complete the full pre-licensing education requirement and pass the relative licensing exam.
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120
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A licensee may request a ____ day extension of their normal compliance period from the NCDOI by completing the appropriate request form and paying a $75 fee
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30
- Request must be made no sooner than 30 days before the end of their compliance period and no later than the last day of their compliance period |