XCEL SOLUTIONS CERTIFICATION EXAM 2026
QUESTIONS WITH VERIFIED ANSWERS
◉ Multi-line insurer. Answer: an insurance company or independent
agent that provides a one-stop shop for businesses or individuals
seeking coverage for all their insurance needs. For example, many
large insurers offer individual policies for automobile, homeowner,
long-term care, life and health insurance needs.
◉ Stock companies (for the purpose of insurance). Answer:
insurance companies owned and controlled by a group of
stockholders whose investment in the company provides the safety
margin necessary in issuance of guaranteed, fixed premium,
nonparticipating policies.
◉ Nonparticipating plan. Answer: insurance under which the
insured is not entitles to share divisible surplus of the company.
◉ Mutual companies. Answer: insurance companies characterized
by having no capital stock; it is owned by its policy owners and
usually issues participating insurance.
◉ Participating Plan. Answer: a plan under which the policy owner
receives shares (commonly called dividends) of divisible surplus of
the company.
, ◉ reinsurer. Answer: a company that provides financial protection
to insurance companies. Reinsurers handle risks that are too large
for insurance companies to handle on their own and make it
possible for insurers to obtain more business that they would
otherwise be able to.
◉ Fraternal Benefit Societiesare. Answer: nonprofit benevolent
organization that provide insurance to its members. Producers or
agents who only sell within their society, do not receive commission,
and stay under a specific premium threshold often have less
stringent licensing requirements.
◉ Fair Credit Reporting Act. Answer: a federal law requiring an
individual to be informed if she is being investifated by an inspection
company. The law also outlines the sharing and impact of such
information and requires individuals to be notified prior to being
investigated.
◉ Buyer's Guide. Answer: an informational consumer guide books
that explain insurance policies and insurance concepts: in many
states, they are required to be given to applicants when certain types
of coverages are being considered. often used with life insurance,
long-term care insurance, and annuities.
QUESTIONS WITH VERIFIED ANSWERS
◉ Multi-line insurer. Answer: an insurance company or independent
agent that provides a one-stop shop for businesses or individuals
seeking coverage for all their insurance needs. For example, many
large insurers offer individual policies for automobile, homeowner,
long-term care, life and health insurance needs.
◉ Stock companies (for the purpose of insurance). Answer:
insurance companies owned and controlled by a group of
stockholders whose investment in the company provides the safety
margin necessary in issuance of guaranteed, fixed premium,
nonparticipating policies.
◉ Nonparticipating plan. Answer: insurance under which the
insured is not entitles to share divisible surplus of the company.
◉ Mutual companies. Answer: insurance companies characterized
by having no capital stock; it is owned by its policy owners and
usually issues participating insurance.
◉ Participating Plan. Answer: a plan under which the policy owner
receives shares (commonly called dividends) of divisible surplus of
the company.
, ◉ reinsurer. Answer: a company that provides financial protection
to insurance companies. Reinsurers handle risks that are too large
for insurance companies to handle on their own and make it
possible for insurers to obtain more business that they would
otherwise be able to.
◉ Fraternal Benefit Societiesare. Answer: nonprofit benevolent
organization that provide insurance to its members. Producers or
agents who only sell within their society, do not receive commission,
and stay under a specific premium threshold often have less
stringent licensing requirements.
◉ Fair Credit Reporting Act. Answer: a federal law requiring an
individual to be informed if she is being investifated by an inspection
company. The law also outlines the sharing and impact of such
information and requires individuals to be notified prior to being
investigated.
◉ Buyer's Guide. Answer: an informational consumer guide books
that explain insurance policies and insurance concepts: in many
states, they are required to be given to applicants when certain types
of coverages are being considered. often used with life insurance,
long-term care insurance, and annuities.
