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CISR AGENCY OPERATIONS EXAM 2025/ 2026 CISR
AGENCY OPERATIONS PRACTICE EXAM QUESTIONS
NEWEST VERSION COMPLETE 250 QUESTIONS AND
CORRECT DETAILED ANSWERS |A+ GRADED
||NEWEST VERSION!!
How does Expansion and Mergers and Acquisition help an
agency grow? - ANSWER-It is a way for the agency to
expand its customer base—by either buying a book of
business or an entire agency/group, or joining a
consortium group to gain workforce, additional markets,
and diversify books of business (example: Safeco bought
by Liberty Mutual)
What are duties of the sales workforce (producer)? (5) -
ANSWER-Identifying prospect
Sales call
Determining property needs
Presenting solutions
Securing buying decision
What are the duties of the service workforce (CRMs) (3) -
ANSWER-- Transacting insurance: discuss coverage,
present quotes, apps & binding
- Account rounding or cross-selling: combining home &
auto
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- Referral Selling: selling new lines to other who have a
business/personal relationship with existing customer
What are the purposes of a position description? (4) -
ANSWER-- Defines acceptable performance
- Describes what duties are to be performed
- Helps with performance evaluations across department
- Support & justify pay
What are the components of a position description? (7) -
ANSWER-Position title
Reason for position
Level of authority granted
Responsibilities, duties, functions (p. 66)
Measuring performance
Qualifications
Working conditions
Examples of stakeholders in an insurance agency (7) -
ANSWER-Board of Directors
Employees
Vendors
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Customers
Industry Associations
Insurance Companies
Government
What is the primary reason for industry regulation? -
ANSWER-Consumer protection
What are the 3 types of insurance company ownership
classification? - ANSWER-- Stock company
- Mutual company
- Reciprocal exchange company
Which type of insurance company ownership classification
describes the following:
-Owned by stockholders & operates with goal to make
money for stockholders - ANSWER-Stock company
Which type of insurance company ownership classification
describes the following:
- Owned by policyholders and goal is to provide insurance
coverage at or near cost of doing business - ANSWER-
Mutual company
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Which type of insurance company ownership classification
describes the following:
- Groups of individuals/organizations ("subscribers") who
join together into an association of insuring one another -
ANSWER-Reciprocal exchange company
What are 3 ways in which insurance companies distribute
their products? - ANSWER-- Independent Agent
(DII/broker)
- Captive Agent (State Farm)
- Direct Writing System (USAA)
What does an insurance company expect from the
agency? (3) - ANSWER-- A good working relationship
between agency/company staff members (competent
managers & knowledgeable/professional staff)
- Honest submission with full disclosure of material facts
(High close ratio on new business and high retention ratio)
- Agency premium growth with that company (Low loss
ratio)
CISR AGENCY OPERATIONS EXAM 2025/ 2026 CISR
AGENCY OPERATIONS PRACTICE EXAM QUESTIONS
NEWEST VERSION COMPLETE 250 QUESTIONS AND
CORRECT DETAILED ANSWERS |A+ GRADED
||NEWEST VERSION!!
How does Expansion and Mergers and Acquisition help an
agency grow? - ANSWER-It is a way for the agency to
expand its customer base—by either buying a book of
business or an entire agency/group, or joining a
consortium group to gain workforce, additional markets,
and diversify books of business (example: Safeco bought
by Liberty Mutual)
What are duties of the sales workforce (producer)? (5) -
ANSWER-Identifying prospect
Sales call
Determining property needs
Presenting solutions
Securing buying decision
What are the duties of the service workforce (CRMs) (3) -
ANSWER-- Transacting insurance: discuss coverage,
present quotes, apps & binding
- Account rounding or cross-selling: combining home &
auto
,2|Page
- Referral Selling: selling new lines to other who have a
business/personal relationship with existing customer
What are the purposes of a position description? (4) -
ANSWER-- Defines acceptable performance
- Describes what duties are to be performed
- Helps with performance evaluations across department
- Support & justify pay
What are the components of a position description? (7) -
ANSWER-Position title
Reason for position
Level of authority granted
Responsibilities, duties, functions (p. 66)
Measuring performance
Qualifications
Working conditions
Examples of stakeholders in an insurance agency (7) -
ANSWER-Board of Directors
Employees
Vendors
,3|Page
Customers
Industry Associations
Insurance Companies
Government
What is the primary reason for industry regulation? -
ANSWER-Consumer protection
What are the 3 types of insurance company ownership
classification? - ANSWER-- Stock company
- Mutual company
- Reciprocal exchange company
Which type of insurance company ownership classification
describes the following:
-Owned by stockholders & operates with goal to make
money for stockholders - ANSWER-Stock company
Which type of insurance company ownership classification
describes the following:
- Owned by policyholders and goal is to provide insurance
coverage at or near cost of doing business - ANSWER-
Mutual company
, 4|Page
Which type of insurance company ownership classification
describes the following:
- Groups of individuals/organizations ("subscribers") who
join together into an association of insuring one another -
ANSWER-Reciprocal exchange company
What are 3 ways in which insurance companies distribute
their products? - ANSWER-- Independent Agent
(DII/broker)
- Captive Agent (State Farm)
- Direct Writing System (USAA)
What does an insurance company expect from the
agency? (3) - ANSWER-- A good working relationship
between agency/company staff members (competent
managers & knowledgeable/professional staff)
- Honest submission with full disclosure of material facts
(High close ratio on new business and high retention ratio)
- Agency premium growth with that company (Low loss
ratio)
