CISR AGENCY OPERATIONS EXAM 2025 | ALL QUESTIONS AND
CISR: Agency Operations
CORRECT ANSWERS | GRADED A+ | LATEST EXAM | VERIFIED
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ANSWERS | JUST RELEASED
1. Types of Stakeholders managers and employees
customers
insurers
vendors
industry associations
government
2. Transfer Insurance: transfer of financial consequence to an insurance com-
pany
Non Insurance: when a customer transfers financial consequences
to another by contract or agreement
3. Retention Active: when a customer knows before the loss that they are re-
sponsible for all or part of the loss
Passive: Whoops! when a client finds out after a loss occurs that
they are responsible
4. What is NOT one of the four Ethical behavior encourages governmental action
benefits of ethical behav-
ior?
5. Describe the standard of loyalty
care an insurance agency good faith
owes to an insurance com- reasonable care
pany contractual duty
6. Describe actual authority when the agency is expressly given the authority in the agency
contract
7. Describe a contract Oral or written agreements between two parties that creates an
obligation to do or not do a particular thing
8.
, CISR: Agency Operations
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What are the four benefits To be recognized as a knowledgeable insurance professional with-
of ethical behavior? in the community
To gain public trust and confidence
To avoid government regulation
To enhance credibility with customers and companies
9. What is the risk manage- Risk Identification
ment process? Risk analysis
Risk control
Risk finance
Risk administration
10. Explain the five steps of risk Risk identification: identify the customers exposure to loss
management Risk analysis: determine frequency or severity of the exposure.
How much could a loss actually cost the customer
Risk control: understand what methods can be implemented to
eliminate or reduce cost associated with exposure
Risk finance: fund losses by user either internal or external dollars
Risk administration: Implement and monitor the customers risk
management program
11. Stakeholders People who have the potential to be affected by any action taken
by an organization. Any group or individual who is affected by the
achievements of a firm's objectives
12. Risk Control Methods Avoid: not always practical
Prevent: reduces frequency
Reduce: reduces severity
Segregation: includes separation or duplication
Transfer: can be physical transfer or contractual transfer
13. Brokers do not have binding authority
, CISR: Agency Operations
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What is the difference be-
tween a broker and an
agent/producer?
14. How would you best de- The primary stakeholders are any group or individual who is af-
scribe an agency stakehold- fected by the achievement of a firm's objective
er?
15. Which source of revenue is Commission
typically the largest source
of income for an insurance
agency?
16. What does a large number It may mean some features of the agency are centralized
of locations mean for how
an agency operates?
17. List the four major classes Property
of exposure to loss Human Resources
Liability
Net Income
18. What are the methods of Interview
identifying loss exposures? Checklist
Physical inspection
Activity analysis
Document review
Advertising/website
Flow charts
Loss history
Financial statements
19. To protect the consumer
CISR: Agency Operations
CORRECT ANSWERS | GRADED A+ | LATEST EXAM | VERIFIED
Study online at https://quizlet.com/_hflfks
ANSWERS | JUST RELEASED
1. Types of Stakeholders managers and employees
customers
insurers
vendors
industry associations
government
2. Transfer Insurance: transfer of financial consequence to an insurance com-
pany
Non Insurance: when a customer transfers financial consequences
to another by contract or agreement
3. Retention Active: when a customer knows before the loss that they are re-
sponsible for all or part of the loss
Passive: Whoops! when a client finds out after a loss occurs that
they are responsible
4. What is NOT one of the four Ethical behavior encourages governmental action
benefits of ethical behav-
ior?
5. Describe the standard of loyalty
care an insurance agency good faith
owes to an insurance com- reasonable care
pany contractual duty
6. Describe actual authority when the agency is expressly given the authority in the agency
contract
7. Describe a contract Oral or written agreements between two parties that creates an
obligation to do or not do a particular thing
8.
, CISR: Agency Operations
Study online at https://quizlet.com/_hflfks
What are the four benefits To be recognized as a knowledgeable insurance professional with-
of ethical behavior? in the community
To gain public trust and confidence
To avoid government regulation
To enhance credibility with customers and companies
9. What is the risk manage- Risk Identification
ment process? Risk analysis
Risk control
Risk finance
Risk administration
10. Explain the five steps of risk Risk identification: identify the customers exposure to loss
management Risk analysis: determine frequency or severity of the exposure.
How much could a loss actually cost the customer
Risk control: understand what methods can be implemented to
eliminate or reduce cost associated with exposure
Risk finance: fund losses by user either internal or external dollars
Risk administration: Implement and monitor the customers risk
management program
11. Stakeholders People who have the potential to be affected by any action taken
by an organization. Any group or individual who is affected by the
achievements of a firm's objectives
12. Risk Control Methods Avoid: not always practical
Prevent: reduces frequency
Reduce: reduces severity
Segregation: includes separation or duplication
Transfer: can be physical transfer or contractual transfer
13. Brokers do not have binding authority
, CISR: Agency Operations
Study online at https://quizlet.com/_hflfks
What is the difference be-
tween a broker and an
agent/producer?
14. How would you best de- The primary stakeholders are any group or individual who is af-
scribe an agency stakehold- fected by the achievement of a firm's objective
er?
15. Which source of revenue is Commission
typically the largest source
of income for an insurance
agency?
16. What does a large number It may mean some features of the agency are centralized
of locations mean for how
an agency operates?
17. List the four major classes Property
of exposure to loss Human Resources
Liability
Net Income
18. What are the methods of Interview
identifying loss exposures? Checklist
Physical inspection
Activity analysis
Document review
Advertising/website
Flow charts
Loss history
Financial statements
19. To protect the consumer
