General Insurance PrinciplesQuestion 597 of 716
Making false or maliciously critical statements about another insurer's financial condition is the prohibited practice of:
a.Rebating
b.Twisting
c.Coercion
d.Defamation
Explanation
Defamation is publishing false or malicious statements that injure a person or company's reputation, including an insurer's financial standing. Coercion, rebating, and twisting describe different unfair practices.
This topic, taught in full in the California Life & Health Insurance Producer Exam guide. California Life & Health Insurance Producer Exam — Complete Study Guide (2026) — PDF + EPUB, $19.99 · 14-day refund →
Practice all 716 questions free — no signup required.
Own the complete California Life & Health Insurance Producer Exam guide — PDF + EPUB, $19.99 →
Related questions on this topic
- Rebating, which most states prohibit as an unfair trade practice, involves:
- Twisting is a prohibited practice in which a producer:
- Churning differs from twisting in that churning involves:
- Requiring a borrower to buy insurance from a particular agent as a condition of receiving a loan is an example of:
- A producer who holds premiums collected from clients before remitting them to the insurer is acting in a ________ capacity and must not commingle those funds:
- Commingling, a violation of a producer's fiduciary duty, means:
Last reviewed: · editorial process
PrepPass team · Verified against California Life & Health Insurance License Exam · How we review
Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)