MINNESOTA STATE INSURANCE LICENSING EXAM 400 QUESTIONS AND CORRECT DETAILED ANSWERS UPDATE ALREADY A GRADED|NEW!!

MINNESOTA STATE INSURANCE LICENSING EXAM 400 QUESTIONS AND CORRECT DETAILED ANSWERS 2023- 2024 UPDATE ALREADY A GRADED|NEW!! What happens if insurance company fails to obtain a license to sell insurance? - ANSWER- Company's policies remain valid, but company faces severe penalties. What is a certificate of authority? - ANSWER- An admitted or authorized carrier must obtain a cert of authority to transact business. What is a company appointment? - ANSWER- Used to grant producers authority to solicit insurance business for admitted carriers What is a non-admitted carrier? - ANSWER- Companies w/o cert of auth (unlicensed) What are surplus lines companies? - ANSWER- May sell insurance in MN w/o a cert of authority, but may only transact business through a licensed surplus agent. Who is required to have an insurance license? - ANSWER- Anyone who solicits, or appoints others to solicit insurance on behalf of insurance company. What is a resident producer? - ANSWER- Issued to a person who resides in MN or maintains person's principal place of business in MN. What is a non-resident producer? - ANSWER- Issued to a person if that person is already a licensed resident producer in good standing in the person's home state. What is a managing general agent? - ANSWER- Hires producers, supervises a territory, manages producer activities. Must be licensed as an insurance producer. What is a temp license? - ANSWER- A temp 180-day license may be used by commissioner for: -To surviving spouse, next of kin, admin/executor of the estate, employee, legal guardian, court-appointed personal rep of deceased, disabled license producer -To the designee of a licensed producer entering active service in armed forces of US -To an employee of a business entity (age What happens if insurance company fails to obtain a license to sell insurance? - ANSWER- Company's policies remain valid, but company faces severe penalties. What is a certificate of authority? - ANSWER- An admitted or authorized carrier must obtain a cert of authority to transact business. What is a company appointment? - ANSWER- Used to grant producers authority to solicit insurance business for admitted carriers What is a non-admitted carrier? - ANSWER- Companies w/o cert of auth (unlicensed) What are surplus lines companies? - ANSWER- May sell insurance in MN w/o a cert of authority, but may only transact business through a licensed surplus agent. Who is required to have an insurance license? - ANSWER- Anyone who solicits, or appoints others to solicit insurance on behalf of insurance company. What is a resident producer? - ANSWER- Issued to a person who resides in MN or maintains person's principal place of business in MN. What is a non-resident producer? - ANSWER- Issued to a person if that person is already a licensed resident producer in good standing in the person's home state. What is a managing general agent? - ANSWER- Hires producers, supervises a territory, manages producer activities. Must be licensed as an insurance producer. What is a temp license? - ANSWER- A temp 180-day license may be used by commissioner for: -To surviving spouse, next of kin, admin/executor of the estate, employee, legal guardian, court-appointed personal rep of deceased, disabled license producer -To the designee of a licensed producer entering active service in armed forces of US -To an employee of a business entity (age