South Carolina Life Insurance Practice Exam

Disable ads (and more) with a membership for a one time $4.99 payment

Prepare for the South Carolina Life Insurance Exam. Utilize flashcards and multiple choice questions with detailed explanations to enhance your understanding. Ace your exam!

Practice this question and more.

Once the Director issues a cease and desist order, how soon must an insurer comply with the order?

Within 14 days
Within 30 days
Within 60 days
Immediately

The correct answer is: Within 30 days

The requirement for an insurer to comply with a cease and desist order issued by the Director is immediate. This means the insurer must take action to cease any specified activities as outlined in the order without delay to prevent further violations. Immediate compliance is essential to uphold regulatory standards and protect consumers from potential harm associated with the insurer’s actions that the order seeks to prevent. This provision emphasizes the importance of regulatory authority in maintaining ethical and legal conduct within the insurance industry, ensuring that insurers cannot continue practices deemed harmful or illegal while waiting for a specified period to elapse. Thus, determining the correct timeframe underscores the regulatory intent behind swift actions to address compliance issues in the insurance sector.