1|Page
NJ TITLE EXAM QUESTIONS WITH
COMPLETE SOLUTIONS LATEST UPDATE
Title Insurance authority includes all policies of insurance _____ or __________
owners of real property - ANSWER ✔✔- guaranteeing or indemnifying
A producer taking over a business with a deceased person has ____ days without
requiring examine. (temp. license) - ANSWER ✔✔- 180 days
T or F - No person whose license has been suspended or revoked may be a partner,
officer, or owner of a licensed business entity, or otherwise be employed in any
capacity by an insurance producer - ANSWER ✔✔- True
Penalty for failure to maintain on file with a state accurate home or business
address - ANSWER ✔✔- $250
Penalty for failure to notify state of opening or closing of a branch office -
ANSWER ✔✔- $500
Penalty for failure to notify state of business name change - ANSWER ✔✔- $250
Penalty for bounced check - ANSWER ✔✔- $500
Penalty for failure to maintain on file agency contracts and employment contracts -
ANSWER ✔✔- $100 per contract
,2|Page
Penalty for failure to notify the State of addition or deletion of more than 10% of
officers, directors, and partners - ANSWER ✔✔- $250
Penalty for failure by an employing producer, insurer, or other custodian to return a
license - ANSWER ✔✔- $500
Maximum penalties for Fraud - ANSWER ✔✔- $15,000
person who is authorized to perform certain legally binding act's on a principal's
behalf - ANSWER ✔✔- agent
another name for a broker - ANSWER ✔✔- principal
authority the principal intentionally and expressly grants in either in writing, orally,
or both - ANSWER ✔✔- express authority
authority the principal intends the agent to have but does not specifically grant -
ANSWER ✔✔- implied authority
the authority any reasonable person would assume the agent has based on the
agent's actions - ANSWER ✔✔- apparent authority
In a reinsurance transaction, the originating insurer may also be referred to as the -
ANSWER ✔✔- ceding insurer
An owner whose license is revoked will be entitled to reapply after a waiting
period of ____ years - ANSWER ✔✔- ten
, 3|Page
An insurance agent is defined as an individual who transacts business on behalf of
a _______ - ANSWER ✔✔- a client
Knowingly making false statements which are derogatory against and meant solely
to injure another - ANSWER ✔✔- defamation
Type of authority that is either stated orally or in writing and allows an agent to act
on behalf of the insurance company - ANSWER ✔✔- express authority
Type of authority holds an agent has when any reasonable person assumes the
agent has - ANSWER ✔✔- apparent authority
The chance or uncertainty of loss - ANSWER ✔✔- risk
Conditions and ground rules for a policy specify - ANSWER ✔✔- obligations and
responsibilities for the insurer and the insured
The insuring agreement of a property insurance policy includes - ANSWER ✔✔-
promise made by the insurance company to the insured to provide coverage
Insurable Interest means - ANSWER ✔✔- type of investment that protects
anything subject to a financial loss
A loss for which there is no protection under insurance policy terms - ANSWER
✔✔- exclusion
NJ TITLE EXAM QUESTIONS WITH
COMPLETE SOLUTIONS LATEST UPDATE
Title Insurance authority includes all policies of insurance _____ or __________
owners of real property - ANSWER ✔✔- guaranteeing or indemnifying
A producer taking over a business with a deceased person has ____ days without
requiring examine. (temp. license) - ANSWER ✔✔- 180 days
T or F - No person whose license has been suspended or revoked may be a partner,
officer, or owner of a licensed business entity, or otherwise be employed in any
capacity by an insurance producer - ANSWER ✔✔- True
Penalty for failure to maintain on file with a state accurate home or business
address - ANSWER ✔✔- $250
Penalty for failure to notify state of opening or closing of a branch office -
ANSWER ✔✔- $500
Penalty for failure to notify state of business name change - ANSWER ✔✔- $250
Penalty for bounced check - ANSWER ✔✔- $500
Penalty for failure to maintain on file agency contracts and employment contracts -
ANSWER ✔✔- $100 per contract
,2|Page
Penalty for failure to notify the State of addition or deletion of more than 10% of
officers, directors, and partners - ANSWER ✔✔- $250
Penalty for failure by an employing producer, insurer, or other custodian to return a
license - ANSWER ✔✔- $500
Maximum penalties for Fraud - ANSWER ✔✔- $15,000
person who is authorized to perform certain legally binding act's on a principal's
behalf - ANSWER ✔✔- agent
another name for a broker - ANSWER ✔✔- principal
authority the principal intentionally and expressly grants in either in writing, orally,
or both - ANSWER ✔✔- express authority
authority the principal intends the agent to have but does not specifically grant -
ANSWER ✔✔- implied authority
the authority any reasonable person would assume the agent has based on the
agent's actions - ANSWER ✔✔- apparent authority
In a reinsurance transaction, the originating insurer may also be referred to as the -
ANSWER ✔✔- ceding insurer
An owner whose license is revoked will be entitled to reapply after a waiting
period of ____ years - ANSWER ✔✔- ten
, 3|Page
An insurance agent is defined as an individual who transacts business on behalf of
a _______ - ANSWER ✔✔- a client
Knowingly making false statements which are derogatory against and meant solely
to injure another - ANSWER ✔✔- defamation
Type of authority that is either stated orally or in writing and allows an agent to act
on behalf of the insurance company - ANSWER ✔✔- express authority
Type of authority holds an agent has when any reasonable person assumes the
agent has - ANSWER ✔✔- apparent authority
The chance or uncertainty of loss - ANSWER ✔✔- risk
Conditions and ground rules for a policy specify - ANSWER ✔✔- obligations and
responsibilities for the insurer and the insured
The insuring agreement of a property insurance policy includes - ANSWER ✔✔-
promise made by the insurance company to the insured to provide coverage
Insurable Interest means - ANSWER ✔✔- type of investment that protects
anything subject to a financial loss
A loss for which there is no protection under insurance policy terms - ANSWER
✔✔- exclusion
