Insurance Exam 2024 With 100% Verified Questions And Answers | Rated A+

Power of the Commissioner {Ans: 1. Make rules - Interpret Legislation - Formalize Procedures 2. Issue Orders - Prohibitory (Can't do, Cease and desist) - Mandatory (Must do) - Declaratory (to clarify and further explain a rule) 3. Require Information 4. Examination Powers - Must examine the affairs of domestic insurers and rate companies - Costs averaged among the industry - Non domestic and town mutual due ten ays after billing}Violation of insurance statue or law {Ans: Penalty: $1,000/violation}Rules of Risk Management {Ans: 1. Don't Risk more than you can afford to lose 2. Consider the odds 3. Don't risk a lot for a little 4. Priority for purchasing insurance}Essentials of an Insurance Contract {Ans: Think LACC Legal Purpose Acceptance offer -or acceptance counteroffer Competent Parties Consideration -Insurer "promise to pay" -Applicant's "premium"}Peril {Ans: The actual cause of a loss Natural, Human, Economical, etc}Fraternal Insurer {Ans: 1. Type of mutual 2. Founded for the benefits and sales to their members 3. Many founded along religious or ethnic lines 4. Generally non-profit}