State RegulationsGA specificDifficulty 2/5
After notice and an opportunity for a hearing, what may the Insurance Commissioner do when a Georgia producer willfully violates the state's insurance laws?
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Answer & full 3-part explanation (select an option above, or peek)
Why C is correct
Under the licensing provisions of the Georgia Insurance Code (O.C.G.A. § 33-23-1 through § 33-23-46), the Insurance Commissioner may, for cause and after notice and an opportunity for a hearing, suspend or revoke a producer's license. This administrative discipline is separate from any criminal prosecution for conduct such as premium misappropriation.
Why the other options are wrong
- A) A nonbinding advisory letter is not the disciplinary tool the statute provides for willful violations.
- B) License discipline rests with the Insurance Commissioner; the producer's insurer cannot discipline the state license.
- D) The Commissioner's authority does not depend on the producer first admitting the violation.
Memory hook
Notice, hearing, then suspend or revoke — the Commissioner's hammer.