Personal lines Property & Casualty Exam with verified detailed solutions,
Exams of Insurance Economics
Risk - ANSWERChance or Uncertainty of a Loss
Peril - ANSWERPossible cause of a loss
2 Years - ANSWERThe Commissioner of insurance is appointed by the
governor for a term of ______ ending on February 1 of each odd-numbered
year?
5 Years - ANSWERThe Commissioner of insurance MUST have ________ of
experience in business or government.
$50,000 - ANSWERThe Commissioner of insurance must provide a
__________ surety bond. (A surety bond guarantees performance)
$500,000 - ANSWERThe Commissioner of insurance requires state fees in
excess of _____________ to be submitted by electronic transfer.
15 Days - ANSWERThe Commissioner of insurance requires that persons must
respond to commissioner inquires within_______ ?
,20 Days - ANSWERResponse from alleged violator must be within ______ of
receipt?
14 Days - ANSWERDepartment must send notice of violation within _____ of
finding?
$25,000 - ANSWERMaximum penalty for insurance code violations?
18 Years Old - ANSWERMinimum age for a license?
5 years - ANSWERThe waiting period to reapply if license is denied or
revoked?
90 Days - ANSWERAn Emergency License is valid for up to ___?
90 Days - ANSWERAn Emergency license may be renewed an additional
____?
90 Days - ANSWERA temporary license is valid for up to ___?
2 years - ANSWERBusiness entity agent licenses are renewed every ______
after the license is issued?
1 Year - ANSWERIf the license is expired for more than _______ all
requirements for a new license (including the exam) must be met?
,90 Days - ANSWERIf a license has been expires for _________ or less, it may
be renewed by paying the renewal fee plus a 50% penalty.
90 Days - ANSWERA license expired more than ______ but less than one year
cannot be renewed; a new license maybe issued with no exam upon payment
of license fee & penalty fee?
Monthly Basis - ANSWERChange in address, felony convictions, or
administrative actions must be reported to the commissioner on a
__________?
24 Hours - ANSWERTotal continuing education requirements?
2 Hours - ANSWEREthics & consumer protection continuing education
requirement?
3 hours - ANSWERFlood insurance requires _____ certification course?
4 years - ANSWERContinuing education records must be kept for _____?
25% - ANSWERAt least ____ of annual premiums must be derived from
persons other than the applicant, applicants family, & applicants business
associates.
60 Days - ANSWERApproval of Rate & forms must be filed _____ before use?
, 30 Days - ANSWERBinders must be replaced by the insurance policy within
____?
$15 million - ANSWERSurplus lines insurer's capital & surplus must be at least
______?
30 Days - ANSWERSuspected fraudulent acts must be reported to the
commissioner or law enforcement within _____?
10 Days - ANSWER______ in advance for Homeowners Insurance
cancellation?
6 months - ANSWERTexas FAIR (Fair Access to Insurance requirements)
provides residential property insurance when coverage is unavailable in other
markets or when there has been no insurance on the property in the past
______?
30 Days - ANSWER_________ in advance for a Nonrenewal?
$60,000 - ANSWERBodily injury or death of 2 or more people _____?
$25,000 - ANSWERProperty damage per accident?
30/60/25 - ANSWERMinimum liability in Texas ($30,000 per person for bodily
injury, $60,000 per accident for bodily injury, $25,000 for property damage of
others)
Exams of Insurance Economics
Risk - ANSWERChance or Uncertainty of a Loss
Peril - ANSWERPossible cause of a loss
2 Years - ANSWERThe Commissioner of insurance is appointed by the
governor for a term of ______ ending on February 1 of each odd-numbered
year?
5 Years - ANSWERThe Commissioner of insurance MUST have ________ of
experience in business or government.
$50,000 - ANSWERThe Commissioner of insurance must provide a
__________ surety bond. (A surety bond guarantees performance)
$500,000 - ANSWERThe Commissioner of insurance requires state fees in
excess of _____________ to be submitted by electronic transfer.
15 Days - ANSWERThe Commissioner of insurance requires that persons must
respond to commissioner inquires within_______ ?
,20 Days - ANSWERResponse from alleged violator must be within ______ of
receipt?
14 Days - ANSWERDepartment must send notice of violation within _____ of
finding?
$25,000 - ANSWERMaximum penalty for insurance code violations?
18 Years Old - ANSWERMinimum age for a license?
5 years - ANSWERThe waiting period to reapply if license is denied or
revoked?
90 Days - ANSWERAn Emergency License is valid for up to ___?
90 Days - ANSWERAn Emergency license may be renewed an additional
____?
90 Days - ANSWERA temporary license is valid for up to ___?
2 years - ANSWERBusiness entity agent licenses are renewed every ______
after the license is issued?
1 Year - ANSWERIf the license is expired for more than _______ all
requirements for a new license (including the exam) must be met?
,90 Days - ANSWERIf a license has been expires for _________ or less, it may
be renewed by paying the renewal fee plus a 50% penalty.
90 Days - ANSWERA license expired more than ______ but less than one year
cannot be renewed; a new license maybe issued with no exam upon payment
of license fee & penalty fee?
Monthly Basis - ANSWERChange in address, felony convictions, or
administrative actions must be reported to the commissioner on a
__________?
24 Hours - ANSWERTotal continuing education requirements?
2 Hours - ANSWEREthics & consumer protection continuing education
requirement?
3 hours - ANSWERFlood insurance requires _____ certification course?
4 years - ANSWERContinuing education records must be kept for _____?
25% - ANSWERAt least ____ of annual premiums must be derived from
persons other than the applicant, applicants family, & applicants business
associates.
60 Days - ANSWERApproval of Rate & forms must be filed _____ before use?
, 30 Days - ANSWERBinders must be replaced by the insurance policy within
____?
$15 million - ANSWERSurplus lines insurer's capital & surplus must be at least
______?
30 Days - ANSWERSuspected fraudulent acts must be reported to the
commissioner or law enforcement within _____?
10 Days - ANSWER______ in advance for Homeowners Insurance
cancellation?
6 months - ANSWERTexas FAIR (Fair Access to Insurance requirements)
provides residential property insurance when coverage is unavailable in other
markets or when there has been no insurance on the property in the past
______?
30 Days - ANSWER_________ in advance for a Nonrenewal?
$60,000 - ANSWERBodily injury or death of 2 or more people _____?
$25,000 - ANSWERProperty damage per accident?
30/60/25 - ANSWERMinimum liability in Texas ($30,000 per person for bodily
injury, $60,000 per accident for bodily injury, $25,000 for property damage of
others)
