WASHINGTON LAWS AND RULES
PERTINENT TO INSURANCE EXAM
WITH QUESTIONS AND 100% CORRECT
ANSWERS 2025 UPDATE.
Violations of US Code Title 18 section 1033, may result in - ANS Fine and/or imprisonment
Charles is a producer who is licensed in Washington but resides in Oregon. Charles is considered
to be a(n) - ANS Nonresident producer
Before a producer may sell, solicit, or negotiate insurance from an insurer, the producer must
have a(n) - ANS Appointment
The act of using misrepresentation to induce an insured person to terminate an existing policy
and purchase a new policy is referred to as - ANS Twisting
An example of an unfair claims settlement practice is - ANS Turning down a claim without
providing the basis of denial
One role of the Commissioner is to - ANS Enforce state insurance laws
Every producer licensed in Washington must notify the Commissioner within ___ days of any
change of the address. - ANS 30
The identity of the _____ must be made clear in every health (disability) insurance
advertisement. - ANS Insurer
A life insurance policy becomes incontestable after it has been in force for - ANS 2 years
Advertising regulations exist to - ANS Assure full and truthful disclosures to the public
When a Medicare Supplement insurance policy is being replaced, who must sign the notice of
replacement? - ANS The producer and the applicant
What is the MINIMUM benefit period that must be offered by a Long-Term Care policy? - ANS
12 months
No legal action can be initiated after ___ years from the initial time written proof of loss has
been provided. - ANS 3
When replacing a life insurance policy, a producer must provide the applicant with a - ANS
Notice Regarding Replacement
, A Medicare Supplement policy can be cancelled by the insurer for - ANS Nonpayment
A company that is chartered and organized of the state in which its home office is located is
called a(n) - ANS Domestic insurer
An insurance company may only pay commissions to a(n) - ANS Licensed producer appointed
by the insurer
An example of an Unfair Claims Settlement practice is - ANS Failing to promptly provide
reasonable explanations for the denial of claims
An insurance company that has qualified and received a Certificate of Authority from the
Insurance Department to sell insurance in this state is called a(n) - ANS Authorized insurer
Replacement can be BEST described as - ANS Exchanging a new policy for one already in force
An insurer may exclude preexisting conditions on a Medicare Supplement policy for ___
months. - ANS 6
What is the purpose of the Washington Life and Disability Insurance Guaranty Association? -
ANS Ensures that claims filed against insolvent insurance companies will be paid
An example of rebating is - ANS A producer who shares commissions with a client
The required grace period for life insurance policies sold in Washington is - ANS 30 days
Kiara filled out a life insurance application and was given a policy illustration that showed future
premiums being paid out of nonguaranteed values. This illustration MUST disclose that - ANS
She may need to resume premium payments, depending on actual results
Which of the following is required for an insurer to conduct business in this state? - ANS
Certificate of Authority
Which of the following is an example of a producer's fiduciary duty? - ANS Recording receipt
and remittance of premiums due to the insurance company
The _____ is responsible for determining the appropriateness of a Medicare Supplement policy
for an applicant - ANS Producer
Which of the following is NOT considered to be an act of "transacting insurance"? - ANS
Gathering prospective buyer information
In the event of a controversy between the insured and the company, the producer is considered to
represent the - ANS Company
PERTINENT TO INSURANCE EXAM
WITH QUESTIONS AND 100% CORRECT
ANSWERS 2025 UPDATE.
Violations of US Code Title 18 section 1033, may result in - ANS Fine and/or imprisonment
Charles is a producer who is licensed in Washington but resides in Oregon. Charles is considered
to be a(n) - ANS Nonresident producer
Before a producer may sell, solicit, or negotiate insurance from an insurer, the producer must
have a(n) - ANS Appointment
The act of using misrepresentation to induce an insured person to terminate an existing policy
and purchase a new policy is referred to as - ANS Twisting
An example of an unfair claims settlement practice is - ANS Turning down a claim without
providing the basis of denial
One role of the Commissioner is to - ANS Enforce state insurance laws
Every producer licensed in Washington must notify the Commissioner within ___ days of any
change of the address. - ANS 30
The identity of the _____ must be made clear in every health (disability) insurance
advertisement. - ANS Insurer
A life insurance policy becomes incontestable after it has been in force for - ANS 2 years
Advertising regulations exist to - ANS Assure full and truthful disclosures to the public
When a Medicare Supplement insurance policy is being replaced, who must sign the notice of
replacement? - ANS The producer and the applicant
What is the MINIMUM benefit period that must be offered by a Long-Term Care policy? - ANS
12 months
No legal action can be initiated after ___ years from the initial time written proof of loss has
been provided. - ANS 3
When replacing a life insurance policy, a producer must provide the applicant with a - ANS
Notice Regarding Replacement
, A Medicare Supplement policy can be cancelled by the insurer for - ANS Nonpayment
A company that is chartered and organized of the state in which its home office is located is
called a(n) - ANS Domestic insurer
An insurance company may only pay commissions to a(n) - ANS Licensed producer appointed
by the insurer
An example of an Unfair Claims Settlement practice is - ANS Failing to promptly provide
reasonable explanations for the denial of claims
An insurance company that has qualified and received a Certificate of Authority from the
Insurance Department to sell insurance in this state is called a(n) - ANS Authorized insurer
Replacement can be BEST described as - ANS Exchanging a new policy for one already in force
An insurer may exclude preexisting conditions on a Medicare Supplement policy for ___
months. - ANS 6
What is the purpose of the Washington Life and Disability Insurance Guaranty Association? -
ANS Ensures that claims filed against insolvent insurance companies will be paid
An example of rebating is - ANS A producer who shares commissions with a client
The required grace period for life insurance policies sold in Washington is - ANS 30 days
Kiara filled out a life insurance application and was given a policy illustration that showed future
premiums being paid out of nonguaranteed values. This illustration MUST disclose that - ANS
She may need to resume premium payments, depending on actual results
Which of the following is required for an insurer to conduct business in this state? - ANS
Certificate of Authority
Which of the following is an example of a producer's fiduciary duty? - ANS Recording receipt
and remittance of premiums due to the insurance company
The _____ is responsible for determining the appropriateness of a Medicare Supplement policy
for an applicant - ANS Producer
Which of the following is NOT considered to be an act of "transacting insurance"? - ANS
Gathering prospective buyer information
In the event of a controversy between the insured and the company, the producer is considered to
represent the - ANS Company
