State RegulationsVA specificDifficulty 1/5
An insurer terminates a Virginia producer's appointment and notifies the producer. How long does the producer have to stop soliciting that insurer's business after receiving the termination notice?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under Va. Code § 38.2-1834, an insurer that terminates an appointment must notify the producer within 5 calendar days of the termination, and the producer must stop soliciting that insurer's business within 10 calendar days after the termination notice. The staggered deadlines keep the marketplace honest: customers are not solicited by someone whose authority has already ended, and the insurer's book is protected from post-termination sales.
Why the other options are wrong
- B) 30 days belongs to the appointment-notification and for-cause reporting timelines, not to the stop-soliciting duty under Va. Code § 38.2-1834.
- C) 60 days is far longer than the law allows; solicitation must end within 10 calendar days of the notice.
- D) 90 days is not an appointment-related deadline in Virginia's framework.
Memory hook
Terminated? Five days to hear about it, ten days to hang up the phone on that insurer.