State RegulationsFL specificDifficulty 1/5
In Florida insurance regulation, 'controlled business' means
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Answer & full 3-part explanation (select an option above, or peek)
Why C is correct
Under Chapter 626, Florida Statutes, controlled business is insurance an agent writes on the agent's own interests, or on property, businesses, or family interests in which the agent holds a financial stake. Because the coverage is written for the agent's benefit rather than the public's, Florida restricts agents from making controlled business the mainstay of their production.
Why the other options are wrong
- A) Administrative supervision of an insurer is a solvency-regulation concept, not controlled business.
- B) Group sales to large employers are ordinary commercial business involving no self-interest by the agent.
- D) Advertising gifts within the $100 exemption concern rebate law, not the definition of controlled business.
Memory hook
You own the risk you write = controlled business.