WebCE quizzes Exam Questions and
Answers with Verified Solutions | Latest
Updated 2026
Risk transfer Purchasing an insurance policy is an
example
of:
The law of large numbers Which of the following provides an
insurance
company with a fairly accurate means of
determining the likelihood of a particular
event
occurring?
Risk When referring to the subject that is being
insured under an insurance policy, the
term that
is used is:
Ignoring it Which of the following is not among the
recognized approaches to handling risk?
Stock An individual owns 100 shares of ABC
insurance
company stock and receives dividends
from
this investment. What type of insurer is
ABC?
,Captive insurance company After finding a difficult to obtain the
insurance
it needs, a corporation joins other
companies in
the same industry and forms an insurance
company that they all own. The insurance
company is most likely organized as a:
Insures other insurance GHI reinsurance corporation is an
companies insurance
exceptionally large risks company that:
An unincorporated group of A reciprocal insurer is:
members that exchange indemnity
contracts
Agency agreement The relationship between an insurance
company and the producer in appoints to
represent its products is defined by the:
ABC will pay the loss An individuals agency agreement permits
her
to bind coverage for ABC insurance
company
up to $250,000, but she forgets this limit
and
binds coverage on a policy with a
$500,000
limit, which the insurer accepted. When a
$400,000 loss happens the next day:
, John is an exclusive producer and Jane and John are insurance producers.
Jane is an independent producer Although both sell auto insurance, Jane
sells
policies for several insurance companies,
while
John sells policies for one company which
statement is correct?
Implied authority An insurance producers actions performed
in
the course of business which are not
expressly
written in the agency agreement, but are
generally accepted as a normal part of the
job
is an example of:
overcome the customer's All the following are duties owed to a
objections to buying a customer
recommended product by an insurance producer EXCEPT:
propose the least expensive Which of the following is NOT a
policies requirement in
recommending the most suitable insurance
product to a potential customer?
is most appropriate for the When considering the suitability of an
customer's needs insurance product for a customer, an
agent's
primary duty is to determine whether the
product:
Answers with Verified Solutions | Latest
Updated 2026
Risk transfer Purchasing an insurance policy is an
example
of:
The law of large numbers Which of the following provides an
insurance
company with a fairly accurate means of
determining the likelihood of a particular
event
occurring?
Risk When referring to the subject that is being
insured under an insurance policy, the
term that
is used is:
Ignoring it Which of the following is not among the
recognized approaches to handling risk?
Stock An individual owns 100 shares of ABC
insurance
company stock and receives dividends
from
this investment. What type of insurer is
ABC?
,Captive insurance company After finding a difficult to obtain the
insurance
it needs, a corporation joins other
companies in
the same industry and forms an insurance
company that they all own. The insurance
company is most likely organized as a:
Insures other insurance GHI reinsurance corporation is an
companies insurance
exceptionally large risks company that:
An unincorporated group of A reciprocal insurer is:
members that exchange indemnity
contracts
Agency agreement The relationship between an insurance
company and the producer in appoints to
represent its products is defined by the:
ABC will pay the loss An individuals agency agreement permits
her
to bind coverage for ABC insurance
company
up to $250,000, but she forgets this limit
and
binds coverage on a policy with a
$500,000
limit, which the insurer accepted. When a
$400,000 loss happens the next day:
, John is an exclusive producer and Jane and John are insurance producers.
Jane is an independent producer Although both sell auto insurance, Jane
sells
policies for several insurance companies,
while
John sells policies for one company which
statement is correct?
Implied authority An insurance producers actions performed
in
the course of business which are not
expressly
written in the agency agreement, but are
generally accepted as a normal part of the
job
is an example of:
overcome the customer's All the following are duties owed to a
objections to buying a customer
recommended product by an insurance producer EXCEPT:
propose the least expensive Which of the following is NOT a
policies requirement in
recommending the most suitable insurance
product to a potential customer?
is most appropriate for the When considering the suitability of an
customer's needs insurance product for a customer, an
agent's
primary duty is to determine whether the
product:
