CA SIP EXAM TEST RIGHT II 2026 INSURANCE
FUNDAMENTALS PRACTICE SET ANSWERS
FULL SOLUTION
◉ "An injury occurs in late December but is not reported until Jan of
the next year. In which Claim Log is the injury recorded?
A. The year in which it occurred
b. The year in which it was reported.
C. The fiscal year in which the injury occurred.
D. The fiscal year in which the injury was reported. ".
Answer: b. The year in which it was reported.
◉ "You do not have to notify the Manager ofo the change in status
where:
a. The self-insurer changes ownership.
B. The self-insurer changes ownership.
C. The self-insurer has a change in minority shareholders.
D. The self-insurer has a material change in management. ".
Answer: c. The self-insurer has a change in minority shareholders.
,◉ "A self-insured employer has not adequately funded their trust
account, preventing you from making payments on claims. You are
required to report it to the Manager within:
a. 3 days.
B. 5 days.
C. 15 days
d. 30 days. ".
Answer: a. 3 days
◉ "Every self-insurer must file a Self-Insurer's Annual Report on or
before:
a. January 1 for private self-insurers and July 1 for publick self-
insurers.
B. March 1 for public self-insurers and Octover 1 for private self-
insurers.
C. March 1 for private self-insurers and October 1 for publick self-
insurers.
d. None of fthe above. ".
Answer: c. March 1 for private self-insurers and October 1 for public
self-insurers.
◉ "Reapplication to the Director for a Certificate of Consent to Self-
Insure is required if an employer:
a. Fails to initiate a self-insuracne program within three months.
,B. Fails to initiate a self-insurance program within six months.
C. Fails to initiate a self-insurance program within nine months.
d. Files a late annual report. ".
Answer: B. Fails to initiate a self-insurance program within six
months.
◉ "Are medical only claims included on the Annual Report?
A. No
b. No, unless there are probable future medical payment.
C. Yes.
D. Yes, but only for the reporting year of the annual report. ".
Answer: D. Yes, but only for the reporting year of the annual report.
◉ "Once an employer has initiated a self-insurance program, the
employer's Certificate to Self-Insure is:
a. Irrevocable in CA.
B. Valid for other jurisidctions.
C. Valid until revoked by the Director.
D. Renewed annually by the Director. ".
Answer: c. Valid until revoked by the Director.
, ◉ "If the Director of Industrial Relations determines that a private
self-insured employer has failed to pay required workers'
compensation benefits, he/she may:
A. Utilize the self-insured security deposit if the Self-Insurer's
Security Fund refuses to pay compensation benefits.
b. Utilize the self-insured's security deposit to administer and pay
the Employer's compensation obligations.
c. Refer the issue of non-payment of benefits to the WCAB
d. Refer the issue of non-payment of benefits to the Superior Court
for Writ of Mandate..
Answer: b. Utilize the self-insured's security deosit to administer
and pay the Employer's ccmpensation obligations.
◉ "When can you close a claims file?
A. When the last payment of PD has been made.
B. When all benefits that are due and payable have been paid.
C. When the employee has returned to work.
D. When TD has ended..
Answer: B. When all benefits that are due and payable have been
paid.
◉ As a self-insured administrator how long do you have to maintain
the claims file?
A. 5 years from the DOI and 1 year thereafter.
FUNDAMENTALS PRACTICE SET ANSWERS
FULL SOLUTION
◉ "An injury occurs in late December but is not reported until Jan of
the next year. In which Claim Log is the injury recorded?
A. The year in which it occurred
b. The year in which it was reported.
C. The fiscal year in which the injury occurred.
D. The fiscal year in which the injury was reported. ".
Answer: b. The year in which it was reported.
◉ "You do not have to notify the Manager ofo the change in status
where:
a. The self-insurer changes ownership.
B. The self-insurer changes ownership.
C. The self-insurer has a change in minority shareholders.
D. The self-insurer has a material change in management. ".
Answer: c. The self-insurer has a change in minority shareholders.
,◉ "A self-insured employer has not adequately funded their trust
account, preventing you from making payments on claims. You are
required to report it to the Manager within:
a. 3 days.
B. 5 days.
C. 15 days
d. 30 days. ".
Answer: a. 3 days
◉ "Every self-insurer must file a Self-Insurer's Annual Report on or
before:
a. January 1 for private self-insurers and July 1 for publick self-
insurers.
B. March 1 for public self-insurers and Octover 1 for private self-
insurers.
C. March 1 for private self-insurers and October 1 for publick self-
insurers.
d. None of fthe above. ".
Answer: c. March 1 for private self-insurers and October 1 for public
self-insurers.
◉ "Reapplication to the Director for a Certificate of Consent to Self-
Insure is required if an employer:
a. Fails to initiate a self-insuracne program within three months.
,B. Fails to initiate a self-insurance program within six months.
C. Fails to initiate a self-insurance program within nine months.
d. Files a late annual report. ".
Answer: B. Fails to initiate a self-insurance program within six
months.
◉ "Are medical only claims included on the Annual Report?
A. No
b. No, unless there are probable future medical payment.
C. Yes.
D. Yes, but only for the reporting year of the annual report. ".
Answer: D. Yes, but only for the reporting year of the annual report.
◉ "Once an employer has initiated a self-insurance program, the
employer's Certificate to Self-Insure is:
a. Irrevocable in CA.
B. Valid for other jurisidctions.
C. Valid until revoked by the Director.
D. Renewed annually by the Director. ".
Answer: c. Valid until revoked by the Director.
, ◉ "If the Director of Industrial Relations determines that a private
self-insured employer has failed to pay required workers'
compensation benefits, he/she may:
A. Utilize the self-insured security deposit if the Self-Insurer's
Security Fund refuses to pay compensation benefits.
b. Utilize the self-insured's security deposit to administer and pay
the Employer's compensation obligations.
c. Refer the issue of non-payment of benefits to the WCAB
d. Refer the issue of non-payment of benefits to the Superior Court
for Writ of Mandate..
Answer: b. Utilize the self-insured's security deosit to administer
and pay the Employer's ccmpensation obligations.
◉ "When can you close a claims file?
A. When the last payment of PD has been made.
B. When all benefits that are due and payable have been paid.
C. When the employee has returned to work.
D. When TD has ended..
Answer: B. When all benefits that are due and payable have been
paid.
◉ As a self-insured administrator how long do you have to maintain
the claims file?
A. 5 years from the DOI and 1 year thereafter.
