PSI PA PROPERTY AND CASUALTY EXAM GUIDE NEWEST 2025/2026
ACTUAL EXAM COMPLETE QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+||BRAND
NEW!!
According to the insurance law, who is the principal? -
Answer-Broker
An application as a resident agent must be made in how many days if an
individual establishes a principal place of residence within Pa from another state?
-
Answer-90 days
issued for 180 days for surviving spouse, surviving inactive officer or partner,
legal representative. Can be used upon death or incompetency of producer, or
when individuals are serving in the military. -
Answer-a temporary license
Commissioner can do all of the following except? -
Answer-Endorse Insurers
Insurance department can deny an application if the applicant.... -
Answer-provides incorrect or misleading info, been denied in another state or violated
commonwealth insurance laws.
the insurance department may issue this which requires the insurer or person to
stop activity in question -
Answer-Cease & Desist order
Insurance commissioner is appointed by... -
Answer-the Governor
administered by a U.S. state to protect policyholders in the event that an
insurance company defaults on benefit payments or becomes insolvent.
Producers are prohibited to advertise it's existence to secure business. -
Answer-Guaranty Fund
Performed by commissioner to prohibit rates that are excessive, inadequate or
unfairly;y discriminatory. -
Answer-Rate Regulation
Insurance company should acknowledge receipt of claim within... -
Answer-10 working days
Insurance should respond to insurance department inquiry within... -
Answer-15 days
,Bribery, returning a portion of the premium or the agent's/broker's commission on
the premium to the insured or other INDUCEMENTS to place business with a
specific insurer. -
Answer-Rebating
When producer makes false statements -
Answer-Misrepresentation
,When insurance agent makes incomplete comparisons as an inducement to
terminate, surrender one's policy for another of similar risks -
Answer-Twisting
using media with deliberate deceit to defraud -
Answer-False Advertising
persuading someone to buy insurance through the use of threats -
Answer-Coercion
improper holding, breaking fiduciary obligations -
Answer-Misappropriation of funds
making false or derogatory statements as to insurance company's financial
position -
Answer-Defamation
unfair discrimination based on location of insured's home or business -
Answer-Redlining
when a producer is collecting premiums from applicants and adding it to their
personal funds, holding out premium -
Answer-Commingling funds
is a producer's obligation to handle funds of the insured in a responsible and
ethical manner -
Answer-Fiduciary responsibility
Who can terminate a producers appointment -
Answer-The Insurer
means any person/entity who or which is licensed to solicit, negotiate, or sell
insurance.
-
Answer-Insurance Producer
Who is allowed to conduct as many examinations of insurance agencies/agents
as they want -
Answer-the department of insurance
can be shared when 2 producers are in the same authority -
Answer-Commissions
allowed, must include a written advance notice of the fee disclosed to the person
and must be reasonable in relationship to service provided -
Answer-Consulting Fees
, purpose is to protect the privacy of consumer financial info (customers can opt
out and prohibit insurance agency from disseminating nonpublic personal info to
non-affiliated third party) -
Answer-Gramm-Leach-Bailey Act
Insurance Fraud Regulation, criminal prosecution and civil penalty up to?
(amounts) -
Answer-$5000/$10000/$15000
established to protect consumers from unfair and inaccurate info, max penalty of
$2500 and/or 2 years in prison -
Answer-Fair Credit Reporting Act
QOT: Primary purpose of the FCRA (fair credit report. act) is to...? -
Answer-protect against the circulation of inaccurate or obsolete personal or financial info.
ACTUAL EXAM COMPLETE QUESTIONS AND CORRECT DETAILED
ANSWERS (VERIFIED ANSWERS) |ALREADY GRADED A+||BRAND
NEW!!
According to the insurance law, who is the principal? -
Answer-Broker
An application as a resident agent must be made in how many days if an
individual establishes a principal place of residence within Pa from another state?
-
Answer-90 days
issued for 180 days for surviving spouse, surviving inactive officer or partner,
legal representative. Can be used upon death or incompetency of producer, or
when individuals are serving in the military. -
Answer-a temporary license
Commissioner can do all of the following except? -
Answer-Endorse Insurers
Insurance department can deny an application if the applicant.... -
Answer-provides incorrect or misleading info, been denied in another state or violated
commonwealth insurance laws.
the insurance department may issue this which requires the insurer or person to
stop activity in question -
Answer-Cease & Desist order
Insurance commissioner is appointed by... -
Answer-the Governor
administered by a U.S. state to protect policyholders in the event that an
insurance company defaults on benefit payments or becomes insolvent.
Producers are prohibited to advertise it's existence to secure business. -
Answer-Guaranty Fund
Performed by commissioner to prohibit rates that are excessive, inadequate or
unfairly;y discriminatory. -
Answer-Rate Regulation
Insurance company should acknowledge receipt of claim within... -
Answer-10 working days
Insurance should respond to insurance department inquiry within... -
Answer-15 days
,Bribery, returning a portion of the premium or the agent's/broker's commission on
the premium to the insured or other INDUCEMENTS to place business with a
specific insurer. -
Answer-Rebating
When producer makes false statements -
Answer-Misrepresentation
,When insurance agent makes incomplete comparisons as an inducement to
terminate, surrender one's policy for another of similar risks -
Answer-Twisting
using media with deliberate deceit to defraud -
Answer-False Advertising
persuading someone to buy insurance through the use of threats -
Answer-Coercion
improper holding, breaking fiduciary obligations -
Answer-Misappropriation of funds
making false or derogatory statements as to insurance company's financial
position -
Answer-Defamation
unfair discrimination based on location of insured's home or business -
Answer-Redlining
when a producer is collecting premiums from applicants and adding it to their
personal funds, holding out premium -
Answer-Commingling funds
is a producer's obligation to handle funds of the insured in a responsible and
ethical manner -
Answer-Fiduciary responsibility
Who can terminate a producers appointment -
Answer-The Insurer
means any person/entity who or which is licensed to solicit, negotiate, or sell
insurance.
-
Answer-Insurance Producer
Who is allowed to conduct as many examinations of insurance agencies/agents
as they want -
Answer-the department of insurance
can be shared when 2 producers are in the same authority -
Answer-Commissions
allowed, must include a written advance notice of the fee disclosed to the person
and must be reasonable in relationship to service provided -
Answer-Consulting Fees
, purpose is to protect the privacy of consumer financial info (customers can opt
out and prohibit insurance agency from disseminating nonpublic personal info to
non-affiliated third party) -
Answer-Gramm-Leach-Bailey Act
Insurance Fraud Regulation, criminal prosecution and civil penalty up to?
(amounts) -
Answer-$5000/$10000/$15000
established to protect consumers from unfair and inaccurate info, max penalty of
$2500 and/or 2 years in prison -
Answer-Fair Credit Reporting Act
QOT: Primary purpose of the FCRA (fair credit report. act) is to...? -
Answer-protect against the circulation of inaccurate or obsolete personal or financial info.
