Term 1 of 154
Rebating occurs when an insured is offered something of value in order to induce the sale of an
insurance product. Both the offer and acceptance of a rebate are ___.
illegal
Dividends paid
3 years
D) 45 days
Term 2 of 154
It would be considered unfair discrimination to ask an applicant for their ___, as well as using sexual
orientation as a rating factor to determine insurability.
sexual orientation
C) Discrimination
B) Misrepresentation.
plus 2 prior calendar years unless
Term 3 of 154
Which of the following statements is INCORRECT with regards to Surplus Lines Insurance?
Before coverage is placed with a surplus lines company, diligent effort must be made to
place the risk with admitted insurers.
Business placed with a surplus lines insurer is subject to a premium tax that must be
collected by the broker.
Policies written by a surplus lines insurer typically contain standard coverages and forms.
To sell Surplus Lines Insurance, the licensee must obtain a Surplus Lines Broker's License.
,Term 4 of 154
A producer's appointment with an insurer has been terminated. Under what circumstances can the
producer sue the insurer or the Commissioner for information provided during producer
investigation?
If the termination was a result of willful and malicious behavior
In the absence of reliable information about the producer
If no regulatory enforcement agencies are involved
Under no circumstances
Term 5 of 154
All are unfair and deceptive practices except for ___.
within 15 days
properly licensed for that line of insurance.
insurance producer license
controlled business
Term 6 of 154
Whenever the Commissioner issues a cease and desist order, how will that order be delivered to
the person in violation?
Hand delivered
Electronically
By certified mail
By regular mail
,Term 7 of 154
The failure of a company transacting insurance business in Colorado to obtain a certificate of
authority will ___ of such company and shall not prevent such company from defending any action
in any court of this state.
illegal trade practice called defamation
A) Promptly return it to the Commissioner
not impair the validity of any act or contract
In the absence of willful and wanton behavior
Term 8 of 154
All of the following could be considered rebates if offered to an insured in the sale of insurance
EXCEPT
An offer to share in commissions generated by the sale.
Dividends from a mutual insurer.
An offer of employment.
Stocks, securities, or bonds.
Term 9 of 154
What is the minimum age for producer licensing in this state?
18
19
21
23
, Term 10 of 154
The Commissioner may conduct an examination or investigation of any company or person as
often as deemed appropriate, but at least once ___.
every 5 years.
suspend or revoke
commingling
A) Every 5 years
Term 11 of 154
Debtors cannot be told to purchase credit insurance from ___. This is known as an unfair practice of
coercion.
the Commissioner within 15 days
B) The current calendar year, plus the 2 prior calendar years.
any particular person or entity
defamation
Term 12 of 154
The failure of a company transacting insurance business in ___ of authority will not impair the
validity of any act or contract of such company and shall not prevent such company from
defending any action in any court of this state.
C) Promptly return it to the Commissioner
Colorado to obtain a certificate
company from defending any action in any court of this state
A producer may hold just one appointment
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