WA SURPLUS LINES BROKER EXAMS SCRIPT
QUESTIONS AND ANSWERS SURE A+
✔✔What do you have to take into account if company were to liquidate Par Value
bonds? - ✔✔Amortization- if par value (book value) is less than current market value.
✔✔NAIC (National Association of Insurance Commissioners) issues bonds from what
authority? - ✔✔SVO (Securities Valuation Office?
✔✔What info can you find under the 'Summary of Significant Accounting Policies'? -
✔✔Common stocks of wholly owned US Subsidiaries, corrections/errors, Discontinued
Ops, Repurchase Agreements, Restricted Assets, Income Taxes, Real Estate and
REINSURANCE info
✔✔What info can you find on the General Interrogatories page? - ✔✔State Regulating
Date of last financial examination
Name of Investment Manager
Stock/Bond info
'Largest Net Aggregate amount insured on one risk'
✔✔What info can you find on the Jurat Page? - ✔✔NAIC group code
State of Domicile
Year Incorporated
, Name/address/phone/website
Officers/Directors/Trustees
Sworn statement (3 officers)
Notarized
✔✔Common changes made by Surplus Line companies to GL form: - ✔✔Punitive
damage exclusion
Defense inside the limit
Deductible applies to defense costs
Contractual is limited
Limited to designated ops/location
✔✔Major differences between SIRs & Deductibles concern: - ✔✔Insurer responsibilities
in the event of a loss
Collateral requirements
Defense Costs
COI's
Limits erosion
✔✔Definitions of 'claim' can include: - ✔✔Written demand
Any demand of money or relief
Filing of suit
Lodging complaint with regulatory body
✔✔Policy limit is increased (refreshed) if tail coverage is purchased; True or False? -
✔✔False- continuation of limit; does not refresh
✔✔What statements are true in regards to a professional liability policy:
A) Description of professional services listed on Dec Page
B) App becomes apart of the policy
C) Almost always Claims Made
D) Plaintiff usually client
E) all of the above - ✔✔E - all of the above
✔✔Which body of Lloyd's is responsible for promoting Lloyd's market, determines
amount of Capital members must provide to support UW's, Branding/Licensing,
undertakes financial & Regulatory reporting for Lloyd's Market? - ✔✔Corporation of
Lloyd's
✔✔Which body of Lloyd's must provide Capital, support the syndicate's underwriters? -
✔✔Members (members include some of the Worlds largest insurance groups &
companies)
QUESTIONS AND ANSWERS SURE A+
✔✔What do you have to take into account if company were to liquidate Par Value
bonds? - ✔✔Amortization- if par value (book value) is less than current market value.
✔✔NAIC (National Association of Insurance Commissioners) issues bonds from what
authority? - ✔✔SVO (Securities Valuation Office?
✔✔What info can you find under the 'Summary of Significant Accounting Policies'? -
✔✔Common stocks of wholly owned US Subsidiaries, corrections/errors, Discontinued
Ops, Repurchase Agreements, Restricted Assets, Income Taxes, Real Estate and
REINSURANCE info
✔✔What info can you find on the General Interrogatories page? - ✔✔State Regulating
Date of last financial examination
Name of Investment Manager
Stock/Bond info
'Largest Net Aggregate amount insured on one risk'
✔✔What info can you find on the Jurat Page? - ✔✔NAIC group code
State of Domicile
Year Incorporated
, Name/address/phone/website
Officers/Directors/Trustees
Sworn statement (3 officers)
Notarized
✔✔Common changes made by Surplus Line companies to GL form: - ✔✔Punitive
damage exclusion
Defense inside the limit
Deductible applies to defense costs
Contractual is limited
Limited to designated ops/location
✔✔Major differences between SIRs & Deductibles concern: - ✔✔Insurer responsibilities
in the event of a loss
Collateral requirements
Defense Costs
COI's
Limits erosion
✔✔Definitions of 'claim' can include: - ✔✔Written demand
Any demand of money or relief
Filing of suit
Lodging complaint with regulatory body
✔✔Policy limit is increased (refreshed) if tail coverage is purchased; True or False? -
✔✔False- continuation of limit; does not refresh
✔✔What statements are true in regards to a professional liability policy:
A) Description of professional services listed on Dec Page
B) App becomes apart of the policy
C) Almost always Claims Made
D) Plaintiff usually client
E) all of the above - ✔✔E - all of the above
✔✔Which body of Lloyd's is responsible for promoting Lloyd's market, determines
amount of Capital members must provide to support UW's, Branding/Licensing,
undertakes financial & Regulatory reporting for Lloyd's Market? - ✔✔Corporation of
Lloyd's
✔✔Which body of Lloyd's must provide Capital, support the syndicate's underwriters? -
✔✔Members (members include some of the Worlds largest insurance groups &
companies)
