CA PSI SITE - LIFE, ACCIDENT AND HEALTH AGENT EXAMINATION (LIFE AGENT)
LATEST ACTUAL EXAM |COMPLETE QUESTIONS WITH EXPERT SOLUTIONS| 2026
LATEST UPDATED| A+
1. As a life insurance agent, you know that when courts evaluate a contract
to determine the parties' intentions, they take into account specific
documents.
Which documents are considered in this process?: Entire contract and
application
2. According to the California Insurance Code, what is "insurance"?: A
contract 3. In a life insurance contract, what term describes the combined
policy and application as a comprehensive agreement between the
policyowner and the insurer?: Entire Contract Provison
4. Which whole life policy premium type is the most common?: continuous
premium
5. All life insurance and health insurance contracts contain all of the
following
,EXCEPT: Representations
6. An insurer that has been found using higher rates based on
race,religion, or ethnicity is said to be engaging in: unfair discrimination
7. The California Insurance Code defines "policy" as a(n): written contract
8. what is the definition of premium?: Money an insured pays an insurer to
obtain the benefits provided in the policy.
9. What is the primary source of information used by insurers to assess risk
and determine premiums in life, accident, and health insurance?:
Application 10. How does an "admitted" person differ from an
"nonadmitted" person, as it
pertains to insurance?: An "admitted" person has the right to transact
insurance business within the state, while a "nonadmitted" person is not
entitled to this action.
11. As a broker, you are assisting your client in finding appropriate
insurance coverage. In order to ensure that the company offering the
,insurance is authorized to do so in their state, you should look for a(an):
admitted insurer.
12. An insurer entitled to transact business by complying with the California
Insurance Code is known as a:: admitted insurer.
13. A Canadian insurer that benefits shareholders and is approved to
operate in a U.S. state would be classified as which type of insurer?: Admitted
Alien Stock Company
14. Which is the difference between participating and non-participating
policies?: Participating policies pay dividends while non-participating policies
do not.
15. John owns an insurance company that gives him the right to share and
then share surplus. What kind of policy is this?: Participating
16 When a mutual insurer becomes a stock company, the process is called:
Demutualization
17. A person who asserts a right of recovery under an insurance policy is
called a: claimant
, 18. In California, an insurer organized under the state laws of Oregon is
called a(n): foreign insurer
19. Under the California Insurance Code, a licensee's license number must
be
printed at what size on all price quotes, business cards, and printed material?:
The same size print as the licensee's phone number, fax number or address
20. As an insurance agent, you are convicted of a crime involving dishonesty
or breach of trust. To continue working in the industry, you must obtain
written consent from an insurance regulatory official according to which
federal law?: 18 USC Sections 1033 and 1034
21. According to the California insurance code, the commissioner can
disapprove a licensee's request to use a fictitious name for any of the
following reasons EXCEPT that the: name is the licensee's actual name
22. all of the following are requirements of contract EXCEPT: there must be
equal consideration between the parties
LATEST ACTUAL EXAM |COMPLETE QUESTIONS WITH EXPERT SOLUTIONS| 2026
LATEST UPDATED| A+
1. As a life insurance agent, you know that when courts evaluate a contract
to determine the parties' intentions, they take into account specific
documents.
Which documents are considered in this process?: Entire contract and
application
2. According to the California Insurance Code, what is "insurance"?: A
contract 3. In a life insurance contract, what term describes the combined
policy and application as a comprehensive agreement between the
policyowner and the insurer?: Entire Contract Provison
4. Which whole life policy premium type is the most common?: continuous
premium
5. All life insurance and health insurance contracts contain all of the
following
,EXCEPT: Representations
6. An insurer that has been found using higher rates based on
race,religion, or ethnicity is said to be engaging in: unfair discrimination
7. The California Insurance Code defines "policy" as a(n): written contract
8. what is the definition of premium?: Money an insured pays an insurer to
obtain the benefits provided in the policy.
9. What is the primary source of information used by insurers to assess risk
and determine premiums in life, accident, and health insurance?:
Application 10. How does an "admitted" person differ from an
"nonadmitted" person, as it
pertains to insurance?: An "admitted" person has the right to transact
insurance business within the state, while a "nonadmitted" person is not
entitled to this action.
11. As a broker, you are assisting your client in finding appropriate
insurance coverage. In order to ensure that the company offering the
,insurance is authorized to do so in their state, you should look for a(an):
admitted insurer.
12. An insurer entitled to transact business by complying with the California
Insurance Code is known as a:: admitted insurer.
13. A Canadian insurer that benefits shareholders and is approved to
operate in a U.S. state would be classified as which type of insurer?: Admitted
Alien Stock Company
14. Which is the difference between participating and non-participating
policies?: Participating policies pay dividends while non-participating policies
do not.
15. John owns an insurance company that gives him the right to share and
then share surplus. What kind of policy is this?: Participating
16 When a mutual insurer becomes a stock company, the process is called:
Demutualization
17. A person who asserts a right of recovery under an insurance policy is
called a: claimant
, 18. In California, an insurer organized under the state laws of Oregon is
called a(n): foreign insurer
19. Under the California Insurance Code, a licensee's license number must
be
printed at what size on all price quotes, business cards, and printed material?:
The same size print as the licensee's phone number, fax number or address
20. As an insurance agent, you are convicted of a crime involving dishonesty
or breach of trust. To continue working in the industry, you must obtain
written consent from an insurance regulatory official according to which
federal law?: 18 USC Sections 1033 and 1034
21. According to the California insurance code, the commissioner can
disapprove a licensee's request to use a fictitious name for any of the
following reasons EXCEPT that the: name is the licensee's actual name
22. all of the following are requirements of contract EXCEPT: there must be
equal consideration between the parties
