Wisconsin Life Insurance Exam ACTUAL
QUESTIONS AND CORRECT ANSWERS
Which of the following is considered to be an example of unfair restraint of competition?
Coercion
Subrogation
Sliding
Defamation - Correct answers✔Coercion
Which of the following is NOT considered advertising?
Direct mailing from an agency
A rating from a rating service company, such as A.M. Best
A sales presentation
An illustration - Correct answers✔A rating from a rating service company
A life insurance company has transferred some of its risk to another insurer. The insurer
assuming the risk is called the - Correct answers✔Reinsurer
A type of insurer that is owned by its policyowners is called - Correct answers✔Mutual
,What kind of life insurance policy issued by a mutual insurer provides a return of divisible
surplus?
participating life insurance policy
nonparticipating life insurance policy
divisible surplus life insurance policy
straight life insurance policy - Correct answers✔Participating life insurance policy
In an insurance contract, the element that shows each party is giving something of value is called
offer purpose acceptance consideration -
Correct answers✔Consideration
Ken is a producer who has obtained Consumer Information Reports under false pretenses. Under
the Fair Credit Reporting Act, what is the MAXIMUM penalty that may be imposed on Ken?
$7,000
$5,000
$1,000
$3,000 - Correct answers✔$5,000
, Legal purpose is a term used in contract law meaning:
there must be legal reasons for entering into the contract
the contract must be aleatory
there must be an offer and acceptance
the contract must be a contract of adhesion - Correct answers✔There must be legal reasons for
entering into the contract
The authority granted to a licensed producer is provided via the:
written contract
Law of Agency
Principal Capacity producer's apparent authority - Correct
answers✔Law of Agency
A nonparticipating company is sometimes called a(n):
mutual insurer reinsurer alien insurer stock
insurer - Correct answers✔Stock Insurer An
insurer's claim settlement practices are
regulated by the:
QUESTIONS AND CORRECT ANSWERS
Which of the following is considered to be an example of unfair restraint of competition?
Coercion
Subrogation
Sliding
Defamation - Correct answers✔Coercion
Which of the following is NOT considered advertising?
Direct mailing from an agency
A rating from a rating service company, such as A.M. Best
A sales presentation
An illustration - Correct answers✔A rating from a rating service company
A life insurance company has transferred some of its risk to another insurer. The insurer
assuming the risk is called the - Correct answers✔Reinsurer
A type of insurer that is owned by its policyowners is called - Correct answers✔Mutual
,What kind of life insurance policy issued by a mutual insurer provides a return of divisible
surplus?
participating life insurance policy
nonparticipating life insurance policy
divisible surplus life insurance policy
straight life insurance policy - Correct answers✔Participating life insurance policy
In an insurance contract, the element that shows each party is giving something of value is called
offer purpose acceptance consideration -
Correct answers✔Consideration
Ken is a producer who has obtained Consumer Information Reports under false pretenses. Under
the Fair Credit Reporting Act, what is the MAXIMUM penalty that may be imposed on Ken?
$7,000
$5,000
$1,000
$3,000 - Correct answers✔$5,000
, Legal purpose is a term used in contract law meaning:
there must be legal reasons for entering into the contract
the contract must be aleatory
there must be an offer and acceptance
the contract must be a contract of adhesion - Correct answers✔There must be legal reasons for
entering into the contract
The authority granted to a licensed producer is provided via the:
written contract
Law of Agency
Principal Capacity producer's apparent authority - Correct
answers✔Law of Agency
A nonparticipating company is sometimes called a(n):
mutual insurer reinsurer alien insurer stock
insurer - Correct answers✔Stock Insurer An
insurer's claim settlement practices are
regulated by the:
