Download New York State Property and Casualty Licensing Exam Question & Answeres 2025 and more Exams Nursing in PDF only on Docsity!
Licensing Exam Question & Answeres
Pro Rata Liability Clause is included in an insurance policy to deal with the problem of - CORRECT ANSWERS ✅Duplicate insurance policies The purpose of this clause is to illustrate the method to determine each insurer's liability in case of a loss. Each insurer pays its fair share determined by the percentage that the carrier's limit bears to the total coverage carried. pro rata liability - CORRECT ANSWERS ✅If a loss occurs that is covered by more than 1 insurance policy that was purchased by the insured, then each policy pays a portion of the loss that is proportional to the amount of that policy over the total amount of all policies for the loss— each policy pays its pro rata share. What is meant by Res Ipsa Loquitur? - CORRECT ANSWERS ✅Res ipsa loquitur means, roughly, "the thing speaks for itself." Courts developed the concept of Res Ipsa Loquitur to deal with cases in which the actual negligent act cannot be proved, but it is clear that the injury was caused by negligence. What territories are covered by commercial auto insurance? - CORRECT ANSWERS ✅The coverage territory granted in commercial auto
Licensing Exam Question & Answeres
insurance is the United States, its territories and possessions, Puerto Rico and Canada. What does automobile insurance Supplementary Payments refer to? - CORRECT ANSWERS ✅Payment of defense and other expenses by the insurance company beyond the limits of liability.. Any expense the insurance company wishes to incur in the processing of a claim is outside the limits of coverage. The insured is not penalized. Medical Payments coverage under a Homeowner policy are available for expenses resulting from an injury to: - CORRECT ANSWERS ✅A residence employee.. This could be someone who mows the lawn. However, if a residence employee is covered under Workers Compensation Coverage then the Medical Payments Coverage would not apply. Coverage does not apply to the insured or member of the household. Roomers, boarders and tenants are not covered as well what does Homeowners - Coverage C exclude? - CORRECT ANSWERS ✅The Homeowners forms exclude certain types of property. Pets are not covered for loss by an insured peril. The policy also excludes
Licensing Exam Question & Answeres
who represents the insurer in an insurance transaction? - CORRECT ANSWERS ✅agent who do independent adjusters work on behalf of? - CORRECT ANSWERS ✅insureds when do property and casualty agents' licenses expire on? - CORRECT ANSWERS ✅their birthdays the continuing education requirement in New York requires________ hours of continuing education every ______. - CORRECT ANSWERS ✅15 ; biennium (specified period of two years) state regulation promotes the public welfare by monitoring what aspects of insurer activities? - CORRECT ANSWERS ✅solvency (the ability of a company to meet its long-term financial obligations.), policy forms, rates the superintendent of insurance does not have the power to perform what activity? - CORRECT ANSWERS ✅create insurance law
Licensing Exam Question & Answeres
how often does each domestic insurer be examined in detail? - CORRECT ANSWERS ✅every three years what is the purpose of licensing? - CORRECT ANSWERS ✅ensure that the producer meets educational and ethical standards required to fulfill producer's responsibilities to the insurer and the public set out the requirements, procedures, and fees relating to the qualification, licensure, and appointment of insurance producers - CORRECT ANSWERS ✅licensing regulations an insurance agent, insurance broker, reinsurance intermediary, excess lines broker, or any other person required to be licensed under the laws of this state to sell, solicit or negotiate insurance - CORRECT ANSWERS ✅insurance producer any state, district, or territory of the united states in which an insurance producer maintains his/ her principal place of residence or principal place of business, and is licensed to act as an insurance producer - CORRECT ANSWERS ✅home state
Licensing Exam Question & Answeres
- at least 18
- fulfill the pre- licensing education requirement of classroom work or equivalent in correspondence work or similar instruction (90 hours for Property/ Casualty agent or broker)
- pay the applicable fees
- pass the applicable examination for each line of authority licensing examination exemptions (don't have to take the written examination) - CORRECT ANSWERS ✅1. ticket selling agent or representative (airline, bus, train, or sea) for one-time issuance of baggage or accident insurance
- any individual who's license has been revoked or suspended (at the discretion of the superintendent)
- an individual seeking to be a rep of a fraternal benefit society as its agent
- in connection with any certificate of appointment for an additional insurer, as long as it is under the same line of authority already licensed
- a non resident licensee currently licensed in another state with reciprocity
Licensing Exam Question & Answeres
