NAVY CS STOCKS AND SAUCES ACTUAL TEST
PAPER 2026 QUESTIONS WITH SOLUTIONS
GRADED A+
▶ The superintendent is empowered to Answer: enforce state laws relating
to insurance
▶ The superintendent is NOT responsible for Answer: endorsing insurers
▶ Which of the following is a characteristic of a non-admitted insurer?
Answer: A non-admitted insurer is not afforded protection by the guaranty
fund
▶ When the superintendent believes an agent is causing substantial and
material harm, the superintendent has the authority to Answer: issue a
cease and desist order against the agent
▶ Which of the following statements is CORRECT about a Buyer's Guide?
Answer: It's content must be approved by the superintendent
▶ No existing agent's license will be revoked until Answer: the agent has
been afforded a right to a hearing on the charges
▶ What is the term used when exchanging a new policy for one already in
force? Answer: replacement
▶ A deliberate lie by an insured to the insurer to obtain a lower premium is
an example of Answer: fraud
▶ Who may terminate an agent's appointment? Answer: insurer
▶ An agent must submit notification of a change of business address within
a MAXIMUM of how many days after the change? Answer: 30
▶ What is a certificate of authority? Answer: The license required for an
insurer to conduct business in the state
, ▶ Before a licensed agent is eligible to transact insurance sales, they must
be Answer: appointed by an insurance company
▶ When an agent is replacing an existing ordinary life insurance policy, the
agent must take all of the following actions EXCEPT Answer: obtain the
beneficiary's signature on a summary of all policies to be replaced
▶ In conjunction with an Ohio insurance license renewal, which one of the
following is the continuing education REQUIREMENT? Answer: 24 hours
every 2 years
▶ Which of the following statements about the contestability of a life
insurance policy is true? Answer: The policy can be contested by the
insurer only during the first two years of the contract
▶ In Ohio, an agent may have his/her license revoked for which of the
following acts? Answer: Failure to pay state income tax
▶ A temporary agent license can be issued in any of the following
circumstances EXCEPT Answer: a prospective agent who is enrolled in an
insurance pre-license class
▶ An insurance agent agrees to pay the first monthly premium for an
insurance applicant. This is called a(n) Answer: rebate
▶ Suitability is Answer: obtaining information from the applicant to
determine whether an insurance or annuity product is appropriate
▶ Insurance agent Kelly offers insured a $500 shopping card if they
purchase an insurance product through her. What is this an example of?
Answer: rebating, which is an unfair trade practice
▶ All of the following may be an unfair claims practice EXCEPT Answer:
Refusing to pay persons bringing false or fraudulent claims
▶ A life insurance illustration showing future premiums being paid out of
nonguaranteed values must disclose that Answer: The policyowner may
need to resume premium payments depending on actual results
PAPER 2026 QUESTIONS WITH SOLUTIONS
GRADED A+
▶ The superintendent is empowered to Answer: enforce state laws relating
to insurance
▶ The superintendent is NOT responsible for Answer: endorsing insurers
▶ Which of the following is a characteristic of a non-admitted insurer?
Answer: A non-admitted insurer is not afforded protection by the guaranty
fund
▶ When the superintendent believes an agent is causing substantial and
material harm, the superintendent has the authority to Answer: issue a
cease and desist order against the agent
▶ Which of the following statements is CORRECT about a Buyer's Guide?
Answer: It's content must be approved by the superintendent
▶ No existing agent's license will be revoked until Answer: the agent has
been afforded a right to a hearing on the charges
▶ What is the term used when exchanging a new policy for one already in
force? Answer: replacement
▶ A deliberate lie by an insured to the insurer to obtain a lower premium is
an example of Answer: fraud
▶ Who may terminate an agent's appointment? Answer: insurer
▶ An agent must submit notification of a change of business address within
a MAXIMUM of how many days after the change? Answer: 30
▶ What is a certificate of authority? Answer: The license required for an
insurer to conduct business in the state
, ▶ Before a licensed agent is eligible to transact insurance sales, they must
be Answer: appointed by an insurance company
▶ When an agent is replacing an existing ordinary life insurance policy, the
agent must take all of the following actions EXCEPT Answer: obtain the
beneficiary's signature on a summary of all policies to be replaced
▶ In conjunction with an Ohio insurance license renewal, which one of the
following is the continuing education REQUIREMENT? Answer: 24 hours
every 2 years
▶ Which of the following statements about the contestability of a life
insurance policy is true? Answer: The policy can be contested by the
insurer only during the first two years of the contract
▶ In Ohio, an agent may have his/her license revoked for which of the
following acts? Answer: Failure to pay state income tax
▶ A temporary agent license can be issued in any of the following
circumstances EXCEPT Answer: a prospective agent who is enrolled in an
insurance pre-license class
▶ An insurance agent agrees to pay the first monthly premium for an
insurance applicant. This is called a(n) Answer: rebate
▶ Suitability is Answer: obtaining information from the applicant to
determine whether an insurance or annuity product is appropriate
▶ Insurance agent Kelly offers insured a $500 shopping card if they
purchase an insurance product through her. What is this an example of?
Answer: rebating, which is an unfair trade practice
▶ All of the following may be an unfair claims practice EXCEPT Answer:
Refusing to pay persons bringing false or fraudulent claims
▶ A life insurance illustration showing future premiums being paid out of
nonguaranteed values must disclose that Answer: The policyowner may
need to resume premium payments depending on actual results
