LOUISIANA PROPERTY AND CASUALTY EXAM
QUESTIONS AND ANSWERS 2026
COMPREHENSIVE REVIEW GUIDE
◉ Any person who intentionally fails to remit premium payments or
knowingly converts premiums belonging to another to their own use
shall?. Answer: be guilty of theft.
◉ The purpose of insurance regulation is?. Answer: to protect the
public interest.
◉ It is the duty of the Commissioner to?. Answer: administer and
enforce the provisions of the state insurance code in order to protect
the public.
◉ The Commissioner is elected for?. Answer: a 4 year term.
◉ The Commissioner may issue a Certificate of Authority to?.
Answer: a domestic, foreign or alien insurer, authorizing them to
transact insurance in this state.
◉ An authorized insurer is also known as?. Answer: an "admitted"
insurer.
,◉ A domestic insurer is?. Answer: one organized in this state.
◉ A foreign insurer is?. Answer: one organized in another state
◉ an alien insurer is?. Answer: one that is organized in a foreign
country.
◉ Surplus lines insurers, such as Lloyds of London, may?. Answer:
legally transact insurance in this state without a Certificate of
Authority, since they write coverages in the residual market.
◉ It is considered to be unfair for an insurer to?. Answer: commit or
perform unfair claims settlement practices with such frequency as to
indicate a general business practice, such as refusing to pay claims
without conducting a reasonable investigation.
◉ A producer shall not act as?. Answer: an agent of an insurer,
unless the producer has been appointed by that insurer.
◉ To appoint a producer as its agent, an insurer shall file a?. Answer:
notice of appointment with the Commissioner within 15 days from
the date the agency contract was signed.
,◉ A producer may have more than one?. Answer: insurer
appointment.
◉ An insurer may not pay a commission to a producer unless they?.
Answer: have appointed that producer.
◉ Within 15 days after notifying the Commissioner of the
termination of a producer's appointment, the insurer shall?. Answer:
mail a copy of the notice to the producer at their last known address.
◉ The Commissioner shall not grant a producer license to an
applicant for the?. Answer: sole purpose of writing controlled
business on them self, their family or employer.
◉ A producer is in violation of the law regarding controlled business
if?. Answer: during any 12 month period, the total commissions
earned from controlled business exceeds 25% of the commissions
earned on all business written during that same 12 month period.
◉ An insurer may not pay a commission to any person for selling,
soliciting, or negotiating insurance unless?. Answer: such person
holds a valid license.
◉ Renewal or other deferred commissions may be paid to a person
who?. Answer: was properly licensed at the time the sale was made.
, ◉ Clerical staff employees not involved in selling insurance need
not?. Answer: be licensed.
◉ Clerical staff employees who collect premiums on behalf of
licensed producer need not be?. Answer: licensed
◉ It is unlawful for a producer to sell insurance on behalf of an?.
Answer: unauthorized insurer, except through a licensed surplus
lines broker.
◉ Producers who write insurance on behalf of an unauthorized
insurer may be?. Answer: liable for the full amount of any losses not
paid by the non admitted company.
◉ Except for business placed through a licensed surplus lines
broker, any person who knowingly and intentionally writes business
with an unauthorized insurer may be?. Answer: guilty of a felony
and may be imprisoned up to 5 years.
◉ It is an unfair trade practice for a producer to misrepresent the
amount?. Answer: of dividends to be paid or received.
QUESTIONS AND ANSWERS 2026
COMPREHENSIVE REVIEW GUIDE
◉ Any person who intentionally fails to remit premium payments or
knowingly converts premiums belonging to another to their own use
shall?. Answer: be guilty of theft.
◉ The purpose of insurance regulation is?. Answer: to protect the
public interest.
◉ It is the duty of the Commissioner to?. Answer: administer and
enforce the provisions of the state insurance code in order to protect
the public.
◉ The Commissioner is elected for?. Answer: a 4 year term.
◉ The Commissioner may issue a Certificate of Authority to?.
Answer: a domestic, foreign or alien insurer, authorizing them to
transact insurance in this state.
◉ An authorized insurer is also known as?. Answer: an "admitted"
insurer.
,◉ A domestic insurer is?. Answer: one organized in this state.
◉ A foreign insurer is?. Answer: one organized in another state
◉ an alien insurer is?. Answer: one that is organized in a foreign
country.
◉ Surplus lines insurers, such as Lloyds of London, may?. Answer:
legally transact insurance in this state without a Certificate of
Authority, since they write coverages in the residual market.
◉ It is considered to be unfair for an insurer to?. Answer: commit or
perform unfair claims settlement practices with such frequency as to
indicate a general business practice, such as refusing to pay claims
without conducting a reasonable investigation.
◉ A producer shall not act as?. Answer: an agent of an insurer,
unless the producer has been appointed by that insurer.
◉ To appoint a producer as its agent, an insurer shall file a?. Answer:
notice of appointment with the Commissioner within 15 days from
the date the agency contract was signed.
,◉ A producer may have more than one?. Answer: insurer
appointment.
◉ An insurer may not pay a commission to a producer unless they?.
Answer: have appointed that producer.
◉ Within 15 days after notifying the Commissioner of the
termination of a producer's appointment, the insurer shall?. Answer:
mail a copy of the notice to the producer at their last known address.
◉ The Commissioner shall not grant a producer license to an
applicant for the?. Answer: sole purpose of writing controlled
business on them self, their family or employer.
◉ A producer is in violation of the law regarding controlled business
if?. Answer: during any 12 month period, the total commissions
earned from controlled business exceeds 25% of the commissions
earned on all business written during that same 12 month period.
◉ An insurer may not pay a commission to any person for selling,
soliciting, or negotiating insurance unless?. Answer: such person
holds a valid license.
◉ Renewal or other deferred commissions may be paid to a person
who?. Answer: was properly licensed at the time the sale was made.
, ◉ Clerical staff employees not involved in selling insurance need
not?. Answer: be licensed.
◉ Clerical staff employees who collect premiums on behalf of
licensed producer need not be?. Answer: licensed
◉ It is unlawful for a producer to sell insurance on behalf of an?.
Answer: unauthorized insurer, except through a licensed surplus
lines broker.
◉ Producers who write insurance on behalf of an unauthorized
insurer may be?. Answer: liable for the full amount of any losses not
paid by the non admitted company.
◉ Except for business placed through a licensed surplus lines
broker, any person who knowingly and intentionally writes business
with an unauthorized insurer may be?. Answer: guilty of a felony
and may be imprisoned up to 5 years.
◉ It is an unfair trade practice for a producer to misrepresent the
amount?. Answer: of dividends to be paid or received.
