PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
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? - Correct Answers ✅Entire
contract and application
According to the California Insurance Code, what is
"insurance"? - Correct Answers ✅A contract
In a life insurance contract, what term describes the
combined policy and application as a comprehensive
agreement between the policyowner and the insurer? -
Correct Answers ✅Entire Contract Provison
Which whole life policy premium type is the most common? -
Correct Answers ✅continuous premium
All life insurance and health insurance contracts contain all of
the following EXCEPT - Correct Answers ✅Representations
An insurer that has been found using higher rates based on
race,religion, or ethnicity is said to be engaging in - Correct
Answers ✅unfair discrimination
,PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
The California Insurance Code defines "policy" as a(n) -
Correct Answers ✅written contract
what is the definition of premium? - Correct Answers
✅Money an insured pays an insurer to obtain the benefits
provided in the policy.
What is the primary source of information used by insurers to
assess risk and determine premiums in life, accident, and
health insurance? - Correct Answers ✅Application
How does an "admitted" person differ from an "nonadmitted"
person, as it pertains to insurance? - Correct Answers ✅An
"admitted" person has the right to transact insurance
business within the state, while a "nonadmitted" person is not
entitled to this action.
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) - Correct Answers
✅admitted insurer.
An insurer entitled to transact business by complying with the
California Insurance Code is known as a: - Correct Answers
✅admitted insurer.
,PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
A Canadian insurer that benefits shareholders and is
approved to operate in a U.S. state would be classified as
which type of insurer? - Correct Answers ✅Admitted Alien
Stock Company
Which is the difference between participating and non-
participating policies? - Correct Answers ✅Participating
policies pay dividends while non-participating policies do not.
John owns an insurance company that gives him the right to
share and then share surplus. What kind of policy is this? -
Correct Answers ✅Participating
When a mutual insurer becomes a stock company, the
process is called - Correct Answers ✅Demutualization
A person who asserts a right of recovery under an insurance
policy is called a - Correct Answers ✅claimant
In California, an insurer organized under the state laws of
Oregon is called a(n) - Correct Answers ✅foreign insurer
Under the California Insurance Code, a licensee's license
number must be printed at what size on all price quotes,
, PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
business cards, and printed material? - Correct Answers
✅The same size print as the licensee's phone number, fax
number or address
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? - Correct
Answers ✅18 USC Sections 1033 and 1034
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 - Correct
Answers ✅name is the licensee's actual name
all of the following are requirements of contract EXCEPT -
Correct Answers ✅there must be equal consideration
between the parties
If an insurer must have its rates accepted by the insurance
Department prior to using them, the insurer would be
operating in which of the following types of jurisdictions? -
Correct Answers ✅prior approval
Exam Questions and Answers 2026
Update
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? - Correct Answers ✅Entire
contract and application
According to the California Insurance Code, what is
"insurance"? - Correct Answers ✅A contract
In a life insurance contract, what term describes the
combined policy and application as a comprehensive
agreement between the policyowner and the insurer? -
Correct Answers ✅Entire Contract Provison
Which whole life policy premium type is the most common? -
Correct Answers ✅continuous premium
All life insurance and health insurance contracts contain all of
the following EXCEPT - Correct Answers ✅Representations
An insurer that has been found using higher rates based on
race,religion, or ethnicity is said to be engaging in - Correct
Answers ✅unfair discrimination
,PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
The California Insurance Code defines "policy" as a(n) -
Correct Answers ✅written contract
what is the definition of premium? - Correct Answers
✅Money an insured pays an insurer to obtain the benefits
provided in the policy.
What is the primary source of information used by insurers to
assess risk and determine premiums in life, accident, and
health insurance? - Correct Answers ✅Application
How does an "admitted" person differ from an "nonadmitted"
person, as it pertains to insurance? - Correct Answers ✅An
"admitted" person has the right to transact insurance
business within the state, while a "nonadmitted" person is not
entitled to this action.
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) - Correct Answers
✅admitted insurer.
An insurer entitled to transact business by complying with the
California Insurance Code is known as a: - Correct Answers
✅admitted insurer.
,PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
A Canadian insurer that benefits shareholders and is
approved to operate in a U.S. state would be classified as
which type of insurer? - Correct Answers ✅Admitted Alien
Stock Company
Which is the difference between participating and non-
participating policies? - Correct Answers ✅Participating
policies pay dividends while non-participating policies do not.
John owns an insurance company that gives him the right to
share and then share surplus. What kind of policy is this? -
Correct Answers ✅Participating
When a mutual insurer becomes a stock company, the
process is called - Correct Answers ✅Demutualization
A person who asserts a right of recovery under an insurance
policy is called a - Correct Answers ✅claimant
In California, an insurer organized under the state laws of
Oregon is called a(n) - Correct Answers ✅foreign insurer
Under the California Insurance Code, a licensee's license
number must be printed at what size on all price quotes,
, PSI CA Life, Accident, and Health License
Exam Questions and Answers 2026
Update
business cards, and printed material? - Correct Answers
✅The same size print as the licensee's phone number, fax
number or address
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? - Correct
Answers ✅18 USC Sections 1033 and 1034
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 - Correct
Answers ✅name is the licensee's actual name
all of the following are requirements of contract EXCEPT -
Correct Answers ✅there must be equal consideration
between the parties
If an insurer must have its rates accepted by the insurance
Department prior to using them, the insurer would be
operating in which of the following types of jurisdictions? -
Correct Answers ✅prior approval
