Georgia State Insurance Laws| 150 QUESTIONS| WITH COMPLETE SOLUTION

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Chief Executive Officer of the Office of Insurance Correct Answer: Insurance and Safety Fire Commissioner (Commissioner) What is the Ins. Commissioner's term of office? Correct Answer: 4 years ... Chief Deputy Commissioner Correct Answer: Appointed by commissioner and assumes duties if the commissioner is disabled or absent Powers of Commissioner Correct Answer: Regulation Examination of records Investigation Hearing and judicial review Issuing penalties Regulatory Authority Correct Answer: The Commissioner is given the authority to enforce the laws related to insurance created by the state legislature. Likewise, the commissioner is granted the authority to produce rules related to administration and enforcement of such laws. The legality of any rule is determined by the State Attorney General. Examination Correct Answer: When the Commissioner feels it is necessary, he may examine insurance companies' authorized to do business in Georgia related to transactions, accounts, records and assets and other facts relative to its business methods, management and dealings with policyowners. How often are companies subject to Examination Correct Answer: Every 5 years Who is examined every 5 years Correct Answer: Domestic Insurance Companies and rating organizations. Who is SUBJECT to examination Correct Answer: insurance agent, subagent, broker, counselor, adjuster or other licensed person. Any person with a contract granting a dominant right of control of an insurance company. Those persons controlling the management of, or involved in the creation or promotion of an insurance co. or an insurance co. holding company Investigation Correct Answer: To gather information related to the activities of insurance companies, agents, and others in the conduct of insurance transactions. The Commissioner may hold hearings to discover possible violations. They are empowered to subpoena witnesses and ask questions of those commanded to those hearings. Hearing and Judicial Review Correct Answer: The Commissioner may hold a hearing based upon his belief that there is a possible violation of the Insurance Code or in response to a written demand made by any person who feels they have been wronged under Georgia insurance law. After a person has complained and the Commissioner feels that grounds for the hearing exist...the hearing will be held within 30 days of the demand. The Commissioner will serve notice of hearings by registered mail. The Commissioner may preside or assign a designated representative as a hearing officer Penalties Correct Answer: The Commissioner has the right to impose any penalty or remedy provided by the law against any person who has been investigated and found responsible for a violation without a hearing. If the wrongdoer wishes a hearing they must make such request within 10 days of receipt of the order. If found in violation of the law, what are the actions taken by the Commissioner's office Correct Answer: a) to cease and desist (stop) from engaging in that act or practice. b) to be placed on probation for a period of time not exceed 1 year for each and every violation. c) payment of fine of not more than $1,000 for each violation, unless the violator did it knowingly and in that case the penalty shall not be more than $5,000 for each violation. d) a person or organization who fails to pay the penalty after it becomes final is subject to a judgment ordered by the appropriate court upon request of the Commissioner. If the Commissioner feels a violation warrants criminal prosecution, what happens Correct Answer: He turns it over to the appropriate authorities Domestic Insurer Correct Answer: insurance company formed (or chartered) under the laws of Georgia. Foreign Insurer Correct Answer: insurance company formed (or chartered) under the laws of another state or government of the United States. Alien Insurer Correct Answ [Show More]

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