ETHICS 311 QUESTIONS WITH VERIFIED ANSWERS
Which of the following could create an ethical issue?
A.) not paying premiums when due
B.) Placing insurance with the insurer paying the highest commission
C.) exaggerating a proof of loss
D.) lying about educational background - Answers - B.) Placing insurance with the
insurer paying the highest commission
The ability to apply knowledge to risk and insurance circumstances is acquired through -
Answers - Professional training and job experience
An insurance professional is responsible for his or her thoughts, decisions, and actions.
Knowledge, skill, and expertise guide decisions and ensure that the insurance
professional uses his or her - Answers - Professional judgement
Unselfish concern for the welfare of others is referred to as - Answers - Altruism
Penny is in the marketing department at insurance company. Which one of the following
is an important truth for her to know?
A.) maintaining high ethical standards cannot directly result in an increase in an
organization's overall profitability.
B.) organizations with high ethical standards and those without such high ethical
standards are equally susceptible to allegations of negligence that could lead to tort
actions.
C.) organizations that focus on short term profits and fail to adhere to high ethical
standards often do so at the expense of their long term success.
D.) consumers are more concerned with short term relationships than about authentic
relationships with companies with high ethical standards - Answers - C.) organizations
that focus on short term profits and fail to adhere to high ethical standards often do so at
the expense of their long term success.
All of the following are factors insurance professionals must balance with their
responsibility to insurers, EXCEPT
A.) customers need for a fair price
B.) Insurance professionals' need to maximize personal income
C.) Insurance professionals, duty to Market adequate coverage at a fair profit
D.) customers' needs for comprehensive coverage - Answers - B.) Insurance
professionals' need to maximize personal income
T/F As a broker Josh has a responsibility only to his clients, the policyholders - Answers
- False
Which of the following could create an ethical issue?
A.) not paying premiums when due
B.) Placing insurance with the insurer paying the highest commission
C.) exaggerating a proof of loss
D.) lying about educational background - Answers - B.) Placing insurance with the
insurer paying the highest commission
The ability to apply knowledge to risk and insurance circumstances is acquired through -
Answers - Professional training and job experience
An insurance professional is responsible for his or her thoughts, decisions, and actions.
Knowledge, skill, and expertise guide decisions and ensure that the insurance
professional uses his or her - Answers - Professional judgement
Unselfish concern for the welfare of others is referred to as - Answers - Altruism
Penny is in the marketing department at insurance company. Which one of the following
is an important truth for her to know?
A.) maintaining high ethical standards cannot directly result in an increase in an
organization's overall profitability.
B.) organizations with high ethical standards and those without such high ethical
standards are equally susceptible to allegations of negligence that could lead to tort
actions.
C.) organizations that focus on short term profits and fail to adhere to high ethical
standards often do so at the expense of their long term success.
D.) consumers are more concerned with short term relationships than about authentic
relationships with companies with high ethical standards - Answers - C.) organizations
that focus on short term profits and fail to adhere to high ethical standards often do so at
the expense of their long term success.
All of the following are factors insurance professionals must balance with their
responsibility to insurers, EXCEPT
A.) customers need for a fair price
B.) Insurance professionals' need to maximize personal income
C.) Insurance professionals, duty to Market adequate coverage at a fair profit
D.) customers' needs for comprehensive coverage - Answers - B.) Insurance
professionals' need to maximize personal income
T/F As a broker Josh has a responsibility only to his clients, the policyholders - Answers
- False
