| A | B |
|---|
| The operations & activities in the Ins Industry are governed | Illinois Code |
| The Code establishes the ____ | Department of Insurance |
| The Department of Insurance administered a | Director of Insurance |
| The Director is appointed by | Governor with the Senate's approval |
| General Powers | Establishes & amends rules & regulations to carry out duties |
| #2 General Powers | Conduct investigations & examinations |
| #3 General Powers | Issues Cerficates of Authority, Issue Ins licenses |
| #4 General Powers | Ensures Ins business is conducting according to law... |
| #5 General Powers | Take action to enforce Code |
| #6 General Powers | Impose fines of $100 per day, up to $5000 to violators.... |
| #7 General Powers | After a cease & desist order.. no less 20 nor more than 30... |
| The Director may ___& investigate the affairs... | Examinations |
| The Director may examine: | Ins companies authorized in Illinois |
| The Director #2 may also examine: | Persons involved W/ the formation of Ins company |
| The Director #3 may also examine: | General agents, managing agents or... |
| The Director #4 may also examine: | Licensed representatives or any person... |
| The Director #5 may also examine: | Loss adjustment & Premium fina.... |
| The Director #6 may also examine: | Persons who have inform on any of the.... |
| If a person who has been subpoenaed does not testify they | may be fined up to $1000 |
| The individual will have ___days to request hearing | 14 days |
| When hearing is scheduled, notification sent | 10 days in advance |
| Any person violates an order from the Director | fined up to $5000 |
| Repeatedly violates Ins laws | fined up to $1000 for each violations |
| Fines cannot exceed | $250,000 |
| What are the three types of licenses | Ins producer, limited Ins representative, temporary Ins producer |
| Violations to persons not being licensed | Class A misdemeanor |
| A Ins producer means any person | solicits, negotiates, effects, procures.... |
| A limited Ins representative is | appointed by an Ins company(HMO's) |
| Applicants for limited Ins | are not required to take a written exam or pre... |
| Nonresidents | Ill treats ___onthe basis of reciprocity. |
| Nonresidents must be licensed in | their state of residence |
| Temporary Ins Producers | is someone who get a 90-day license... |
| Temporary license is only available for__ | one time in life |
| A temporary license may also be issued to | surviving spouse, next of kin, estate executor... |
| License may be renewed for an aggregate | 15 months |
| Who are exemptions from license | administrative, clerical & support staff.. |
| All temporary license requests must be submitted | by the Ins company |
| All applicants must meet the following requirements | 18 years old, trustworthy, competent, good reputation, paid fees |
| Annual license fees for producer | $75 |
| Temporary producer license fees | $25 |
| Annual fee for limited insurance representative | $25 |
| Application fee for each examination request | $25 |
| License reinstatement fee | $50/renewal fees for all yrs. ($75 per years) |
| Pre-Licensing- Life Ins hours | 15 hours |
| P-L-Accident/health Ins hour | 15 hours |
| Fire Insurance pre-L hours | 15 hours |
| Causualty Ins pre-L hours | 15 hours |
| Motor Vehicle Ins pre-L hours | 7 1/2 hours or all of them 37 1/2 hours |
| An Ins producer who brokers Ins file bond of | $2,500 or 5% in the previous year, not to exceed $50,000 |
| A license may be reinstated with | 36 months or 3 years |
| Continuing education | 15 hours annually |
| Controlled business is | Ins solicited family members |
| License will not be issued to anyone who | who write a disproportionate amount of controlled business |
| An change of address must notified the director in writing | 30 days |
| License denial, suspension, revocations | 25 common sense violations... |
| If license revoked, the applicant must wait | three years |
| A suspension term will not be greater than | two years |
| Fiduciary responsibility | No producer may commingle money, $150, misdemeanor |
| Premium records are kept | 7 years |
| Felony convictions | within 30 days |
| Unfair competition & deceptive Acts: | Defamation |
| Unfair claim practices | Misrepresenting policy...common sense |
| Provide written explanation within | 45 days |
| Rebating | means paying kickback...both are illegal |
| Rebating is a Class B | misdemeanor |
| Misrepresentation/twisting | means false or misleading statements $100 & $5000 |
| Defamation | false derogatory or maliciously $100 & $5000 |
| Unfair Discrimination | rate charged, policy fees, dividends... |
| Ill Guaranty Asso../Fund | The assoc was established to protect the insured...insolvency |
| Maximum obligation of assoc | $100,000 in total CV&$300,000 for all benefits(including CV) |
| All advertising materials must be maintained in file | 4 years |
| Replacement mean | buying new Ins to take the place of existing Ins |
| Dutries of Agent regarding replacement | Obtain a signed ..Inform the Ins...Present the applicant..Submit copy... |
| Copy of the Notice Regarding Replacement Life Ins.. | least three years |
| Disclosure requirements | The Buyer Guide/Policy Summary |
| Accelerated benefits | Terminal illness/qualified covered condition 50% |
