Property and Casualty PA Questions with correct answers.

Property and Casualty PA Questions with
correct answers
All |of |the |following |are |requirements |to |be |licensed |in |PA |except:

-Complete |a |four-week |long |pre-licensing |course

-Pass |the |appropriate |exam

-Apply |for |a |license |with |the |insurance |department |and |pay |the |appropriate |fee

-Have |your |fingerprints |taken |and |submitted |- |ANSWER-Complete |a |four-week |long |pre-licensing |
course



All |of |the |following |statements |are |correct |except:

-An |applicant |has |up |to |one |year |to |be |licensed |after |successfully |passing |the |exam

-The |fee |for |the |PA |Property-casualty |license |is |$55 |for |two |years

-An |Insurance |Agency |does |not |need |to |be |licensed |if |they |are |a |corporation

-You |must |be |at |least |18 |years |of |age |to |be |licensed |- |ANSWER-An |Insurance |Agency |does |not |need |
to |be |licensed |if |they |are |a |corporation



Which |statement |is |false?

-A |resident |producer |must |both |live |and |work |in |Pennsylvania

-The |maximum |limit |for |a |temporary |license |is |180 |days

-An |insurance |company's |license |is |called |a |certificate |of |authority

-A |producer |must |be |licensed |to |sell, |solicit, |or |negotiate |contracts |of |insurance |- |ANSWER-A |resident
|producer |must |both |live |and |work |in |Pennsylvania




Which |time |period |is |incorrect?

-30 |days |to |report |a |change |of |address

-30 |days |to |report |a |criminal |conduct |of |being |charged

-60 |days |to |reinstate |a |lapsed |license |retroactively

-Four |years |to |complete |24 |hours |of |continuing |education |- |ANSWER-Four |years |to |complete |24 |
hours |of |continuing |education

,Possible |insurance |department |penalties |for |insurance |law |violations |include |all |of |the |following |
except:

-Fines

-Revoking |a |license

-Increased |requirement |of |CE |hours

-Issuance |of |an |order |to |cease |and |desist |- |ANSWER-Increased |requirement |of |CE |hours



All |of |the |following |are |general |duties |and |powers |of |the |insurance |commissioner |except:

-Prosecute |the |individual |in |a |court |of |law

-Collect |fees

-Investigate |complaints

-Regulate |rates |- |ANSWER-Prosecute |the |individual |in |a |court |of |law



Rate |regulatory |law |requires |rates |to |be |all |of |the |following |except:

-Not |excessive

-Equal |for |all |policy |holders

-Adequate

-Not |unfairly |discriminatory |- |ANSWER-Equal |for |all |policy |holders



Which |statement |is |false?

-The |insurance |commissioner |is |appointed |by |the |governor |

-All |rates |must |be |filed |and |approved |before |they |can |be |used

-Maximum |jail |term |for |an |insurance |violation |is |six |months

-Illegal |inducement |is |doing |business |with |unlicensed |persons |- |ANSWER-Illegal |inducement |is |doing |
business |with |unlicensed |persons



Which |activity |would |be |a |prohibited |practice |under |the |unfair |claims |practices |law?

-Failing |to |act |promptly |on |a |communication |dealing |with |a |claim

,-Reporting |the |claim |to |the |insurance |company |online

-Denying |payment |of |a |claim |that |is |not |covered |by |the |policy

-Assigning |an |adjuster |to |investigate |the |claim |before |payment |- |ANSWER-Failing |to |act |promptly |on |a
|communication |dealing |with |a |claim




Which |activity |would |not |be |a |prohibited |practice |under |the |Unfair |Trade |Practice |Law?

-Intentionally |misrepresenting |coverage |terms |in |the |policy

-Forging |a |client's |signature |on |an |application

-Not |remembering |your |clients |birthday

-Committing |a |felony |- |ANSWER-Not |remembering |your |clients |birthday



Misrepresentation |call |be |all |of |the |following |except:

-Twisting

-Sharing |part |of |your |own |commission |with |a |client

-Misrepresenting |benefits, |terms |or |conditions

-Misrepresenting |in |advertisements |- |ANSWER-Sharing |part |of |your |own |commission |with |a |client



All |of |the |following |are |Unfair |Trade |Practices |activities |except:

-Comingling |of |funds

-Rebating

-Defamation

-Boycott, |coercion, |or |intimidation |- |ANSWER-Comingling |of |funds



The |Fair |Credit |Reporting |Act |requires |all |of |the |following |except:

-Notification |of |a |credit |investigation |at |time |of |application

-A |copy |of |the |report |sent |to |the |client

-The |name |and |address |of |the |credit |reporting |agency |given |to |the |client

-Notice |must |be |in |writing |- |ANSWER-A |copy |of |the |report |sent |to |the |client

, The |Gramm-Leach-Bliley |Act |requires |all |of |the |following |except:

-Annual |privacy |notification |given |to |all |customers

-Customers |given |the |option |to |opt |out |of |sharing |info |to |others

-Insurers |must |protect |the |security |of |financial |information

-An |annual |report |must |be |sent |to |the |federal |government |- |ANSWER-An |annual |report |must |be |sent |
to |the |federal |government



Which |statement |is |false |concerning |the |Federal |Terrorism |Risk |Insurance |Act |(TRIA)?

-It |applies |to |all |lines |of |insurance, |both |personal |and |commercial

-The |premium |must |be |shown |to |the |client |with |the |opportunity |to |reject |coverage

-It |provides |coverage |for |acts |of |terrorism

-The |federal |government |shares |in |payment |of |covered |losses |with |insurance |industry |- |ANSWER-It |
applies |to |all |lines |of |insurance, |both |personal |and |commercial



Before |federal |funds |are |made |available |under |TRIA |the |following |must |certify |an |act |of |terrorism

-The |president |& |congress

-Secretary |of |the |Treasury |and |Secretary |of |Homeland |Security

-The |attorney |general |and |congress

-The |FBI |- |ANSWER-Secretary |of |the |Treasury |and |Secretary |of |Homeland |Security



The |Motor |Carrier |act |of |1980 |was |passed |to |deal |with:

-Unlicensed |trucks |traveling |interstate

-Uninsured |cargo |traveling |interstate

-Transporting |hazardous |cargo |causing |pollution |accidents

-Unlicensed |drivers |of |motor |vehicles |- |ANSWER-Transporting |hazardous |cargo |causing |pollution |
accidents



Under |the |motor |carrier |act |of |1980 |the |minimum |limit |of |liability |required |when |transporting |
hazardous |cargo |is:

-$500,000