ILLINOIS LAWS AND RULES PERTINENT TO INSURANCE EXAM
QUESTION AND ANSWERS WITH COMPLETE SOLUTIONS
a lapsed producer's license may be reinstated without have to pass a written exam if the license lapses
within __ months after the renewal fee due date
12
T the producer has just collected premium monies from a client. T may personally hold these funds for
a MAXIMUM of __ days before depositing them in a premium Fund Trust Account
14
Q the producer has recently replaced one insurance policy with another. In Illinois, replacement is
regulated and requires full disclosure
A brochure including an untrue statement regarding a competitor's ability to pay claims is an example
of
defamation
Which of these contracts are affected by replacing regulations?
ordinary life insurance
Which of these actions does NOT constitute life insurance policy replacement?
Convert term coverage to a whole life policy
Stating that dividends are guaranteed is considered to be
, misrepresentation
When a producer submits an insurance application is REQUIRED to contain the producer's
name and signature
An insurance producer can be found guilty of rebating by
sharing commissions with a client who has purchased insurance
All of there are required to be included in a life insurance illustration EXCEPT
insurer's mortality table
All of these MUST be included on an insurance producer's license EXCEPT
Appointing insurance company
Which of the following statements is correct about the Director's authority to examine the business
records of a producer?
The Director may examine them whenever deemed necessary
The Director of insurance is authorized to
make reasonable insurance rules and regulations
An example of Life insurance policy replacement would be which of the following?
cash surrender an existing life policy and purchasing a new life policy
the standard grace period for premium payments on all individual life insurance policies issued in
Illinois is ___ days
30 days
QUESTION AND ANSWERS WITH COMPLETE SOLUTIONS
a lapsed producer's license may be reinstated without have to pass a written exam if the license lapses
within __ months after the renewal fee due date
12
T the producer has just collected premium monies from a client. T may personally hold these funds for
a MAXIMUM of __ days before depositing them in a premium Fund Trust Account
14
Q the producer has recently replaced one insurance policy with another. In Illinois, replacement is
regulated and requires full disclosure
A brochure including an untrue statement regarding a competitor's ability to pay claims is an example
of
defamation
Which of these contracts are affected by replacing regulations?
ordinary life insurance
Which of these actions does NOT constitute life insurance policy replacement?
Convert term coverage to a whole life policy
Stating that dividends are guaranteed is considered to be
, misrepresentation
When a producer submits an insurance application is REQUIRED to contain the producer's
name and signature
An insurance producer can be found guilty of rebating by
sharing commissions with a client who has purchased insurance
All of there are required to be included in a life insurance illustration EXCEPT
insurer's mortality table
All of these MUST be included on an insurance producer's license EXCEPT
Appointing insurance company
Which of the following statements is correct about the Director's authority to examine the business
records of a producer?
The Director may examine them whenever deemed necessary
The Director of insurance is authorized to
make reasonable insurance rules and regulations
An example of Life insurance policy replacement would be which of the following?
cash surrender an existing life policy and purchasing a new life policy
the standard grace period for premium payments on all individual life insurance policies issued in
Illinois is ___ days
30 days
