Washington State Property & Casualty
Insurance Actual Exam Answered
1. Authorized Insurer: An insurer that has qualified and received
a Certificate of Authority from the Department of Insurance to
transact insurance in the state.
2. Contact adhesion: the accepter of the contract must "adhere"
to the written contract
3. inducement: An action aimed at persuading
4. insolvent: Bankrupt; unable to pay debts.
5. Transacting Insurance: Conducting insurance business, such
as soliciting or negotiating to buy or sell an insurance policy.
6. Unauthorized Insurer: Is held personally liable. Each violation
is separate and can result in suspension, revocation of license,
and a min fine of $25,000. (Class B Felony)
7. When would a commissioner order a replacement policy?:
When a unauthorized insurer improperly placed a policy. Would
be replaced by a policy with a legal insurer.
8. Surplus Lines: Insurance that is not available or offered in the
regular marketplace from admitted insurers.
9. Insurance Commissioner (IOC): State elected term of 4
years.
,10. insurance Commissioner duties: -Protects the Public from
unfair trade practices
- Examinations/investigations
- Hearings
- Cease and Desist orders
- Public information
- Appoints Dep. Chief Commissioner
-
11. How often must the Insurance Commissioner examine
companies?: As often as deemed necessary, but MUST be done
every 5 years
12. Receiving Written Notice from Commissioner: the person
must respond within 90 days. if not made the request is
considered waved.
13. Notice of Hearing: - must state grounds of hearing (can be
written demand by aggrieved person)
- Right to request administrative law judge
14. Licence Suspension Hearing: Commissioner must hold a
hearing within 90 days.
15. Insurance Producer: A person required to be licensed
under the laws of this state to sell, solicit, or negotiate insurance.
- Must be 18+
- has not had a license denied, suspended, or revoked
,- completed Pre-licensing/ exams
- paid fee(s)
- Fingerprinted/ background check
16. FINRA (Financial Industry Regulatory Authority): solicits
licences for variable life and variable annuity
17. Temporary Insurance Producers Licence: Commissioner
may issue temp. license for a max of 180 days. usually in event of
producers recovery, sale of a business, training and licencing of
new personal to operate a business.
18. Non-Resident Producer: a producer who lives (domicile)
and conducts business from another state other than Washington.
Will receive a non resident producers license.
19. When is a insurance license exempt?: When they work at
a company or themself but do not conduct the solicitation, sale,
negotiation of insurance. 20. Appointing a insurance producer:
- notice of appointment within 15 days
- Commissioner will verify within 15 days
- if deemed ineligible commissioner will notify within 10 days
If approved it must e renewed every 2 years, and will receive
notice within 60 days of the renewal date.
21. Business Entity Affiliates: A business must have AT
LEAST 1 affiliated individual licence to transact insurance
, 22. If business Entity Affiliate is terminated: The
commissioner must receive notice within 30 days of termination.
23. Renewal: The initial licenses are valid from the date that
they are issued until the last day of the licensee's birth month. 24.
Renewal Fees for Licences: (Every 2 years)
Producer- $55
Limited insurance- $20
Surplus lines
broker- $20
Ajuster- $50
Late Fees:
30 days: 50% of renewal
31-60 days: 100%
61-12 months 200% (12+ months must restart licensing process)
25. Continuing Education (CE): Every 2 years. 24 hours total,
3 hours in ethics. must hold on to certificate for 3 years
26. Change of Address: Must contact commissioner within 30
days. this includes a change of residence, mailing, business, or
email
27 Reporting of Actions: You must report to the commissioner
within 30 days of any administrative action taken on them by
another jurisdiction or governmental agency
Insurance Actual Exam Answered
1. Authorized Insurer: An insurer that has qualified and received
a Certificate of Authority from the Department of Insurance to
transact insurance in the state.
2. Contact adhesion: the accepter of the contract must "adhere"
to the written contract
3. inducement: An action aimed at persuading
4. insolvent: Bankrupt; unable to pay debts.
5. Transacting Insurance: Conducting insurance business, such
as soliciting or negotiating to buy or sell an insurance policy.
6. Unauthorized Insurer: Is held personally liable. Each violation
is separate and can result in suspension, revocation of license,
and a min fine of $25,000. (Class B Felony)
7. When would a commissioner order a replacement policy?:
When a unauthorized insurer improperly placed a policy. Would
be replaced by a policy with a legal insurer.
8. Surplus Lines: Insurance that is not available or offered in the
regular marketplace from admitted insurers.
9. Insurance Commissioner (IOC): State elected term of 4
years.
,10. insurance Commissioner duties: -Protects the Public from
unfair trade practices
- Examinations/investigations
- Hearings
- Cease and Desist orders
- Public information
- Appoints Dep. Chief Commissioner
-
11. How often must the Insurance Commissioner examine
companies?: As often as deemed necessary, but MUST be done
every 5 years
12. Receiving Written Notice from Commissioner: the person
must respond within 90 days. if not made the request is
considered waved.
13. Notice of Hearing: - must state grounds of hearing (can be
written demand by aggrieved person)
- Right to request administrative law judge
14. Licence Suspension Hearing: Commissioner must hold a
hearing within 90 days.
15. Insurance Producer: A person required to be licensed
under the laws of this state to sell, solicit, or negotiate insurance.
- Must be 18+
- has not had a license denied, suspended, or revoked
,- completed Pre-licensing/ exams
- paid fee(s)
- Fingerprinted/ background check
16. FINRA (Financial Industry Regulatory Authority): solicits
licences for variable life and variable annuity
17. Temporary Insurance Producers Licence: Commissioner
may issue temp. license for a max of 180 days. usually in event of
producers recovery, sale of a business, training and licencing of
new personal to operate a business.
18. Non-Resident Producer: a producer who lives (domicile)
and conducts business from another state other than Washington.
Will receive a non resident producers license.
19. When is a insurance license exempt?: When they work at
a company or themself but do not conduct the solicitation, sale,
negotiation of insurance. 20. Appointing a insurance producer:
- notice of appointment within 15 days
- Commissioner will verify within 15 days
- if deemed ineligible commissioner will notify within 10 days
If approved it must e renewed every 2 years, and will receive
notice within 60 days of the renewal date.
21. Business Entity Affiliates: A business must have AT
LEAST 1 affiliated individual licence to transact insurance
, 22. If business Entity Affiliate is terminated: The
commissioner must receive notice within 30 days of termination.
23. Renewal: The initial licenses are valid from the date that
they are issued until the last day of the licensee's birth month. 24.
Renewal Fees for Licences: (Every 2 years)
Producer- $55
Limited insurance- $20
Surplus lines
broker- $20
Ajuster- $50
Late Fees:
30 days: 50% of renewal
31-60 days: 100%
61-12 months 200% (12+ months must restart licensing process)
25. Continuing Education (CE): Every 2 years. 24 hours total,
3 hours in ethics. must hold on to certificate for 3 years
26. Change of Address: Must contact commissioner within 30
days. this includes a change of residence, mailing, business, or
27 Reporting of Actions: You must report to the commissioner
within 30 days of any administrative action taken on them by
another jurisdiction or governmental agency
