PearsonVue Practice Exam 1 Questions with 100% Complete Answers| Graded A+

Which of the following persons may assign a Standard Fire Policy? - A Claims Adjuster Under the standard flood insurance policy, all of the following loss avoidance measures are covered up to $1,000 when damage to the insured property due to flooding is imminent EXCEPT: - The value of work, at the federal minimum wage, that a member of the household performs The Insurance Commissioner is empowered to: - Enforce state laws relating to insurance After an insurer receives a satisfactory proof of loss from an insured on a fire loss, payment is due within a MAXIMUM of how many days? - 30 days *Upon determining that a producer has violated the insurance law, the Insurance Commissioner is required to take which of the following actions? - Publish notice of the violation The Insurance Commissioner may suspend, revoke, or deny a producer's license for all of the following reasons EXCEPT: - Conviction of a misdemeanor *If an owner-occupied dwelling is totally destroyed without criminal fault on the part of the insured. The amount of the loss covered by a property policy would be based on: - The market value of the dwelling A candidate for licensure as a property insurance produce must have completed a MINIMUM of how many hours of prelicensing education? - 50 hours An insurer that permits different rate classifications for individuals of the same class and same hazard may be guilty of: - Unfair discrimination Making false or misleading statements about dividends or shares of surplus previously paid on an insurance policy is known as: - Misrepresentation *The Insurance Company may issue a limited insurance representative license to an individual who wants to sell which of the following types of policies? - Automobile In this state, a domestic insurer is defined as a company that: - Is headquarted in this state *If a commercial insurer fails to meet the requirements of the forty-five days Notice of Nonrenewal Rule prior to the expiration date of the existing policy, the company MUST: - Provide a renewal policy that *matches* the expiring policy's coverages and premium (key word- matches) *The purpose of the FAIR Plan is to provide: - Basic Property insurance for which coverage is not available in the regular market XYZ Insurance Company recently received its certificate of authority to sell property insurance in Illinois. XYZ is an Iowa insurer but will sell its products through its licensed Illinois producers. Which of the following statements is CORRECT about XYZ Company's involvement in the FAIR Plan? - Membership in the FAIR Plan is optional for XYZ