PERSONAL LINES UPDATED EVALUATION TEST QUESTIONS
AND SOLUTIONS GUARANTEE A+
✔✔When an insurer makes changes to premium rates the insurer must notify policy
owners within how many days of the change? - ✔✔15 days
✔✔The Commissioner is empowered to examine the records of any person transacting
insurance in the State as an agency an agent or broker of record. If the Commissioner
does examine a person the expense of that examination will be paid by - ✔✔The person
examined
✔✔How is the Commissioner of insurance selected for the office? - ✔✔Elected in a
general election for a 4 year term
✔✔All of the following identify purposes of the insurance information and privacy act
except - ✔✔To establish fair and marketable advertisement procedures
✔✔Under North Carolina's financial responsibility insurance law, insurers may NOT
issue a policy to a resident with limits less than - ✔✔30/60/25- $30,000/$60,000 for
bodily injury and $25,000 for property damage
✔✔SDIP surcharges are applied to premiums for what time period? - ✔✔3 years
✔✔By what date must agents complete the required continuing education? - ✔✔By the
last day of the licensee's birth month every 2 years
✔✔How many days prior to an insurer becoming insolvent may a claim be covered by
the North Carolina Insurance Guaranty Association? - ✔✔30 days
✔✔The need for essential property insurance for the beach and coastal areas of North
Carolina resulted in the creation of? - ✔✔North Carolina Insurance Underwriting
Association
✔✔The perils covered by the Beach Area Property Plan include all of the following
EXCEPT - ✔✔Flood-(insurance must be purchased from NFIP)
✔✔Under which of the following circumstances would a pretext interview be
permissible? - ✔✔The insurer suspects criminal activity and fraud.
✔✔Every insurer who writer essential property insurance in this state must be a
member of the North Carolina Insurance Underwriting Association - ✔✔As a condition
of its authority to continue to transact the business of insurance in North Carolina
, ✔✔To maintain their insurance license agents are required to complete how many
hours of continuing education every 2 years? - ✔✔24 hours
✔✔On behalf and on request of an insurer by which an agent or limited representative
is appointed, the agent or limited representative may from time to time act as an
adjuster and investigate and report upon claims however he may do so - ✔✔without
being licensed as an adjuster
✔✔Insurance companies are required to provide proof of loss forms to the claimant
within how many days after receipt of notice of loss? - ✔✔15 days (when any company
under any insurance policy requires a written proof of loss after notice of the loss has
been given by the insured or beneficiary the company must furnish a blank form within
15 days)
✔✔The Commissioner must examine every domestic insurer at least once every - ✔✔5
years
✔✔Which of the following will NOT be considered unfair discrimination by insurers? -
✔✔Discriminating in benefits and coverages based on the insured's habits and lifestyle
✔✔An insurance institution or agent that discloses information in violation of the
information privacy and disclosure statues of North Carolina will be liable for -
✔✔Damages sustained by the individual to who the information relates.
✔✔An insurer devises an intimidation strategy in order to corner a large portion of the
insurance market. Which of the following best describes this practice? - ✔✔illegal
✔✔Illegal - ✔✔to participate in any boycott coercion or intimidation that is intended to
restrict fair trade or create a monopoly
✔✔What is the purpose of SDIP - ✔✔To distinguish between safe and high risk drivers
✔✔SDIP-safe driver incentive plan - ✔✔established to differentiate between safe drivers
and those with records of at fault accidents and major or minor moving traffic violation
convictions
✔✔In North Carolina a Commissioner serves a term for how many years? - ✔✔4 year
term
✔✔An insurance company cannot pay a commission to a person for selling soliciting or
negotiating insurance in North Carolina if - ✔✔That person does not hold a required
license
AND SOLUTIONS GUARANTEE A+
✔✔When an insurer makes changes to premium rates the insurer must notify policy
owners within how many days of the change? - ✔✔15 days
✔✔The Commissioner is empowered to examine the records of any person transacting
insurance in the State as an agency an agent or broker of record. If the Commissioner
does examine a person the expense of that examination will be paid by - ✔✔The person
examined
✔✔How is the Commissioner of insurance selected for the office? - ✔✔Elected in a
general election for a 4 year term
✔✔All of the following identify purposes of the insurance information and privacy act
except - ✔✔To establish fair and marketable advertisement procedures
✔✔Under North Carolina's financial responsibility insurance law, insurers may NOT
issue a policy to a resident with limits less than - ✔✔30/60/25- $30,000/$60,000 for
bodily injury and $25,000 for property damage
✔✔SDIP surcharges are applied to premiums for what time period? - ✔✔3 years
✔✔By what date must agents complete the required continuing education? - ✔✔By the
last day of the licensee's birth month every 2 years
✔✔How many days prior to an insurer becoming insolvent may a claim be covered by
the North Carolina Insurance Guaranty Association? - ✔✔30 days
✔✔The need for essential property insurance for the beach and coastal areas of North
Carolina resulted in the creation of? - ✔✔North Carolina Insurance Underwriting
Association
✔✔The perils covered by the Beach Area Property Plan include all of the following
EXCEPT - ✔✔Flood-(insurance must be purchased from NFIP)
✔✔Under which of the following circumstances would a pretext interview be
permissible? - ✔✔The insurer suspects criminal activity and fraud.
✔✔Every insurer who writer essential property insurance in this state must be a
member of the North Carolina Insurance Underwriting Association - ✔✔As a condition
of its authority to continue to transact the business of insurance in North Carolina
, ✔✔To maintain their insurance license agents are required to complete how many
hours of continuing education every 2 years? - ✔✔24 hours
✔✔On behalf and on request of an insurer by which an agent or limited representative
is appointed, the agent or limited representative may from time to time act as an
adjuster and investigate and report upon claims however he may do so - ✔✔without
being licensed as an adjuster
✔✔Insurance companies are required to provide proof of loss forms to the claimant
within how many days after receipt of notice of loss? - ✔✔15 days (when any company
under any insurance policy requires a written proof of loss after notice of the loss has
been given by the insured or beneficiary the company must furnish a blank form within
15 days)
✔✔The Commissioner must examine every domestic insurer at least once every - ✔✔5
years
✔✔Which of the following will NOT be considered unfair discrimination by insurers? -
✔✔Discriminating in benefits and coverages based on the insured's habits and lifestyle
✔✔An insurance institution or agent that discloses information in violation of the
information privacy and disclosure statues of North Carolina will be liable for -
✔✔Damages sustained by the individual to who the information relates.
✔✔An insurer devises an intimidation strategy in order to corner a large portion of the
insurance market. Which of the following best describes this practice? - ✔✔illegal
✔✔Illegal - ✔✔to participate in any boycott coercion or intimidation that is intended to
restrict fair trade or create a monopoly
✔✔What is the purpose of SDIP - ✔✔To distinguish between safe and high risk drivers
✔✔SDIP-safe driver incentive plan - ✔✔established to differentiate between safe drivers
and those with records of at fault accidents and major or minor moving traffic violation
convictions
✔✔In North Carolina a Commissioner serves a term for how many years? - ✔✔4 year
term
✔✔An insurance company cannot pay a commission to a person for selling soliciting or
negotiating insurance in North Carolina if - ✔✔That person does not hold a required
license
