WEST VIRGINIA LAWS AND RULES PERTINENT TO
INSURANCE EXAM QUESTIONS AND BEST RATED
CORRECT DETAILED ANSWERS
The West Virginia Insurance Commissioner attains office in which of the following
ways? - (ANSWER)Gubernatorial appointment (Governor of WV)
An offer of life insurance by an insurance company in West Virginia to individuals
who are personally invited to apply on the basis of the offer is known as what
type of solicitation? - (ANSWER)Direct response
When a producer is soliciting a client to effect a contract of insurance, the
producer is engaged in - (ANSWER)transacting insurance
Courses are approvedfor continuing education credit by the - (ANSWER)Insurance
Commissioner and the Board of Insurance Agent Education
If a producer tells an applicant that an insurance policy is like a share of stock, the
producer may be guilty of - (ANSWER)misrepresentation
The West Virginia Insurance Commissioner may refuse to renew a producer's
license for all of the following reasons EXCEPT
- violation of an insurance law
- incompetence
- filing for bankruptcy
- untrustworthiness - (ANSWER)filing for bankruptcy
,If a producer has been engaged in an administrative action by any government
agency, within how many days following the final disposition must the producer
report the action to the Insurance Commissioner? - (ANSWER)30
Which of the following terms defines the authority given to a producer to transact
business on behalf of the insurer? - (ANSWER)appointment
An insurance company must do which of the following to terminate an producer's
appointment? - (ANSWER)Send notice of termination to the Commissioner
A certificate of authority does which of the following? - (ANSWER)Permits an
insurance company to transact business in West Virginia
Which of the following statements is CORRECT about the replacement of one
insurance policy with another? - (ANSWER)It is strictly regulated and requires full
disclosure by both the producer and the replacing insurance company
If the Insurance Department discovers that applicants for an insurance license
intend to produce insurance principally on themselves, their family, and their
property, which of the following will happen? - (ANSWER)The applicants will not
be issued a license
Which of the following parties must provide an insured with proper disclosure
concerning the replacement of an insurance company? - (ANSWER)The producer
who sells the new insurance policy
, The West Virginia Life and Health Guaranty Association guarantees life insurance
death benefits up to - (ANSWER)$300,000
In West Virginia, the Insurance Commissioner has the power to penalize a
producer for a violation in which of the following ways? - (ANSWER)A fine, only
after a hearing
Which activity may result in suspension or revocation of a producer's license?
- Writing primarily controlled business
- Using the human life value approach
- Issuing a conditional receipt
- Changing one's business address - (ANSWER)Writing primarily controlled
business
The conversion period for a terminated employee to convert group life coverage
to an individual plan is - (ANSWER)31 days
Which of the following statements is CORRECT about the authority of the
Insurance Commissioner to review Accident & Sickness policy forms for use in
West Virginia? - (ANSWER)The Commissioner has authority to review these forms
if they will be issued for delivery in West Virginia
INSURANCE EXAM QUESTIONS AND BEST RATED
CORRECT DETAILED ANSWERS
The West Virginia Insurance Commissioner attains office in which of the following
ways? - (ANSWER)Gubernatorial appointment (Governor of WV)
An offer of life insurance by an insurance company in West Virginia to individuals
who are personally invited to apply on the basis of the offer is known as what
type of solicitation? - (ANSWER)Direct response
When a producer is soliciting a client to effect a contract of insurance, the
producer is engaged in - (ANSWER)transacting insurance
Courses are approvedfor continuing education credit by the - (ANSWER)Insurance
Commissioner and the Board of Insurance Agent Education
If a producer tells an applicant that an insurance policy is like a share of stock, the
producer may be guilty of - (ANSWER)misrepresentation
The West Virginia Insurance Commissioner may refuse to renew a producer's
license for all of the following reasons EXCEPT
- violation of an insurance law
- incompetence
- filing for bankruptcy
- untrustworthiness - (ANSWER)filing for bankruptcy
,If a producer has been engaged in an administrative action by any government
agency, within how many days following the final disposition must the producer
report the action to the Insurance Commissioner? - (ANSWER)30
Which of the following terms defines the authority given to a producer to transact
business on behalf of the insurer? - (ANSWER)appointment
An insurance company must do which of the following to terminate an producer's
appointment? - (ANSWER)Send notice of termination to the Commissioner
A certificate of authority does which of the following? - (ANSWER)Permits an
insurance company to transact business in West Virginia
Which of the following statements is CORRECT about the replacement of one
insurance policy with another? - (ANSWER)It is strictly regulated and requires full
disclosure by both the producer and the replacing insurance company
If the Insurance Department discovers that applicants for an insurance license
intend to produce insurance principally on themselves, their family, and their
property, which of the following will happen? - (ANSWER)The applicants will not
be issued a license
Which of the following parties must provide an insured with proper disclosure
concerning the replacement of an insurance company? - (ANSWER)The producer
who sells the new insurance policy
, The West Virginia Life and Health Guaranty Association guarantees life insurance
death benefits up to - (ANSWER)$300,000
In West Virginia, the Insurance Commissioner has the power to penalize a
producer for a violation in which of the following ways? - (ANSWER)A fine, only
after a hearing
Which activity may result in suspension or revocation of a producer's license?
- Writing primarily controlled business
- Using the human life value approach
- Issuing a conditional receipt
- Changing one's business address - (ANSWER)Writing primarily controlled
business
The conversion period for a terminated employee to convert group life coverage
to an individual plan is - (ANSWER)31 days
Which of the following statements is CORRECT about the authority of the
Insurance Commissioner to review Accident & Sickness policy forms for use in
West Virginia? - (ANSWER)The Commissioner has authority to review these forms
if they will be issued for delivery in West Virginia
