Washington State Property & Casualty Insurance Exam 100- correct answers

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Authorized Insurer - An insurer that has qualified and received a Certificate of Authority from the Department of Insurance to transact insurance in the state. Contact adhesion - the accepter of the... contract must "adhere" to the written contract inducement - An action aimed at persuading insolvent - Bankrupt; unable to pay debts. Transacting Insurance - Conducting insurance business, such as soliciting or negotiating to buy or sell an insurance policy. Unauthorized Insurer - Is held personally liable. Each violation is separate and can result in suspension, revocation of license, and a min fine of $25,000. (Class B Felony) When would a commissioner order a replacement policy? - When a unauthorized insurer improperly placed a policy. Would be replaced by a policy with a legal insurer. Surplus Lines - Insurance that is not available or offered in the regular marketplace from admitted insurers. Insurance Commissioner (IOC) - State elected term of 4 years. insurance Commissioner duties - -Protects the Public from unfair trade practices - Examinations/investigations - Hearings - Cease and Desist orders - Public information - Appoints Dep. Chief Commissioner - How often must the Insurance Commissioner examine companies? - As often as deemed necessary, but MUST be done every 5 years Receiving Written Notice from Commissioner - the person must respond within 90 days. if not made the request is considered waved [Show More]

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