State RegulationsGA specificDifficulty 2/5
The Insurance Commissioner adopts a regulation implementing Georgia's unfair trade practices statute. A producer argues the regulation does not bind him because the legislature never enacted it. Under Georgia law:
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Answer & full 3-part explanation (select an option above, or peek)
Why B is correct
Under O.C.G.A. § 33-2-1 through § 33-2-6, the Commissioner's broad powers include adopting reasonable rules and regulations consistent with the Georgia Insurance Code. Those regulations carry the force of law for insurers and licensees, and violating them exposes the producer to discipline by the Insurance Department.
Why the other options are wrong
- A) Administrative regulations properly adopted under the Commissioner's statutory authority bind licensees just as statutes do.
- C) An insurer's consent has no bearing on whether the Commissioner's regulations apply to a producer.
- D) Regulations need not duplicate statutory text; they implement and interpret the code within its scope.
Memory hook
The Commissioner's rules carry the code's force in Georgia.