- at the superintendents discretion, applicants who are chartered life underwrites (CLUs). all or part of the examination may be waived as well as the pre-licensing requirement
- Fraternal benefit representatives do not have to be licensed if 50% or less of their time is addressed to life sales when can the superintendent refuse to issue any insurance agent license? - CORRECT ANSWERS ✅if the proposed licensee is found to not be trustworthy or competent, or has not compiled with any prerequisites when is it not necessary to have an insurance producer license? - CORRECT ANSWERS ✅any officer, director, or employee of an insurer or organizations employed by insurers, provided they are not directly or indirectly involved with the actual sale of an insurance contract and do not receive any commission insurance agent insurance broker business entity consultant
Licensing Exam Question & Answeres
any person, firm, association or corporation, who for commission, acts on behalf of the insured in negotiating a settlement of a claim for loss or damage to property - CORRECT ANSWERS ✅public adjuster an individual who is a resident of another state, who is licensed or authorized to act as an agent or broker in the state of NY - CORRECT ANSWERS ✅non resident a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity - CORRECT ANSWERS ✅business entity who can get a temporary license - CORRECT ANSWERS ✅only be used to service existing business, not to solicit, negotiate, or procure new business. only can be used for a total of 90 days unless the superintendent allows it to be extended and therefore can only be extended until 15 months
Licensing Exam Question & Answeres
when must an agent renew? - CORRECT ANSWERS ✅must file an application for renewal to the superintendent at least 60 days before the license expires. if it is late the applicant will have a $10 filing fee continuing education rules - CORRECT ANSWERS ✅any residnent or non resident agent must complete 15 hours of instruction by an approved provider of continuing education every two years. this continuing education requirement applies to agents licensed all lines of property and casualty insurance change of address - CORRECT ANSWERS ✅within 30 days reporting of actions - CORRECT ANSWERS ✅either taken against them or another jurisdiction or another state must be reported within 30 days has assets to meet its financial obligations - CORRECT ANSWERS ✅solvent appointed by the governor and continues in office until the end of the governors term
Licensing Exam Question & Answeres
intended to permit the superintendent and the department to utilize their expertise to investigate and discover insurance frauds, halt fraudulent activities more effectively, and receive assistance from federal and state law enforcement agencies - CORRECT ANSWERS ✅insurance frauds prevention act written and or oral information regarding a consumers credit, character, reputation, or habits collected by a reporting agency from employment records, credit reports, and other public sources - CORRECT ANSWERS ✅consumer reports establishes procedures that consumer-reporting agencies must follow in order to ensure that records are confidential, accurate, relevant, and properly used - CORRECT ANSWERS ✅Fair Credit Reporting Act provides information on the consumer's character, reputation, and habits but the information is obtained through an investigation and interviews with associates, friends, and neighbors of the consumer - CORRECT ANSWERS ✅investigative consumer report
Licensing Exam Question & Answeres
prohibited information on consumer reports - CORRECT ANSWERS ✅bankruptcies more than 10 years old, civil suits, records of arrest or convictions of crimes, or any other negative information that is more than 7 years old the intentional misrepresentation or intentional concealment of a material fact used to induce another party to make or refrain from making a contract, or to deceive or cheat a party - CORRECT ANSWERS ✅fraud federal law makes it illegal for any individual convicted of a crime involving dishonesty, breach of trust or violation of violent crime control and Law Enforcement Act of 1994 to work in the business of insurance affecting commerce unless what? - CORRECT ANSWERS ✅there is a written consent from an insurance regulatory official (1033 waiver) no person, firm, association, corporation or joint stock company may conduct insurance business unless authorized by who? - CORRECT ANSWERS ✅certificate of authority
Licensing Exam Question & Answeres
involves the opportunity for either loss or gain (gambling) - CORRECT ANSWERS ✅speculative risk conditions or situations that increase the probability of an insured loss occuring - CORRECT ANSWERS ✅hazards the causes of loss insured against in an insurance policy - CORRECT ANSWERS ✅peril the reduction, decrease, or disappearance of a value of the person or property insured in a policy, caused by a named peril - CORRECT ANSWERS ✅loss a unit of measurement used to determine rates charged for insurance coverage - CORRECT ANSWERS ✅exposure a large number of units having the same or similar exposure to loss - CORRECT ANSWERS ✅homogeneous
