CALIFORNIA PSI LIFE INSURANCE EXAM QUESTIONS AND ANSWERS VERIFIED 100% CORRECT

CALIFORNIA PSI LIFE INSURANCE EXAM QUESTIONS AND ANSWERS VERIFIED 100% CORRECT An "insurance agent" means a person authorized, by and on behalf of an insurer, to transact which of the following class of insurance? - ANSWER -Annuities Which form of negotiation is covered under the definition of "transact" as applied to insurance? - ANSWER -Negotiations preliminary to execution All of the following are to be specified in an insurance policy EXCEPT - ANSWER -The financial rating of the insured. How can a licensee surrender any license for cancellation? - ANSWER -By submitted written notice or by delivering the license to the commissioner How is an insurance policy defined? - ANSWER -The written instrument, in which a contract of insurance is set forth When may a surplus line broker solicit and place insurance for a home state insured with a nonadmitted insurer? - ANSWER -If the same insurance coverage cannot be produced from an admitted insurer. How does an "admitted" person differ from an "non-admitted" person, as it pertains to insurance? - ANSWER -An "admitted" person has the right to transact insurance business within the state, while a "non admitted" person is not entitled to this action. All of the following conditions provide a basis for group life insurance coverage EXCEPT - ANSWER -amounts of insurance may be selected as needed per individuals personal need. Which is an INACCURATE statement regarding underwriting based on genetic testing? - ANSWER -The proposed insured must pay for the cost of the testing. Which of the following can the insurer do if the insured intentionally conceal or misrepresents a material fact concerning any coverage part? - ANSWER -Rescind the contract Which of the following is TRUE of the conversion privileges for the insured in group life insurance? - ANSWER -The option to name a new beneficiary can be exercised by the owner. What are the requirements for notices required by any provision of the insurance code to a person unless expressly provided otherwise? - ANSWER -They should be sent to a mailing notice at their residence or place of business. Which of the following is a party to a contract of insurance bound to communicate EXCEPT - ANSWER -those which the other would know by retaining a consultant with specialized knowledge in insurance matters. While both work with an insurer, how does an "insurance broker" differ from an "insurance agent"? - ANSWER -The broker does not transact on behalf of an insurer, while the agent does. The insurance commissioner may deny an application for any license issued for any of the following EXCEPT - ANSWER -the applicant is lacking in good judgement. Which is an INACCURATE statement regarding coverage for domestic partnerships? - ANSWER -A policyholder may not require that a domestic partnership be registered to qualify for coverage. Which of the following is an insurer allowed to do in the event of a claim? - ANSWER -request a medical examination for the purpose of determining liability under a policy provision When a replacement policy is being considered, which is required from an insurer? - ANSWER -A list of existing policies replacement notice signed by the applicant and the agent, and a notice sent to any existing insurers that replacement is possible are all requirements. All of the following are included as definitions of "transact" as applied to insurance EXCEPT - ANSWER -underwriting Which of the following provisions applied in the event of misstatement of age for a covered employee of the group life policy? - ANSWER -There shall be an equitable adjustment of premium or in the amount of insurance. How does insurance written under a franchise agreement or on a wholesale basis differ from a stand group insurance? - ANSWER -Premiums for the coverage under a franchise agreement may be written for more than the usual rates for such insurance. Concealment, whether intentional or unintentional, entitles the injured party to? - ANSWER -Rescind insurance A person who does NOT hold a valid license may do which of the following - ANSWER -examine contracts of insurance Which is an INACCURATE statement regarding blanket life insurance? - ANSWER -The policy is for the benefit of the policyholder. In the event of receiving notice of a claim or other claim communication, all of the following timelines are accurate EXCEPT - ANSWER -every licensee or claims agent shall transmit notice of the claim to the insurer in no more than 5 calendar days. Which of the following actions is considered part of the insurance sales process? - ANSWER -Transaction of matter subsequent to execution of the contract and arising out of it. Which of the following may be insured against? - ANSWER -Wagering losses. When can a person act as an agent of the insurer? - ANSWER -When the insurer has filed with the commissioner a notice of appointment. Which of the following types of coverage must have proven insurable interest at the time of the application? - ANSWER -Coverage for a minor child age 18 or a corporate owned policy on an employee Which of the following is TRUE regarding change of address for a licensee? - ANSWER -The commissioner must be notified immediately of any change in the personal, business, or email address. "Person" means all of the following EXCEPT - ANSWER -an organizational trust. An insurance agent is a person who transacts all of the following types of insurance EXCEPT - ANSWER -life insurance.