Law & Ethics Updates
Every licensee must complete this type of course every two years.
4-hour law and ethics update course
What is a fiduciary in insurance?
A person in a position of trust, handling premiums properly
What is “twisting” in insurance sales?
Misrepresentation to replace a policy for profit
Life insurance contracts must provide this period (how many days?) for late premium payment.
Grace period of at least 30 days
How long is the free-look period for a Medicare Supplement policy?
30 days
Licensees must notify the Department within how many days of a change in contact info?
30 days
How long must insurance records be maintained?
At least 5 years after policy expiration
What is “churning”?
Twisting within the same insurer
Nonforfeiture options include all except:
Premium refund only (correct options: reduced paid-up, cash surrender, extended-term)
Can a Medicare Advantage enrollee buy a Medicare Supplement plan?
No
Failure to notify the Department can result in what for a first offense?
A fine up to $250
Misappropriating premiums over $100,000 is what level of felony?
Felony of the first degree
Are promotional gifts valued under $100 considered rebating?
How long before contesting a group life policy for nonpayment is allowed?
2 years from issue date
Long-term care services can include which settings?
Home care, skilled care, adult day care, assisted living
How often must licensees complete continuing education hours?
Every 2 years
Can agents mix company funds with personal funds?
No, co-mingling is a breach of fiduciary duty
What must an agent provide when replacing a life insurance policy?
A Notice Regarding Replacement signed by agent and applicant
A group life policy must include this option to convert to individual coverage
Conversion privilege
Long-term care policies must provide this period (how many days?) for premium payment
Grace period of at least 30 days
Who approves the providers and content of law and ethics courses?
The Florida Department of Financial Services
What account type must agents keep for insurers they are not appointed with?
Separate account
What act penalizes deceptive or unfair insurance trade practices in Florida?
Florida Deceptive and Unfair Trade Practices Act
Who is considered an eligible employee for small employer coverage?
Full-time worker (25+ hrs/week), including sole proprietors or partners if covered
Which activities are considered activities of daily living (ADLs) for long-term care?
Bathing, dressing, eating, toileting, transferring, continence