California Insurance Code & EthicsQuestion 74 of 315
An agent intentionally writes incorrect age on a senior's life insurance application to qualify the applicant for a better rate class. Which of the following best describes the violations?
a.Only a contract violation; the insurer can simply adjust the premium
b.A protected sales practice when done in the client's best interest
c.Misrepresentation under §790.03 and fraudulent conduct supporting license revocation under §1668
d.Permissible because age is verifiable later from the death certificate
Explanation
Intentionally falsifying application data is a misrepresentation that violates §790.03 and constitutes fraudulent conduct under §1668, exposing the agent to license revocation, fines, and criminal liability. The misstatement-of-age clause adjusts benefits but does not excuse fraud.
Law Reference: Cal. Ins. Code §1668(d), §790.03Practice all 315 questions free — no signup required.
Related questions on this topic
- After a life insurance policy is replaced under California rules, the existing insurer has the right to:
- An agent advertises an "educational lunch seminar" for seniors at a local hotel. Under §789.9, which of the following is prohibited?
- California's annuity suitability rules require an insurer or producer recommending an annuity to a consumer to have reasonable grounds to believe the recommendation is suitable based on:
- Soliciting or transacting insurance under a fictitious name (DBA) requires:
- Under California life replacement regulations, the replacing insurer must send the existing insurer a copy of the replacement notice (and any sales material used) within how many working days of receiving the application?
- An agent's appointment with a particular insurer is terminated for cause. The insurer must notify the Commissioner of the termination and the reasons:
Last reviewed: · editorial process
Sen Lin, PrepPass Founder · 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)