Florida Statutes, Rules, and Regulations Common to All Lines

An entity makes contracts to pay determinable benefits on determinable contingencies but holds no Florida certificate of authority. How is it best described?

Answer and explanation
Answer: D. Whether contracts are insurance is settled by section 624.02, which turns on indemnity or a determinable benefit upon determinable contingencies. Whether the entity may transact in Florida is settled separately by section 624.09, which makes an insurer unauthorized when it holds no subsisting certificate of authority. The two questions are distinct, so the entity is an insurer and it is unauthorized.Source: Fla. Stat. § 624.02 — 624.02 read with 624.09(1)

On the exam in: Florida · difficulty: medium

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