TEXAS SURPLUS LINES ASSESSMENT TEST 2026 TESTED QUESTIONS WITH FULL SOLUTION GRADED A+

TEXAS SURPLUS LINES ASSESSMENT TEST
2026 TESTED QUESTIONS WITH FULL
SOLUTION GRADED A+

◉ Surplus Lines can be used for which of the following? Answer: C)
Providing financial security through reinsurance for
undercapitalized insurers


◉ Most Licensees must meet none of the following requirements
EXCEPT: Answer: A) Renew their license every two years by paying a
fee


◉ The surplus lines insurers must show which of the following to
become eligible? Answer: A) Indicating they are competent,
trustworthy and have experience


◉ The only surplus lines agents exempt from taking an exam are:
Answer: B) No surplus lines agents are exempt from examination


◉ The elements of a valid contract include all of the following
except: Answer: B) Legal Representation

, ◉ The Insurance Commissioner can do all of the following except:
Answer: D) Set commission rates paid by carriers


◉ If you get caught with a material misrepresentation on your
license application, which of the following will happen? Answer: B)
You will be denied a license and you cannot re-apply immediately


◉ A kickback is similar to which of the following? Answer: D)
Rebates


◉ Hazards are which of the following? Answer: B) Increases the
chance of having a peril


◉ All of the following are true about surplus lines companies
EXCEPT: Answer: B) They compete directly with admitted
companies


◉ Defamation is which of the following? Answer: A) Making a
written statement that is false about the financial condition of a
computer


◉ Advertising includes all of the following except: Answer: A)
Internal Company Bulletins