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CPCU ETHICS FINAL PRACTICE QUIZ | 2025-2026 LATEST UPDATED |
ACTUAL EXAM QUESTIONS WITH SOLUTIONS | 100% RATED
CORRECT | 100% VERFIED SOLTIONS | ALREADY GRADED A+
Sadie, a new claims adjuster, was on the job just two months when she recognized an ethical
issue. She knew from her training that ethics concern making often difficult decisions
Select one:
A. Between two or more right answers.
B. Based on legal obligations.
C. Between right and wrong.
D. Based on professional standards. - (ANSWER)A. Between two or more right answers.
Greater North American Insurance Company encounters a recurring claims situation in which it
can choose to pay out either of two different amounts for any given situation, depending on the
interpretation of the claim. There are no regulations that directly address the issue. The policy
they choose to formulate will be primarily based on which one of the following?
Select one:
A. Principles
B. Ethics
C. Laws
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D. Morals - (ANSWER)B. Ethics
Which one of the following situations primarily represents a moral, as opposed to legal or
ethical, failure?
Select one:
A. An agent continues to sell insurance coverage despite having her license suspended.
B. An applicant misrepresents previous work experience to land a position.
C. An insurer inflates the pricing for a certain product line for which they have little competition.
D. An insurer unfairly discriminates against applicants who live in certain ZIP codes. -
(ANSWER)B. An applicant misrepresents previous work experience to land a position.
The sales team at Local Insurance Company receives periodic training on insurance laws and
regulations. Which one of the following statements is correct regarding what the sales team
needs to realize?
Select one:
A. Regulatory control over the business of insurance is primarily intended to protect
shareholders.
B. Laws specify right and wrong behavior and are important to orderly behavior.
C. Laws on their own are enough to dictate moral behavior.
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D. Laws exist outside the scope of ethical decision making. - (ANSWER)B. Laws specify right
and wrong behavior and are important to orderly behavior.
Suzie is a trainer at an insurer who is conducting a class on ethics. Which one of the following
statements is correct concerning what she needs to impress upon her students?
Select one:
A. A purely moral response to a situation cannot be inappropriate.
B. Ethics are an individual's personal beliefs about right and wrong.
C. Ethics are general codes of expected behavior that are derived from laws.
D. Ethics entail knowing what to do when a situation presents more than one "right" answer. -
(ANSWER)D. Ethics entail knowing what to do when a situation presents more than one "right"
answer.
Laura, a claims processor for Great American Insurance Company, notices that a claim in her
queue involves a personal friend. While the claim itself is legitimate, the suggested settlement
amount appears to be higher than similar claims in Laura's experience. Her decision on whether
to refer her friend's claim for further investigation or to pay the stated amount primarily involves
which one of the following?
Select one:
A. Ethics
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B. Principles
C. Laws
D. Morals - (ANSWER)D. Morals
Which one of the following statements concerning laws is true?
Select one:
A. Laws are enough to dictate moral behavior.
B. Laws describe moral responses to conflict.
C. Laws impose a sense of societal decency and order.
D. Laws are ethical tenets. - (ANSWER)C. Laws impose a sense of societal decency and order.
Underwriter Jessica is confronted with an ethical issue involving an applicant. She wants to
handle it ethically. She should remember that ethical behavior is primarily based on
Select one:
A. What feels like the right thing to do.
B. Consideration of applicable laws and morals.
C. Application of laws to personal values.
D. Reasoned consideration of all issues surrounding a conflict. - (ANSWER)D. Reasoned
consideration of all issues surrounding a conflict.
CPCU ETHICS FINAL PRACTICE QUIZ | 2025-2026 LATEST UPDATED |
ACTUAL EXAM QUESTIONS WITH SOLUTIONS | 100% RATED
CORRECT | 100% VERFIED SOLTIONS | ALREADY GRADED A+
Sadie, a new claims adjuster, was on the job just two months when she recognized an ethical
issue. She knew from her training that ethics concern making often difficult decisions
Select one:
A. Between two or more right answers.
B. Based on legal obligations.
C. Between right and wrong.
D. Based on professional standards. - (ANSWER)A. Between two or more right answers.
Greater North American Insurance Company encounters a recurring claims situation in which it
can choose to pay out either of two different amounts for any given situation, depending on the
interpretation of the claim. There are no regulations that directly address the issue. The policy
they choose to formulate will be primarily based on which one of the following?
Select one:
A. Principles
B. Ethics
C. Laws
,2|Page
D. Morals - (ANSWER)B. Ethics
Which one of the following situations primarily represents a moral, as opposed to legal or
ethical, failure?
Select one:
A. An agent continues to sell insurance coverage despite having her license suspended.
B. An applicant misrepresents previous work experience to land a position.
C. An insurer inflates the pricing for a certain product line for which they have little competition.
D. An insurer unfairly discriminates against applicants who live in certain ZIP codes. -
(ANSWER)B. An applicant misrepresents previous work experience to land a position.
The sales team at Local Insurance Company receives periodic training on insurance laws and
regulations. Which one of the following statements is correct regarding what the sales team
needs to realize?
Select one:
A. Regulatory control over the business of insurance is primarily intended to protect
shareholders.
B. Laws specify right and wrong behavior and are important to orderly behavior.
C. Laws on their own are enough to dictate moral behavior.
,3|Page
D. Laws exist outside the scope of ethical decision making. - (ANSWER)B. Laws specify right
and wrong behavior and are important to orderly behavior.
Suzie is a trainer at an insurer who is conducting a class on ethics. Which one of the following
statements is correct concerning what she needs to impress upon her students?
Select one:
A. A purely moral response to a situation cannot be inappropriate.
B. Ethics are an individual's personal beliefs about right and wrong.
C. Ethics are general codes of expected behavior that are derived from laws.
D. Ethics entail knowing what to do when a situation presents more than one "right" answer. -
(ANSWER)D. Ethics entail knowing what to do when a situation presents more than one "right"
answer.
Laura, a claims processor for Great American Insurance Company, notices that a claim in her
queue involves a personal friend. While the claim itself is legitimate, the suggested settlement
amount appears to be higher than similar claims in Laura's experience. Her decision on whether
to refer her friend's claim for further investigation or to pay the stated amount primarily involves
which one of the following?
Select one:
A. Ethics
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B. Principles
C. Laws
D. Morals - (ANSWER)D. Morals
Which one of the following statements concerning laws is true?
Select one:
A. Laws are enough to dictate moral behavior.
B. Laws describe moral responses to conflict.
C. Laws impose a sense of societal decency and order.
D. Laws are ethical tenets. - (ANSWER)C. Laws impose a sense of societal decency and order.
Underwriter Jessica is confronted with an ethical issue involving an applicant. She wants to
handle it ethically. She should remember that ethical behavior is primarily based on
Select one:
A. What feels like the right thing to do.
B. Consideration of applicable laws and morals.
C. Application of laws to personal values.
D. Reasoned consideration of all issues surrounding a conflict. - (ANSWER)D. Reasoned
consideration of all issues surrounding a conflict.
