Georgia Health Insurance Practice Exam 2026 – All-In-One Study Guide for Exam Success!

An insurance agent would be guilty of fraudulent activity when misrepresenting the terms or benefits of a policy. This kind of behavior undermines the trust that clients place in agents and the insurance industry as a whole. Misrepresentation can lead clients to make uninformed decisions based on incorrect information, which can result in financial loss or inadequate coverage. This violation is serious and can have legal ramifications, as it goes against the principle of good faith that is foundational in insurance contracts. Proper representation is crucial for ensuring that clients fully understand what they are purchasing and the responsibilities involved.

In contrast, failing to follow up with clients, offering free consultations, and taking time to educate clients are generally considered standard practices that help in building relationships with clients and facilitating informed decisions. These actions reflect good customer service and professionalism rather than fraudulent behavior.