Insurance - Florida Statutes, Rules, &
Regulations Common to All Lines
Solicitation
Negotiations
Sale
Advising individual on coverage/claims - ANS- What four things does insurance
transaction mean?
Insurance Contract - ANS- This is an agreement between a policyowner (often an
insured) and an insurer, where the insurer agrees, for consideration, to idemnify the
insured for loss caused by specified events
Insurer - ANS- This is the company or organization that issues a policy of finsurance
Certificate of Authority - ANS- What must an insurance company obtain before
transacting insurance within a given state?
Domestic Insurer - ANS- This is an insurance company that is incorporated in this state.
Most times the home office is in the state which it is formed
Foreign Insurer - ANS- This is an insurance company that is incorporated in another
state or territorial possession
Alien Insurer - ANS- This is an insurance company that is incorporated outside the
United States
Stock Companies - ANS- These are owned by the stockholders who provide the capital
necessary to establish and operate the insurance company
Nonparticipating Policies - ANS- Policies issued by a stock company so that the
policyowners do not share in profits or losses (unless also stockholder)
Mutual Companies - ANS- These are companies owned by the policyholders and issue
participating policies, where policyowners are entitled to dividends (nontaxable), but not
guaranteed
Fraternal Benefit Society - ANS- An organization formed to provide insurance benefits
for members of an affiliated lodge, religious organization, or fraternal organization with a
representative form of government. Only sell to their own members, and considered
charitable institutions, not insurers
, Risk Retention Group - ANS- This is a liability insurance company owned by its
members. The members are exposed to similar liability risks by virtue of being in the
same business or industry. Purpose is to assume/spread all or part liability of group
members
Authorized - ANS- Insurers who are considered this ____ have met the states financial
requirements and were approved to transact business
Unauthorized or Nonadmitted - ANS- Insurers who are considered this ___ have not been
approved to do business in the state
Unauthorized Insurer - ANS- An entity that is required to be licensed by Florida, but is
operating without the licensing, is called ?
Third-Degree Felony - ANS- What can an indivdual be charged with for any unpaod
claims or refunds of premiums when representing an unauthorized insurer
Reinsurance - ANS- This is a contract under which one insurance company indemnifies
another insurance company for part or all of its liabilities
Ceding Insurer - ANS- The company that procures insurance on itself from another
insurer is called the?
Assuming Insurer - ANS- The insurer providing reinsurance to another insurance
company is called?
Department of Financial Services - ANS- What Florida Department regulates insurance?
Financial Services Commission - ANS- Within the Department of Financial Services,
what is the Commission that oversees the office of financial regulation and the office of
insurance regulation?
Office of Insurance Regulation - ANS- This office is responsible for all activities
concerning insurers, including licensing etc...
Office of Financial Regulation - ANS- This office is responsible for all activities of the
Financial Services Commission related to the regulation of banks, credit unions, finance
companies, and securities industry
Chief Financial Officer - ANS- This individual helps to administer insurance laws in
Florida, is indepedently elected, and serves as the head of the dept of financial services
and as a member of the financial services commission. He can issue subpoenas, that if
not answered, are contempt of court
Regulations Common to All Lines
Solicitation
Negotiations
Sale
Advising individual on coverage/claims - ANS- What four things does insurance
transaction mean?
Insurance Contract - ANS- This is an agreement between a policyowner (often an
insured) and an insurer, where the insurer agrees, for consideration, to idemnify the
insured for loss caused by specified events
Insurer - ANS- This is the company or organization that issues a policy of finsurance
Certificate of Authority - ANS- What must an insurance company obtain before
transacting insurance within a given state?
Domestic Insurer - ANS- This is an insurance company that is incorporated in this state.
Most times the home office is in the state which it is formed
Foreign Insurer - ANS- This is an insurance company that is incorporated in another
state or territorial possession
Alien Insurer - ANS- This is an insurance company that is incorporated outside the
United States
Stock Companies - ANS- These are owned by the stockholders who provide the capital
necessary to establish and operate the insurance company
Nonparticipating Policies - ANS- Policies issued by a stock company so that the
policyowners do not share in profits or losses (unless also stockholder)
Mutual Companies - ANS- These are companies owned by the policyholders and issue
participating policies, where policyowners are entitled to dividends (nontaxable), but not
guaranteed
Fraternal Benefit Society - ANS- An organization formed to provide insurance benefits
for members of an affiliated lodge, religious organization, or fraternal organization with a
representative form of government. Only sell to their own members, and considered
charitable institutions, not insurers
, Risk Retention Group - ANS- This is a liability insurance company owned by its
members. The members are exposed to similar liability risks by virtue of being in the
same business or industry. Purpose is to assume/spread all or part liability of group
members
Authorized - ANS- Insurers who are considered this ____ have met the states financial
requirements and were approved to transact business
Unauthorized or Nonadmitted - ANS- Insurers who are considered this ___ have not been
approved to do business in the state
Unauthorized Insurer - ANS- An entity that is required to be licensed by Florida, but is
operating without the licensing, is called ?
Third-Degree Felony - ANS- What can an indivdual be charged with for any unpaod
claims or refunds of premiums when representing an unauthorized insurer
Reinsurance - ANS- This is a contract under which one insurance company indemnifies
another insurance company for part or all of its liabilities
Ceding Insurer - ANS- The company that procures insurance on itself from another
insurer is called the?
Assuming Insurer - ANS- The insurer providing reinsurance to another insurance
company is called?
Department of Financial Services - ANS- What Florida Department regulates insurance?
Financial Services Commission - ANS- Within the Department of Financial Services,
what is the Commission that oversees the office of financial regulation and the office of
insurance regulation?
Office of Insurance Regulation - ANS- This office is responsible for all activities
concerning insurers, including licensing etc...
Office of Financial Regulation - ANS- This office is responsible for all activities of the
Financial Services Commission related to the regulation of banks, credit unions, finance
companies, and securities industry
Chief Financial Officer - ANS- This individual helps to administer insurance laws in
Florida, is indepedently elected, and serves as the head of the dept of financial services
and as a member of the financial services commission. He can issue subpoenas, that if
not answered, are contempt of court
