Chapter 7 Variable Exam Michigan State
Insurance Law Questions and Answers
Producer - Answer -Person required to be licensed to sell, solicit, negotiate insurance.
Adjuster
Can an adjuster be a salaried employee of an insurer or managing general agent? -
Answer -Person who for compensation, adjusts, investigates, or negotiates settlement
of claims on behalf of either the insurer or insured.
No
The commissioner will not issue an adjuster license to person who is employed by,
owns stock in, is an officer or director of, or any other matter connected with a - Answer
-a fire repair contractor
Counselor is a person - Answer -who audits or abstracts policies of insurance or
annuities, provides advise, counsel, or opinion with respect to benefits promised,
coverage afforded or terms of a policy of insurance or annuity.
Business Entities is any - Answer -corporation, association, partnership, limited liability
company, limited liability partnership or other legal entity.
The Commissioner will waive part 1 of the examination for any age who applies for
extension of his license if the letter request from the insurer is accompanies by evidence
that the agent: - Answer -1. Passed acceptable alternative exam
2. Registered with SEC as Broker Dealer or agent currently associated with a broker
dealer and has met the qualification requirements for the association
Acceptable Alternative Exams include: - Answer -1. Any State securities sales
examination accepted by SEC
2. FINRA exam for principals, or its examination for qualification as a registered rep.
3. Various securities exams required by NYSE, American stock exchange, Pacific stock
exchange or any other registered national stock exchange.
, 4. SEC test given pursuant to the Securities and Exchange Act of 1934.
5. The examination recommended for the testing of variable contracts agents by the
NAIC.
Duration - unless revoked or refused renewal, an insurance agent license will remain in
effect as long as - Answer -education requirements are met
Change of address/place of business each agent must notify ____________ within
________days - Answer -Department of Insurance
30
Report of actions - A licensed agent must report any disciplinary action by the insurance
regulatory agency of any other state or territory of the US, each disciplinary action on an
occupational license held by the licensee, each judgment or injunction entered against
the licensee involving fraud, deceit, misrepresentation, or violation of any insurance law
within
Such information is - Answer -30 days
confidential by law and is privileged.
Assumed Names - an insurance producer doing business under any name other than
the producers legal name is required to notify the ________ prior to using he assumed
name. - Answer -Commissioner.
Each licensee must complete a min of ______ credit hours, ____ which must be in
ethics every ______ years. - Answer -24 credit hours
3 hours ethics
2 years
After the licensee complete an approved CE course they get a certificate to completion
and must give it to - Answer -The Commissioner
The Commissioner will waive the CE requirements for an insurance producer: - Answer
-1. Who is unable to comply with CE due to military
2. Commissioner determines it would cause severe hardship
3. Who is licensed only for Travel or Baggage Insurance and their employment is for the
purpose other than the sale of those policies
Insurance Law Questions and Answers
Producer - Answer -Person required to be licensed to sell, solicit, negotiate insurance.
Adjuster
Can an adjuster be a salaried employee of an insurer or managing general agent? -
Answer -Person who for compensation, adjusts, investigates, or negotiates settlement
of claims on behalf of either the insurer or insured.
No
The commissioner will not issue an adjuster license to person who is employed by,
owns stock in, is an officer or director of, or any other matter connected with a - Answer
-a fire repair contractor
Counselor is a person - Answer -who audits or abstracts policies of insurance or
annuities, provides advise, counsel, or opinion with respect to benefits promised,
coverage afforded or terms of a policy of insurance or annuity.
Business Entities is any - Answer -corporation, association, partnership, limited liability
company, limited liability partnership or other legal entity.
The Commissioner will waive part 1 of the examination for any age who applies for
extension of his license if the letter request from the insurer is accompanies by evidence
that the agent: - Answer -1. Passed acceptable alternative exam
2. Registered with SEC as Broker Dealer or agent currently associated with a broker
dealer and has met the qualification requirements for the association
Acceptable Alternative Exams include: - Answer -1. Any State securities sales
examination accepted by SEC
2. FINRA exam for principals, or its examination for qualification as a registered rep.
3. Various securities exams required by NYSE, American stock exchange, Pacific stock
exchange or any other registered national stock exchange.
, 4. SEC test given pursuant to the Securities and Exchange Act of 1934.
5. The examination recommended for the testing of variable contracts agents by the
NAIC.
Duration - unless revoked or refused renewal, an insurance agent license will remain in
effect as long as - Answer -education requirements are met
Change of address/place of business each agent must notify ____________ within
________days - Answer -Department of Insurance
30
Report of actions - A licensed agent must report any disciplinary action by the insurance
regulatory agency of any other state or territory of the US, each disciplinary action on an
occupational license held by the licensee, each judgment or injunction entered against
the licensee involving fraud, deceit, misrepresentation, or violation of any insurance law
within
Such information is - Answer -30 days
confidential by law and is privileged.
Assumed Names - an insurance producer doing business under any name other than
the producers legal name is required to notify the ________ prior to using he assumed
name. - Answer -Commissioner.
Each licensee must complete a min of ______ credit hours, ____ which must be in
ethics every ______ years. - Answer -24 credit hours
3 hours ethics
2 years
After the licensee complete an approved CE course they get a certificate to completion
and must give it to - Answer -The Commissioner
The Commissioner will waive the CE requirements for an insurance producer: - Answer
-1. Who is unable to comply with CE due to military
2. Commissioner determines it would cause severe hardship
3. Who is licensed only for Travel or Baggage Insurance and their employment is for the
purpose other than the sale of those policies
