PSI EXAM PROPERTY AND CASUALTY QUESTIONS WITH
COMPLETE SOLUTIONS
All of the following are authorized activities for the limited lines automobile
insurance agents EXCEPT if the agent
Charges and collects a brokers fee for service
Which of the following descries a contract of reinsurance?
A first insurer issues insurance to compensate another insurer for losses on contracts
issued by that second insurer
A personal lines licensee is an agent-broker who is able to transact coverage for
all the following EXCEPT
Personal Aircraft
All of the following are requirements for determining an area that qualifies for
Low Cost Automobile Insurance EXCEPT
The number of automobile accidents that occur within the county
What criteria must a person meet in order to be qualified to purchase a good
driver discount policy?
Being licensed to drive a motor vehicle for the previous 3 years and has not had more
than 1 violation point as determined by the CIC
Which of the following must be prominently displayed so that it can be readily
inspected on the licensee?
Currency and capacity
, What is the primary function of the California Automotive Assigned Risk Plan?
CARRP
To put people who have trouble obtaining insurance in touch with insurers who may be
required by law to insure them.
Which is NOT a duty of the Workers Compensation Bureau?
Determine which claims are approved and which are denied.
When can a person who sells real property require the use of a specific insurance
agent, broker or solicitor?
A buyer is always ale to choose their insurance representative
At which point is a person licensed as a broker-agent deemed to be acting as an
insurance agent?
when a notice of appointment is filed with the insurance commissioner
Who must be able to inspect records of insurance transactions made available by
agent-brokers at any time?
The Insurance commissioner
Where must the address be printed for the principal office that is required for
every broker agent and resident insurance casualty broker-agent?
Applications for license and renewals
How many classes of insurance are defined under California insurance law
including "miscellaneous" and "reserved"?
There are a total of 20 classes of insurance under CA insurance law with sub classes
When can a rate be denied by the Department?
when it is inadequate and excessive
COMPLETE SOLUTIONS
All of the following are authorized activities for the limited lines automobile
insurance agents EXCEPT if the agent
Charges and collects a brokers fee for service
Which of the following descries a contract of reinsurance?
A first insurer issues insurance to compensate another insurer for losses on contracts
issued by that second insurer
A personal lines licensee is an agent-broker who is able to transact coverage for
all the following EXCEPT
Personal Aircraft
All of the following are requirements for determining an area that qualifies for
Low Cost Automobile Insurance EXCEPT
The number of automobile accidents that occur within the county
What criteria must a person meet in order to be qualified to purchase a good
driver discount policy?
Being licensed to drive a motor vehicle for the previous 3 years and has not had more
than 1 violation point as determined by the CIC
Which of the following must be prominently displayed so that it can be readily
inspected on the licensee?
Currency and capacity
, What is the primary function of the California Automotive Assigned Risk Plan?
CARRP
To put people who have trouble obtaining insurance in touch with insurers who may be
required by law to insure them.
Which is NOT a duty of the Workers Compensation Bureau?
Determine which claims are approved and which are denied.
When can a person who sells real property require the use of a specific insurance
agent, broker or solicitor?
A buyer is always ale to choose their insurance representative
At which point is a person licensed as a broker-agent deemed to be acting as an
insurance agent?
when a notice of appointment is filed with the insurance commissioner
Who must be able to inspect records of insurance transactions made available by
agent-brokers at any time?
The Insurance commissioner
Where must the address be printed for the principal office that is required for
every broker agent and resident insurance casualty broker-agent?
Applications for license and renewals
How many classes of insurance are defined under California insurance law
including "miscellaneous" and "reserved"?
There are a total of 20 classes of insurance under CA insurance law with sub classes
When can a rate be denied by the Department?
when it is inadequate and excessive
