NJ Property Insurance Practice
Exam Questions and Answers
100% PASS
What are the nine prohibited trade practices?—ANSWER-1.
misrepresentation
2. false advertising
3. defamation
4. rebates
5. false financial statements
6. stock operations & advisory contracts
7. boycott, coercion, intimidation
8. unfair discrimination
9. unfair claim settlement practices
Which government body has principal responsibility for regulating the
insurance industry in NJ?
a. insurance department
,b. governor
c. superintendent of insurance
d. department of banking & insurance—ANSWER-d. department of banking
& insurance
Which of the following persons would not qualify for a temporary substitute
producer's license in New Jersey?
a. spouse of a disabled producer
b. surviving spouse of a deceased producer
c. personal designated by a producer who is on active military duty
d. new agent preparing for the state license exam—ANSWER-d. new agent
preparing for the state license exam
Which of the following is not considered insurance-related conduct?
a. collecting and transmitting insurance premiums
b. preparing advertisements for an insurance contract
c. negotiating an insurance contract
d. processing claims—ANSWER-b. preparing advertisements for an
insurance contract
All of the following are required for a person to obtain a resident producer's
license EXCEPT:
a. completion of a prelicensing course of study
b. payment of the required licensing fees
© 2026 Copyright. All Rights Reserved. This document is
protected by copyright law, Copyrighted By Katelyn Whitman
, c. at least one appointment by an insurer
d. being at least 18 years of age—ANSWER-c. at least one appointment by
an insurer
An insurance company formed under the laws of another state is a/an
a. authorized insurer
b. domestic insurer
c. foreign insurer
d. alien insurer—ANSWER-c. foreign insurer
Which of the following statements regarding branch offices is correct?
a. branch offices must close when a licensed producer is not present
b. a branch office is another name for an agent's private office
c. a producer must give the state 30 days advance notice before opening a
branch office
d. an unlicensed person may manage a branch office if the person does not
sell insurance—ANSWER-c. a producer must give the state 30 days advance
notice before opening a branch office
Exchanging an insurance policy in return for money collected on behalf of
an insurer is the definition of
a. selling insurance
b. soliciting insurance
c. negotiating insurance
Exam Questions and Answers
100% PASS
What are the nine prohibited trade practices?—ANSWER-1.
misrepresentation
2. false advertising
3. defamation
4. rebates
5. false financial statements
6. stock operations & advisory contracts
7. boycott, coercion, intimidation
8. unfair discrimination
9. unfair claim settlement practices
Which government body has principal responsibility for regulating the
insurance industry in NJ?
a. insurance department
,b. governor
c. superintendent of insurance
d. department of banking & insurance—ANSWER-d. department of banking
& insurance
Which of the following persons would not qualify for a temporary substitute
producer's license in New Jersey?
a. spouse of a disabled producer
b. surviving spouse of a deceased producer
c. personal designated by a producer who is on active military duty
d. new agent preparing for the state license exam—ANSWER-d. new agent
preparing for the state license exam
Which of the following is not considered insurance-related conduct?
a. collecting and transmitting insurance premiums
b. preparing advertisements for an insurance contract
c. negotiating an insurance contract
d. processing claims—ANSWER-b. preparing advertisements for an
insurance contract
All of the following are required for a person to obtain a resident producer's
license EXCEPT:
a. completion of a prelicensing course of study
b. payment of the required licensing fees
© 2026 Copyright. All Rights Reserved. This document is
protected by copyright law, Copyrighted By Katelyn Whitman
, c. at least one appointment by an insurer
d. being at least 18 years of age—ANSWER-c. at least one appointment by
an insurer
An insurance company formed under the laws of another state is a/an
a. authorized insurer
b. domestic insurer
c. foreign insurer
d. alien insurer—ANSWER-c. foreign insurer
Which of the following statements regarding branch offices is correct?
a. branch offices must close when a licensed producer is not present
b. a branch office is another name for an agent's private office
c. a producer must give the state 30 days advance notice before opening a
branch office
d. an unlicensed person may manage a branch office if the person does not
sell insurance—ANSWER-c. a producer must give the state 30 days advance
notice before opening a branch office
Exchanging an insurance policy in return for money collected on behalf of
an insurer is the definition of
a. selling insurance
b. soliciting insurance
c. negotiating insurance
