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Virginia Laws and Rules - Life Insurance
Exam Questions and Verified Answers
Q: An agent does NOT need to notify the Bureau of Insurance of a? a) change of address;
b) name change; c) change in financial status; or d) felony conviction
ANS: change in financial status
Q:
Which of these is NOT considered advertising? A policy illustration, An AM Best
company rating, A direct mailing by an insurer, or An agent's oral sales presentation?
ANS: An AM Best company rating
Q:
A domestic insurance company in Virginia MUST
ANS: be formed under Virginia insurance laws
Q:
Under Federal Law, which of the following actions may result in a producer becoming
imprisoned?
ANS: Producer embeling funds from an insurerzz
Q:
When an insurer discovers (during the claim process) that the insured's age was
accidentally misstated on the life insurance application, the insurer will likely
ANS: pay an amount the premiums would have purchased at the insured's actual
age?
Q:
In Virginia, which of the following records are not required to be maintained by an
agent?
ANS: Premium quotes for policies not accepted
Q:
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An agent who informs an applicant that there are no exclusions in an insurance policy
has engaged in
ANS: Misrepresentation
Q:
In Virginia, any person action as an agent for an unlicensed insurer is
ANS: permissible only if acting as a licensed surplus lines broker
Q:
If a group is considering applying for a group life policy, it MUST?
ANS: have a minimum number of eligible persons
Q:
An agent has indicated to a potential client that the proposed life insurance policy is
covered by the Virginia Life, Accident, and Sickness Insurance Guaranty Association.
This action taken by the agent is
ANS: prohibited by law
Q:
How often must the Commission examine each domestic insurance company?
ANS: Every 5 years
Q:
Which is a role of the replacing insurer during a life insurance replacement transaction?
ANS: Send notice of the proposed replacement transaction to the existing insurer
Q:
An ____ is a person appointed by an insurer that represents the company and presents
policies on its behalf.
ANS: agent
Q:
Which of these would likely be considered an Unfair Claims Settlement Practice?
ANS: Offering settlements that are less than the fair value to offset insurer expenses
Q:
Virginia Laws and Rules - Life Insurance
Exam Questions and Verified Answers
Q: An agent does NOT need to notify the Bureau of Insurance of a? a) change of address;
b) name change; c) change in financial status; or d) felony conviction
ANS: change in financial status
Q:
Which of these is NOT considered advertising? A policy illustration, An AM Best
company rating, A direct mailing by an insurer, or An agent's oral sales presentation?
ANS: An AM Best company rating
Q:
A domestic insurance company in Virginia MUST
ANS: be formed under Virginia insurance laws
Q:
Under Federal Law, which of the following actions may result in a producer becoming
imprisoned?
ANS: Producer embeling funds from an insurerzz
Q:
When an insurer discovers (during the claim process) that the insured's age was
accidentally misstated on the life insurance application, the insurer will likely
ANS: pay an amount the premiums would have purchased at the insured's actual
age?
Q:
In Virginia, which of the following records are not required to be maintained by an
agent?
ANS: Premium quotes for policies not accepted
Q:
, Page | 2
An agent who informs an applicant that there are no exclusions in an insurance policy
has engaged in
ANS: Misrepresentation
Q:
In Virginia, any person action as an agent for an unlicensed insurer is
ANS: permissible only if acting as a licensed surplus lines broker
Q:
If a group is considering applying for a group life policy, it MUST?
ANS: have a minimum number of eligible persons
Q:
An agent has indicated to a potential client that the proposed life insurance policy is
covered by the Virginia Life, Accident, and Sickness Insurance Guaranty Association.
This action taken by the agent is
ANS: prohibited by law
Q:
How often must the Commission examine each domestic insurance company?
ANS: Every 5 years
Q:
Which is a role of the replacing insurer during a life insurance replacement transaction?
ANS: Send notice of the proposed replacement transaction to the existing insurer
Q:
An ____ is a person appointed by an insurer that represents the company and presents
policies on its behalf.
ANS: agent
Q:
Which of these would likely be considered an Unfair Claims Settlement Practice?
ANS: Offering settlements that are less than the fair value to offset insurer expenses
Q:
