20-FL-X CERTIFIED DESIGNATED REPRESENTATIVE (CDR) NEW EXAM QUESTIONS AND CORRECT ANSWERS FOR TOP PERFORMANCE

1. What is the primary role of a Certified Designated Representative
(CDR)?
• A) To sell insurance products
• B) To represent insurers in transactions with the Office of Insurance
Regulation
• C) To process claims
• D) To underwrite policies ANSWER : B
2. A CDR must be appointed by:
• A) The insurance agent
• B) The insurer or authorized representative
• C) The Florida Department of Financial Services
• D) The policyholder ANSWER : B
3. How often must a CDR complete continuing education requirements?
• A) Annually
• B) Every 2 years
• C) Every 3 years
• D) Every 5 years ANSWER : B
4. What is the minimum number of continuing education hours required
for CDR renewal?
• A) 10 hours
• B) 15 hours
• C) 20 hours

, • D) 24 hours ANSWER : D
5. Which entity regulates CDRs in Florida?
• A) Florida Department of Business and Professional Regulation
• B) Florida Office of Insurance Regulation
• C) Florida Department of Financial Services
• D) National Association of Insurance Commissioners ANSWER : C
6. A CDR license is valid for:
• A) 1 year
• B) 2 years
• C) 3 years
• D) 5 years ANSWER : B
7. What must a CDR do if their address changes?
• A) Nothing, it's not required
• B) Notify the Department within 30 days
• C) Notify the Department within 60 days
• D) Notify the Department within 90 days ANSWER : B
8. Can a CDR represent multiple insurers simultaneously?
• A) No, only one insurer at a time
• B) Yes, with proper appointments
• C) Only with written permission from the Department
• D) Only if the insurers are related companies ANSWER : B
9. What is required to become a CDR in Florida?
• A) Pass the state examination only
• B) Complete pre-licensing education only
• C) Pass the state examination and receive an appointment
• D) Have 5 years of insurance experience ANSWER : C
10. A CDR's appointment can be terminated by:

, • A) The insurer only
• B) The Department only
• C) Either the insurer or the CDR
• D) Only upon license expiration ANSWER : C
11. How many hours of law and ethics must be included in CDR continuing
education?
• A) 2 hours
• B) 3 hours
• C) 4 hours
• D) 5 hours ANSWER : D
12. What happens if a CDR fails to complete continuing education
requirements?
• A) Automatic suspension
• B) License becomes inactive
• C) $500 fine
• D) Criminal charges ANSWER : B
13. A CDR must maintain errors and omissions insurance:
• A) At all times while licensed
• B) Only when actively representing insurers
• C) Only if required by the appointing insurer
• D) It is not required for CDRs ANSWER : C
14. The CDR examination must be passed with a score of at least:
• A) 60%
• B) 65%
• C) 70%
• D) 75% ANSWER : C
15. How long does an applicant have to pass the CDR exam after
application approval?

, • A) 30 days
• B) 60 days
• C) 90 days
• D) 180 days ANSWER : C
16. A CDR license can be suspended for:
• A) Late payment of fees only
• B) Violating insurance laws or regulations
• C) Changing employers
• D) Moving out of state ANSWER : B
17. What is the fee for initial CDR licensure in Florida?
• A) $50
• B) $60
• C) $100
• D) Subject to change; check current fee schedule ANSWER : D
18. A CDR must report criminal convictions to the Department within:
• A) 10 days
• B) 15 days
• C) 30 days
• D) 60 days ANSWER : C
19. Can a CDR operate without an active appointment?
• A) Yes, for up to 30 days
• B) Yes, for up to 60 days
• C) No, an active appointment is required to operate
• D) Yes, if renewing the license ANSWER : C
20. The primary purpose of the CDR designation is to:
• A) Increase insurance sales
• B) Ensure qualified representation of insurers