©EVERLY 2024/2025 ALL RIGHTS RESERVED 1/29/2025. EY
Ethics 311 Exam Questions With Correct
Answers 100% Verified.
Ethical conduct leads to - Answer✔-Trust
-Positive public image
-Loyalty
-Referrals
-Profitability
Unethical conduct leads to - Answer✔-Distrust
-Reputational harm
-Loss of business
-Lawsuits and prosecution
-Insolvency and bankruptcy
Morals - Answer✔Personal principles of right and wrong
Laws - Answer✔Codified legal tenets of what is/isn't acceptable
Ethics - Answer✔Rules of conduct/guidelines provided by a professional/social system
What's the difference between making decisions based on morals, laws, or ethics? - Answer✔-
Morals entail making decisions based on the distinction between right and wrong.
-Laws entail making decisions based on codified rules from a governing body.
-Ethics entail following guidelines established to provide a course of action when a law is not
applicable and more than one course of action could be considered "right" from a moral or
legal perspective.
Purpose of insurance laws and regulations - Answer✔-Maintain viable insurance markets
-Protect consumers
, ©EVERLY 2024/2025 ALL RIGHTS RESERVED 1/29/2025. EY
-Maintain insurer solvency
business ethics applied to insurance - Answer✔Insurance professionals must:
-Embrace moral values
-Be aware of applicable regulations and ethical guidelines
-Apply moral values, regulations, and guidelines to business situations
-Do what's ultimately right in the context of products, services, and relationships
Traits of Professionalism - Answer✔-High ethical standards
-Professional competence
-Altruism
-Commitment to continuing education
-Participation in an association or a society
-Ability to think and act independently
-Recognition as a professional
Doctrine of utmost good faith - Answer✔-A standard that obligates all parties in a contractual
agreement to act honestly and share all critical information related to the transaction
-Applies to insurance, financial, real estate, and other business markets
Altruism examples - Answer✔-Leaving home (even late at night) to help a customer who
suffered a devastating loss
-Working long hours in the wake of a catastrophe to help insureds recover
-Educating the public on loss control techniques
Professional competence - Answer✔-Altruism
-Commitment to continuing education
-Participation in an association or society
-Ability to think and act independently
Dangerous temptations and barriers to acting independently - Answer✔-An agent may receive
a large commission from Insurer A than from Insurer B, which could motivate the agent to place
more business w Insurer A, even if the coverage isn't the best for the insured
Ethics 311 Exam Questions With Correct
Answers 100% Verified.
Ethical conduct leads to - Answer✔-Trust
-Positive public image
-Loyalty
-Referrals
-Profitability
Unethical conduct leads to - Answer✔-Distrust
-Reputational harm
-Loss of business
-Lawsuits and prosecution
-Insolvency and bankruptcy
Morals - Answer✔Personal principles of right and wrong
Laws - Answer✔Codified legal tenets of what is/isn't acceptable
Ethics - Answer✔Rules of conduct/guidelines provided by a professional/social system
What's the difference between making decisions based on morals, laws, or ethics? - Answer✔-
Morals entail making decisions based on the distinction between right and wrong.
-Laws entail making decisions based on codified rules from a governing body.
-Ethics entail following guidelines established to provide a course of action when a law is not
applicable and more than one course of action could be considered "right" from a moral or
legal perspective.
Purpose of insurance laws and regulations - Answer✔-Maintain viable insurance markets
-Protect consumers
, ©EVERLY 2024/2025 ALL RIGHTS RESERVED 1/29/2025. EY
-Maintain insurer solvency
business ethics applied to insurance - Answer✔Insurance professionals must:
-Embrace moral values
-Be aware of applicable regulations and ethical guidelines
-Apply moral values, regulations, and guidelines to business situations
-Do what's ultimately right in the context of products, services, and relationships
Traits of Professionalism - Answer✔-High ethical standards
-Professional competence
-Altruism
-Commitment to continuing education
-Participation in an association or a society
-Ability to think and act independently
-Recognition as a professional
Doctrine of utmost good faith - Answer✔-A standard that obligates all parties in a contractual
agreement to act honestly and share all critical information related to the transaction
-Applies to insurance, financial, real estate, and other business markets
Altruism examples - Answer✔-Leaving home (even late at night) to help a customer who
suffered a devastating loss
-Working long hours in the wake of a catastrophe to help insureds recover
-Educating the public on loss control techniques
Professional competence - Answer✔-Altruism
-Commitment to continuing education
-Participation in an association or society
-Ability to think and act independently
Dangerous temptations and barriers to acting independently - Answer✔-An agent may receive
a large commission from Insurer A than from Insurer B, which could motivate the agent to place
more business w Insurer A, even if the coverage isn't the best for the insured
