State RegulationsAZ specificDifficulty 1/5
Under Arizona's insurance fraud provisions, insurers may be assessed for the support of the DIFI insurance fraud unit in which amount?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under A.R.S. 20-466 and 20-466.01, an insurer may be assessed $1,050 per year to support the DIFI insurance fraud unit that investigates fraudulent insurance acts.
Why the other options are wrong
- B) $5,000 per violation is the attorney general's civil fraud recovery cap under A.R.S. 20-466.02, not the annual fraud-unit assessment.
- C) $2,500 is the intentional-violation producer discipline figure under A.R.S. 20-295(F), not the fraud-unit assessment.
- D) $120 is the producer license fee, unrelated to the fraud unit.
Memory hook
$1,050 a year keeps the fraud unit here.