WEBCE ACTUAL EXAM 2026 QUESTIONS
WITH ANSWERS GRADED A+
◉ Agent Jill received a letter from the Department of insurance asking
her to submit verification of having completed the continued education
requirements for the previous licensing period. Three weeks later, the
department sent another letter. Which penalty may the Department
impose if Jill has still not responded to their request a month later?
Answer: a fine up to $100 per day per violation
A producer has 30 days to respond to a written inquiry from the
Department
◉ Jim's policy expired due to nonpayment of premium. His agent sends
him a statement the following month without notice of the lapse. If Jim
pays the premium and later suffers a loss for which he files a claim, what
will prevent the insurer from denying the claim?
-estoppel
-utmost good faith
-reasonable expectations
-waiver. Answer: estoppel
,◉ BBC insurers filed premium rates for its new line of variable products
on January 15. Within how many days must the commissioner approve
or disapprove the rates? Answer: 30 days
all rate filings are subject to a 30-day waiting period before they become
effective.
◉ The commissioner of insurance can examine the business accounts,
transactions, and records of insurers and producers as often as necessary,
but must do so at least once in how many years? Answer: 5 years
◉ Acme Insurance and Apogee insurance agree to offer different
premium rates for persons of equal risk within a particular class. They
also agree to limit benefits paid to insureds within this class if the
insureds live within certain counties of PA. What are Acme and Apogee
engaging in?
-acceptable marketing and underwriting practices
-unfair and prohibited business practices
-insurance fraud
-false advertising. Answer: they are engaging in unfair and prohibited
business practices
they are agreeing to unreasonable restraint of trade in insurance
business, and they are engaging in unfair discrimination
,◉ which of the following is NOT a remedy available to the PA
commissioner of insurance for committing an unfair method of
competition?
-imprisonment
-cease and desist order
-suspension of license
-revocation of license. Answer: imprisonment is not a punishment for
committing an unfair method of competition
you cannot be arrested for committing an unfair method of competition
◉ which of the following is NOT an unfair claims settlement practice if
committed by an insurance company in PA?
-failing to promptly acknowledge communications about claims
-failing to promptly settle a claim for which liability is uncertain
-appealing from an arbitration award in favor of an insured to compel
the insured to accept a lower settlement
-failing to affirm or deny coverage within a reasonable time after
completing a claim investigation. Answer: ailing to promptly settle a
claim for which liability is uncertain is NOT an unfair claims settlement
practice
, ◉ Jeff is a licensed insurance producer in both PA and NY. he is charged
with embezzlement in NY, and his first pretrial hearing is set for March
1. He must notify the PA commissioner of insurance within how many
days of this hearing? Answer: Jeff has 30 days to notify the PA
commissioner of insurance of the disciplinary action being taken against
him
◉ which of the following is NOT an unfair claims settlement practice if
committed by an insurance company in PA?
-failing to promptly acknowledge communications about claims
-failing to promptly settle a claim for which liability is uncertain
-offering to settle claims for less than due to encourage litigation
-raising policy defenses to reduce a claim. Answer: failing to promptly
settle a claim for which liability is uncertain is not an unfair claims
settlement practice
◉ Stacy is a captive agent for best rates insurance company. Her agency
contract gives her permission to print and use business cards with the
company's logo and submit applications for its policy. What type of
authority does stacy have to take these actions? Answer: Stacy has
express authority due to the contract between her and the insurance
company specifically allowing her act in such a way
WITH ANSWERS GRADED A+
◉ Agent Jill received a letter from the Department of insurance asking
her to submit verification of having completed the continued education
requirements for the previous licensing period. Three weeks later, the
department sent another letter. Which penalty may the Department
impose if Jill has still not responded to their request a month later?
Answer: a fine up to $100 per day per violation
A producer has 30 days to respond to a written inquiry from the
Department
◉ Jim's policy expired due to nonpayment of premium. His agent sends
him a statement the following month without notice of the lapse. If Jim
pays the premium and later suffers a loss for which he files a claim, what
will prevent the insurer from denying the claim?
-estoppel
-utmost good faith
-reasonable expectations
-waiver. Answer: estoppel
,◉ BBC insurers filed premium rates for its new line of variable products
on January 15. Within how many days must the commissioner approve
or disapprove the rates? Answer: 30 days
all rate filings are subject to a 30-day waiting period before they become
effective.
◉ The commissioner of insurance can examine the business accounts,
transactions, and records of insurers and producers as often as necessary,
but must do so at least once in how many years? Answer: 5 years
◉ Acme Insurance and Apogee insurance agree to offer different
premium rates for persons of equal risk within a particular class. They
also agree to limit benefits paid to insureds within this class if the
insureds live within certain counties of PA. What are Acme and Apogee
engaging in?
-acceptable marketing and underwriting practices
-unfair and prohibited business practices
-insurance fraud
-false advertising. Answer: they are engaging in unfair and prohibited
business practices
they are agreeing to unreasonable restraint of trade in insurance
business, and they are engaging in unfair discrimination
,◉ which of the following is NOT a remedy available to the PA
commissioner of insurance for committing an unfair method of
competition?
-imprisonment
-cease and desist order
-suspension of license
-revocation of license. Answer: imprisonment is not a punishment for
committing an unfair method of competition
you cannot be arrested for committing an unfair method of competition
◉ which of the following is NOT an unfair claims settlement practice if
committed by an insurance company in PA?
-failing to promptly acknowledge communications about claims
-failing to promptly settle a claim for which liability is uncertain
-appealing from an arbitration award in favor of an insured to compel
the insured to accept a lower settlement
-failing to affirm or deny coverage within a reasonable time after
completing a claim investigation. Answer: ailing to promptly settle a
claim for which liability is uncertain is NOT an unfair claims settlement
practice
, ◉ Jeff is a licensed insurance producer in both PA and NY. he is charged
with embezzlement in NY, and his first pretrial hearing is set for March
1. He must notify the PA commissioner of insurance within how many
days of this hearing? Answer: Jeff has 30 days to notify the PA
commissioner of insurance of the disciplinary action being taken against
him
◉ which of the following is NOT an unfair claims settlement practice if
committed by an insurance company in PA?
-failing to promptly acknowledge communications about claims
-failing to promptly settle a claim for which liability is uncertain
-offering to settle claims for less than due to encourage litigation
-raising policy defenses to reduce a claim. Answer: failing to promptly
settle a claim for which liability is uncertain is not an unfair claims
settlement practice
◉ Stacy is a captive agent for best rates insurance company. Her agency
contract gives her permission to print and use business cards with the
company's logo and submit applications for its policy. What type of
authority does stacy have to take these actions? Answer: Stacy has
express authority due to the contract between her and the insurance
company specifically allowing her act in such a way
