MICHIGAN SURPLUS LINES COMPREHENSIVE EXAM
2025/2026 QUESTIONS AND ANSWERS GUARANTEE A+
✔✔Program Manager - ✔✔A surplus lines intermediary that gas created a specialized
or niche program that suits a particular market?
✔✔FSLSO - ✔✔The first paperless stamping office in the US?
✔✔1. Promote and permit orderly access to surplus lines insurance in FL,
2. Enhance the number and types of insurance products available to consumers,
3. Provide a source of advice and counsel for the benefit of consumers, surplus lines
agent, insurers and government agencies concerning the FL surplus lines marketplace,
4. Protect the revenues of the state of FL - ✔✔The FSLSO was created to?
✔✔3 declinations,
Residential over 1,000,000 - 1 declination - ✔✔Diligent Effort
✔✔Export - ✔✔Moving business from standard market to non-standard market
✔✔Test Question Export - ✔✔To place with an unauthorized company the insurance
covering a subject of insurance resident located or to be performed in the state is known
as?
✔✔A. Obtaining the lowest premium quote
B. Explaining all relevant policy conditions to the insured
C. Placing coverages with the highest rated authorized insurer
D. 3 documented rejections from authorized insurers currently writing the applicable
coverage
Answer D - ✔✔What are the qualifications for diligent effort?
✔✔A. The premium rate exported must be lower than that currently used by an
authorized insurer
B. The full amount of insurance is not procurable from authorized insurers
C. The policy form shall not be more favorable to the insured than that used by
authorized insurers
D. All of the above
Answer A - ✔✔All of the following are reasons for eligibility to export except?
✔✔A. The insurer must be domiciled in Florida
B. Needs capital and surplus equal to 50% of that required for authorized insurers
C. Surplus lines must be invested in publicly traded Florida corporations
D. Eligibility must be requested by a licensed surplus lines agent
,Answer D - ✔✔Which of the following must be done for an unauthorized insurer to
become an eligible surplus lines insurer in Florida?
✔✔A. The name address and license number of both the surplus lines agent and
originating agent
B. Notice that theres no protection by the Florida Guarantee fund
C. Both A and B are correct
D. Neither A nor B is correct
Answer C - ✔✔Which of the following must be placed on a surplus lines contract?
✔✔A Chief Justice of Supreme Court
B. Secretary of state
C. Any licensed surplus lines agent
D. CFO
Answer D - ✔✔Florida law states that various acts by unauthorized foreign insurers or
alien insurers constitutes an appointment by such insurer of a certain person as its true
and lawful attorney upon whom service of process may be made. This person is?
✔✔A. To reduce the number of lawsuits brought back to Florida
B. To subject certain insurers and persons to the jurisdiction of Florida courts
C. To bring some form of uniform order to the insurance process
D. To allow unauthorized insurers a method of bringing more lawsuits to Florida
Answer B - ✔✔What is the reason for unauthorized insurance process law?
✔✔A. $25
B. $35
C. $50
D. Never permitted
Answer B. - ✔✔Surplus lines agents are allowed to charge a policy fee of?
✔✔A. Making courtesy filings
B. Collecting service fees
C. Collecting taxes
D. Completing a diligent effort form
Answer A. - ✔✔When surplus lines agents have not been involved in the placement of
coverage they are prohibited from?
✔✔A. Standard and poors
B. Demotech
, C. A.M. Best
D. Winestein Rating Services
Answer C. - ✔✔The insurance rating organization which performs both qualitative and
quantitative evaluations of insurers is?
✔✔A. XML Batch Only
B. Slip Only
C. XML Batch and Slip
D. None of the above
Answer B. - ✔✔The FSLSO agent software permits agents to file transaction reports in
which of the following methods?
✔✔A. 14
B. 30 days
C. 45 days
D. 90 days
Answer C. - ✔✔The quarterly report is required to be filed with the department no later
than _____ days subsequently to the close of the quarter.
✔✔A. Always
B. Never
C. Sometimes
D. Partially taxable
Answer B. - ✔✔When is inland marine - motor truck cargo taxable?
✔✔A. 5 days
B. 10 days
C. 30 days
D. Instantaneously
Answer D. - ✔✔Surplus lines information portal (SLIP) filings for all monetary surplus
lines financial transactions will be acknowledged by the FSLSO within what period of
time?
