Florida Life and Health Insurance License Practice Test

An example of an unfair claims practice would be

1. Providing a claims form upon request

2. Failing to effectuate prompt, fair, and equitable settlements of a claim

3. Reviewing claim information in a timely manner

4. Communicating policy benefits to the insured

The correct answer is: Failing to effectuate prompt, fair, and equitable settlements of a claim

An unfair claims practice is an illegal, deceptive, or fraudulent insurance company practice meant to reduce benefits or deny claims to policyholders. Option B is the only example listed that would fit this definition as it describes an insurance company failing to settle claims promptly and fairly. Options A, C, and D are not examples of unfair claims practices as they are all basic responsibilities of insurance companies and do not involve unethical or illegal practices.