Life-Producer Exam Dumps : Maryland Life Producer Exam (Series 20-27)

Comprehensive and Detailed Step by Step Explanation:Boycottrefers to the refusal to engage in business dealings with a particular party as part of an unfair trade practice, often used to coerce or punish. It is prohibited under Maryland’s Unfair Trade Practices Act.

Boycott (C):Defined as an unfair method of competition when used in the insurance context.

Estoppel (A):A legal doctrine preventing someone from asserting a claim inconsistent with previous actions, unrelated to business refusal.

Injunction (B):A court order stopping specific actions, not related to refusal to do business.

Binder (D):Temporary insurance coverage, unrelated to trade practices.

References:Maryland Unfair Trade Practices Act, COMAR 31.15.03, and Maryland Insurance Code §27-205.

Comprehensive and Detailed Step by Step Explanation:Theentire contract clauseensures transparency by limiting the policy's terms to the policy document and any attached application materials.

The application attached to the policy (B):Correct. It becomes part of the legal agreement between the insurer and the policyholder.

The Medical Information Bureau report (A):Used for underwriting but not part of the policy.

Any attending physician's statement (C):May inform underwriting but is not included in the policy.

The producer’s report to the insurer (D):Internal to the insurer and irrelevant to the contract itself.

References:Maryland Insurance Code §16-203, Entire Contract Provision Standards, and COMAR 31.09.09.

Comprehensive and Detailed Step by Step Explanation:Premature distributions from an IRA (withdrawals before age 59½) are subject to a10% penalty tax (B)unless certain exceptions apply (e.g., disability, qualified education expenses, or first-time homebuyer withdrawals).

5% (A):Does not apply to IRS penalties.

10% (B):Correct. This is the standard penalty for early withdrawals.

20% (C):Represents mandatory withholding for certain distributions, not the penalty.

50% (D):Applies only to Required Minimum Distribution (RMD) failures, not premature distributions.

References:IRS Publication 590-B, Maryland IRA Penalty Exceptions Guidelines, COMAR 31.09.11.