✔✔A. During the first 90 days the insured must be given 45 days written notice of
cancellation
B. For non payment of premium the insured must be given 20 days written notice for
cancellation
C. After the first 90 days the insured must be given 60 days written notice of
cancellation
D. None of the above
2025/2026 QUESTIONS AND ANSWERS GUARANTEE A+
✔✔Program Manager - ✔✔A surplus lines intermediary that gas created a specialized
or niche program that suits a particular market?
✔✔FSLSO - ✔✔The first paperless stamping office in the US?
✔✔1. Promote and permit orderly access to surplus lines insurance in FL,
2. Enhance the number and types of insurance products available to consumers,
3. Provide a source of advice and counsel for the benefit of consumers, surplus lines
agent, insurers and government agencies concerning the FL surplus lines marketplace,
4. Protect the revenues of the state of FL - ✔✔The FSLSO was created to?
✔✔3 declinations,
Residential over 1,000,000 - 1 declination - ✔✔Diligent Effort
✔✔Export - ✔✔Moving business from standard market to non-standard market
✔✔Test Question Export - ✔✔To place with an unauthorized company the insurance
covering a subject of insurance resident located or to be performed in the state is known
as?
✔✔A. Obtaining the lowest premium quote
B. Explaining all relevant policy conditions to the insured
C. Placing coverages with the highest rated authorized insurer
D. 3 documented rejections from authorized insurers currently writing the applicable
coverage
Answer D - ✔✔What are the qualifications for diligent effort?
✔✔A. The premium rate exported must be lower than that currently used by an
authorized insurer
B. The full amount of insurance is not procurable from authorized insurers
C. The policy form shall not be more favorable to the insured than that used by
authorized insurers
D. All of the above
Answer A - ✔✔All of the following are reasons for eligibility to export except?
✔✔A. The insurer must be domiciled in Florida
B. Needs capital and surplus equal to 50% of that required for authorized insurers
C. Surplus lines must be invested in publicly traded Florida corporations
D. Eligibility must be requested by a licensed surplus lines agent
,Answer D - ✔✔Which of the following must be done for an unauthorized insurer to
become an eligible surplus lines insurer in Florida?
✔✔A. The name address and license number of both the surplus lines agent and
originating agent
B. Notice that theres no protection by the Florida Guarantee fund
C. Both A and B are correct
D. Neither A nor B is correct
Answer C - ✔✔Which of the following must be placed on a surplus lines contract?
✔✔A Chief Justice of Supreme Court
B. Secretary of state
C. Any licensed surplus lines agent
D. CFO
Answer D - ✔✔Florida law states that various acts by unauthorized foreign insurers or
alien insurers constitutes an appointment by such insurer of a certain person as its true
and lawful attorney upon whom service of process may be made. This person is?
✔✔A. To reduce the number of lawsuits brought back to Florida
B. To subject certain insurers and persons to the jurisdiction of Florida courts
C. To bring some form of uniform order to the insurance process
D. To allow unauthorized insurers a method of bringing more lawsuits to Florida
Answer B - ✔✔What is the reason for unauthorized insurance process law?
✔✔A. $25
B. $35
C. $50
D. Never permitted
Answer B. - ✔✔Surplus lines agents are allowed to charge a policy fee of?
✔✔A. Making courtesy filings
B. Collecting service fees
C. Collecting taxes
D. Completing a diligent effort form
Answer A. - ✔✔When surplus lines agents have not been involved in the placement of
coverage they are prohibited from?
✔✔A. Standard and poors
B. Demotech
, C. A.M. Best
D. Winestein Rating Services
Answer C. - ✔✔The insurance rating organization which performs both qualitative and
quantitative evaluations of insurers is?
✔✔A. XML Batch Only
B. Slip Only
C. XML Batch and Slip
D. None of the above
Answer B. - ✔✔The FSLSO agent software permits agents to file transaction reports in
which of the following methods?
✔✔A. 14
B. 30 days
C. 45 days
D. 90 days
Answer C. - ✔✔The quarterly report is required to be filed with the department no later
than _____ days subsequently to the close of the quarter.
✔✔A. Always
B. Never
C. Sometimes
D. Partially taxable
Answer B. - ✔✔When is inland marine - motor truck cargo taxable?
✔✔A. 5 days
B. 10 days
C. 30 days
D. Instantaneously
Answer D. - ✔✔Surplus lines information portal (SLIP) filings for all monetary surplus
lines financial transactions will be acknowledged by the FSLSO within what period of
time?
✔✔A. During the first 90 days the insured must be given 45 days written notice of
cancellation
B. For non payment of premium the insured must be given 20 days written notice for
cancellation
C. After the first 90 days the insured must be given 60 days written notice of
cancellation
D. None of the above
