CA Property and Casualty Insurance Practice Exam
Study online at https://quizlet.com/_4sbgu3
1. Which of the following is TRUE regarding who quali- 1. Any person who
fies for coverage under the California Fair Access to is unable to ob-
Insurance Requirements plan? tain basic property
1. insurance through
Any person who is unable to obtain basic property normal channels.
insurance through normal channels.
2.
Any person who qualifies will receive superior cover-
age to other forms of property insurance.
3.
Any person who does NOT have an insurable interest
in a property can participate in the FAIR plan.
4.
Any person who qualifies will have the inspection au-
tomatically waived if they are a FAIR plan participant.
2. A Special Surplus Line Broker is allowed to place cov- 3. transportation
erage with a non-admitted insurer for all the following involving bridges
EXCEPT and tunnels.
1.
aircraft insurance.
2.
interstate commerce involving railroads.
3.
transportation involving bridges and tunnels.
4.
insurance against perils of navigation for import and
exporting of goods.
3. Which of the following is TRUE regarding the appli- 1. The fees and
cation and renewal of the limited lines automobile process are the
insurance agent license? same as for a
1. personal lines li-
The fees and process are the same as for a personal censee.
lines licensee.
2.
There are no fees for filing the application or renewal
applications for the license.
3.
, CA Property and Casualty Insurance Practice Exam
Study online at https://quizlet.com/_4sbgu3
The limited lines agent is ineligible to become a prop-
erty or casualty broker-agent.
4.
The agent must pass an examination on the insurance
code and products, but not ethics.
4. Which of the following is TRUE regarding continuing 1. Any licensee
education requirements of an agent or broker? shall satisfactorily
1. complete 24 hours
Any licensee shall satisfactorily complete 24 hours of of instruction prior
instruction prior to license renewal. to license renewal.
2.
Any licensee in good standing for 10 years may apply
for exemption to the continuing education require-
ment if reputation has been proven.
3.
An agent or broker licensed in life and health requires
more continuing education hours than an agent or
broker licensed in property and casualty.
4.
A licensee who is 65 years or older shall be exempt
from continuing education hours if reputation of agent
or broker is in good standing for 25 years.
5. Which is an ACCURATE statement regarding the List 4. Eligible carri-
of Approved Surplus Lines Insurers? ers do not need
1. to file documents
Participation in LASLI is mandatory and all approved with the California
non admitted insurers are on the list. Department of In-
2. surance.
Surplus lines insurers that are not on the list are
unapproved for broker use.
3.
The same rules apply for U.S. domiciled and non U.S.
domiciled carriers.
4.
Eligible carriers do not need to file documents with
the California Department of Insurance.
, CA Property and Casualty Insurance Practice Exam
Study online at https://quizlet.com/_4sbgu3
6. What 2 different types of areas are served by the 4. Brush fire risk
California Fair Access to Insurance Responsibilities and inner city.
plan?
1.
Poor and alien.
2.
Earthquake prone and rural.
3.
War zones and high crime.
4.
Brush fire risk and inner city.
7. Except in a case where the property is being held as 4. The extent to
a carrier or depository, what is the insurable interest which the insured
is measured by? would be damni-
1. fied by loss or in-
The size of the premium. jury to the proper-
2. ty.
Fair market value of the property.
3.
The contingent or expectant value to the insured.
4.
The extent to which the insured would be damnified
by loss or injury to the property.
8. ALL of the following are examples of open policies 2. agreed value.
EXCEPT
1.
market value.
2.
agreed value.
3.
actual cash value.
4.
replacement value.
9. It is unlawful to do any of the following EXCEPT 3. make or cause
1. to made a know-
knowingly assist, abet, conspire with, or solicit a per- ingly false or fraud-
Study online at https://quizlet.com/_4sbgu3
1. Which of the following is TRUE regarding who quali- 1. Any person who
fies for coverage under the California Fair Access to is unable to ob-
Insurance Requirements plan? tain basic property
1. insurance through
Any person who is unable to obtain basic property normal channels.
insurance through normal channels.
2.
Any person who qualifies will receive superior cover-
age to other forms of property insurance.
3.
Any person who does NOT have an insurable interest
in a property can participate in the FAIR plan.
4.
Any person who qualifies will have the inspection au-
tomatically waived if they are a FAIR plan participant.
2. A Special Surplus Line Broker is allowed to place cov- 3. transportation
erage with a non-admitted insurer for all the following involving bridges
EXCEPT and tunnels.
1.
aircraft insurance.
2.
interstate commerce involving railroads.
3.
transportation involving bridges and tunnels.
4.
insurance against perils of navigation for import and
exporting of goods.
3. Which of the following is TRUE regarding the appli- 1. The fees and
cation and renewal of the limited lines automobile process are the
insurance agent license? same as for a
1. personal lines li-
The fees and process are the same as for a personal censee.
lines licensee.
2.
There are no fees for filing the application or renewal
applications for the license.
3.
, CA Property and Casualty Insurance Practice Exam
Study online at https://quizlet.com/_4sbgu3
The limited lines agent is ineligible to become a prop-
erty or casualty broker-agent.
4.
The agent must pass an examination on the insurance
code and products, but not ethics.
4. Which of the following is TRUE regarding continuing 1. Any licensee
education requirements of an agent or broker? shall satisfactorily
1. complete 24 hours
Any licensee shall satisfactorily complete 24 hours of of instruction prior
instruction prior to license renewal. to license renewal.
2.
Any licensee in good standing for 10 years may apply
for exemption to the continuing education require-
ment if reputation has been proven.
3.
An agent or broker licensed in life and health requires
more continuing education hours than an agent or
broker licensed in property and casualty.
4.
A licensee who is 65 years or older shall be exempt
from continuing education hours if reputation of agent
or broker is in good standing for 25 years.
5. Which is an ACCURATE statement regarding the List 4. Eligible carri-
of Approved Surplus Lines Insurers? ers do not need
1. to file documents
Participation in LASLI is mandatory and all approved with the California
non admitted insurers are on the list. Department of In-
2. surance.
Surplus lines insurers that are not on the list are
unapproved for broker use.
3.
The same rules apply for U.S. domiciled and non U.S.
domiciled carriers.
4.
Eligible carriers do not need to file documents with
the California Department of Insurance.
, CA Property and Casualty Insurance Practice Exam
Study online at https://quizlet.com/_4sbgu3
6. What 2 different types of areas are served by the 4. Brush fire risk
California Fair Access to Insurance Responsibilities and inner city.
plan?
1.
Poor and alien.
2.
Earthquake prone and rural.
3.
War zones and high crime.
4.
Brush fire risk and inner city.
7. Except in a case where the property is being held as 4. The extent to
a carrier or depository, what is the insurable interest which the insured
is measured by? would be damni-
1. fied by loss or in-
The size of the premium. jury to the proper-
2. ty.
Fair market value of the property.
3.
The contingent or expectant value to the insured.
4.
The extent to which the insured would be damnified
by loss or injury to the property.
8. ALL of the following are examples of open policies 2. agreed value.
EXCEPT
1.
market value.
2.
agreed value.
3.
actual cash value.
4.
replacement value.
9. It is unlawful to do any of the following EXCEPT 3. make or cause
1. to made a know-
knowingly assist, abet, conspire with, or solicit a per- ingly false or fraud-
