Unfair Trade Practice
Definition of "Unfair trade practice"
In insurance, fraudulent or unethical practice that is illegal under state law. States may fine or revoke the licenses of agents and brokers for unfair trade practices, including misrepresentation, false advertising, misappropriation of policy-holder's money, and twisting. Many states have adopted the NAIC model Unfair Trade Practices Act.
Popular Insurance Terms
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