SERIES 201 EXAM QUESTIONS AND ANSWERS

SERIES 201 EXAM QUESTIONS AND
ANSWERS




Which43one43of43the43following43is43not43one43of43the43duties43of43the43Commissioner43o
f43Insurance?

A.43Enforcing43provisions43of43the43Insurance43Code
B.43Examining43and43licensing43individuals43and43companies43
C.43Examining43Insureds'43financial43conditions
D.43Holding43hearings43regarding43suspension43or43revocation43of43a43license43-
43answer--Examining43Insureds'43financial43conditions


Which43of43the43following43is43not43considered43an43unfair43claims43practice?

A.43Knowingly43misrepresenting43facts43or43provisions
B.43Denying43a43claim
C.43Attempting43to43settle43for43less43than43a43reasonable43amount
D.43Unreasonably43delaying43payment43-43answer--Denying43a43claim

All43of43the43following43are43types43of43adjusters43licenses43regulated43by43the43Louisian
a43Department43of43Insurance43EXCEPT:

A.43Crop43Adjuster
B.43Automobile43Adjuster
C.43Personal43Lines43Adjuster
D.43Commercial43Lines43Adjuster43-43answer--Crop43Adjuster

The43Louisiana43Commissioner43of43Insurance43is43elected43to43a43term43of:

A.43One43Year
B.43Two43Years
C.43Three43Years
D.43Four43Years43-43answer--Four43Years

,A43Louisiana43adjusters'43license43expires:

A.43January431st43of43even43numbered43years
B.43The43last43day43of43each43adjusters43birthday43month43in43odd43numbered43years
C.43June431st43of43even43numbered43years
D.43The43last43day43of43each43adjusters43birthday43month43in43even43numbered43years43
-43answer--
The43last43day43of43each43adjusters43birthday43month43in43odd43numbered43years

To43obtain43an43insurance43adjusters43license,43an43individual43must43do43all43of43the43f
ollowing43EXCEPT:43

A.43Be431843years43of43age
B.43Be43fingerprinted
C.43Complete43pre-license43training
D.43Pass43an43examination43-43answer--Complete43pre-license43training

Unfair43claims43practices43will43be43assumed43to43be43intentional43if:

A.43They43occur43with43such43frequency43as43to43indicate43a43general43business43practic
e
B.43They43are43reported43to43the43Insurer43by43the43policyholder
C.43The43licensee43has43been43reported43for43a43similar43practice43during43the43precedin
g43three43years
D.43The43licensee43fails43to43promptly43submit43a43required43report43-43answer--
They43occur43with43such43frequency43as43to43indicate43a43general43business43practice

When43the43Commissioner43finds43that43an43adjuster43has43knowingly43violated43the43pr
ovisions43of43the43Claims43Settlement43Practices,43what43is43the43maximum43fine43that43
may43be43levied?

A.43$1,000
B.43$10,000
C.43$50,000
D.43$100,00043-43answer--$100,000

All43of43the43following43are43required43to43have43a43Louisiana43adjusters43license43EXCE
PT:43

A.43Independent43Adjusters
B.43Adjusters43handling43only43Casualty43Claims
C.43Adjusters43handling43only43Workers'43Compensation43Claims
D.43Adjusters43handling43only43Automobile43Claims43-43answer--
Adjusters43handling43only43Workers'43Compensation43Claims

, Under43the43Standards43of43Conduct,43adjusters43must43adhere43to43all43of43the43followi
ng43requirements43EXCEPT:

A.43An43adjuster43may43not43take43an43assignment43of43any43claim43if43the43adjuster43is4
3not43competent43and43knowledgeable43of43the43insurance43coverage43applying43to43the
43loss.43
B.43An43adjuster43may43not43acquire43any43interest43in43salvage43property.43
C.43Licensed43comprehensive43adjusters43may43act43as43either43an43adjuster43for43an43I
nsurer43or43as43a43public43adjuster,43but43not43both43on43the43same43claim.
D.43An43adjuster43may43not43permit43an43unlicensed43employee43or43representative43of4
3the43adjuster43to43conduct43business43for43which43a43license43is43required.43-43answer--
Licensed43comprehensive43adjusters43may43act43as43either43an43adjuster43for43an43Insur
er43or43as43a43public43adjuster,43but43not43both43on43the43same43claim.

Contracts43must43contain43all43of43the43following43elements43EXCEPT:

A.43Offer43&43Acceptance
B.43Competent43Parties
C.43Lawful43Purpose
D.43Monetary43Deposit43-43answer--Monetary43Deposit

Insurance43policies43may43be43described43as43all43of43the43following43EXCEPT:

A.43Unconditional43contract
B.43Contract43of43adhesion
C.43Aleatory43contract
D.43Contract43of43indemnity43-43answer--Unconditional43contract

The43principle43of43indemnity43states:

A.43That43there43is43a43clear43winner43and43clear43loser43to43every43transaction
B.43That43reward43comes43with43risk
C.43That43no43one43can43profit43from43an43insurance43loss
D.43That43all43losses43must43be43repaid43-43answer--
That43no43one43can43profit43from43an43insurance43loss

Because43an43insurer43writes43the43policy43language43and43the43insured43has43little43or4
3no43control43over43the43content,43any43ambiguity43in43the43wording43is43usually43resolve
d43in43favor43of43the43insured.43Because43the43design43and43wording43of43a43policy43are4
3in43the43hands43of43the43insurer,43insurance43policies43are43said43to43be:


A.43Contracts43of43adhesion
B.43Unilateral43contracts
C.43Contracts43of43indemnity
D.43Warranties43-43answer--Contracts43of43adhesion