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FL SURPLUS LINES INSURANCE EXAM
QUESTIONS AND ANSWERS 2025
Rebating is none of the following except: - .....ANSWER
...✔✔ A) Offering special favors for doing business
with you
Surplus Lines can be used for which of the following? -
.....ANSWER ...✔✔ C) Providing financial security
through reinsurance for undercapitalized insurers
Most Licensees must meet none of the following
requirements EXCEPT: - .....ANSWER ...✔✔ A) Renew
their license every two years by paying a fee
The surplus lines insurers must show which of the
following to become eligible? - .....ANSWER ...✔✔ A)
Indicating they are competent, trustworthy and have
experience
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The only surplus lines agents exempt from taking an
exam are: - .....ANSWER ...✔✔ B) No surplus lines
agents are exempt from examination
The elements of a valid contract include all of the
following except: - .....ANSWER ...✔✔ B) Legal
Representation
The Insurance Commissioner can do all of the following
except: - .....ANSWER ...✔✔ D) Set commission rates
paid by carriers
If you get caught with a material misrepresentation on
your license application, which of the following will
happen? - .....ANSWER ...✔✔ B) You will be denied a
license and you cannot re-apply immediately
A kickback is similar to which of the following? -
.....ANSWER ...✔✔ D) Rebates
Hazards are which of the following? - .....ANSWER
...✔✔ B) Increases the chance of having a peril
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All of the following are true about surplus lines
companies EXCEPT: - .....ANSWER ...✔✔ B) They
compete directly with admitted companies
Defamation is which of the following? - .....ANSWER
...✔✔ A) Making a written statement that is false
about the financial condition of a computer
Advertising includes all of the following except: -
.....ANSWER ...✔✔ A) Internal Company Bulletins
A purchasing group is made up of which of the
following? - .....ANSWER ...✔✔ C) Members limited to
those in similar businesses
The job of the Insurance Commissioner includes all of the
following except: - .....ANSWER ...✔✔ D) Making sure
the Texas insurance codes coordinate with other state
insurance codes
A foreign Insurance Company is which of the following? -
.....ANSWER ...✔✔ C) a company with its home office
in another state but is doing business here
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Admitted companies are which of the following? -
.....ANSWER ...✔✔ C) Companies that get a
certificate of authority from the TDI
Which of the following best describes a risk retention
group? - .....ANSWER ...✔✔ A) Skateboard
manufacturers or boiler inspectors that do not buy
insurance from the insurers
What is the tax rate on surplus lines policies? -
.....ANSWER ...✔✔ C) 4.85%
By what date does a surplus lines agent have to pay the
premium tax? - .....ANSWER ...✔✔ B) January 31st
Risk can be: - .....ANSWER ...✔✔ A) Avoided
The two types of risk are: - .....ANSWER ...✔✔ C)
Speculative and Pure
When you can only lose and not win, you are referring
to: - .....ANSWER ...✔✔ A) Pure Risk
FL SURPLUS LINES INSURANCE EXAM
QUESTIONS AND ANSWERS 2025
Rebating is none of the following except: - .....ANSWER
...✔✔ A) Offering special favors for doing business
with you
Surplus Lines can be used for which of the following? -
.....ANSWER ...✔✔ C) Providing financial security
through reinsurance for undercapitalized insurers
Most Licensees must meet none of the following
requirements EXCEPT: - .....ANSWER ...✔✔ A) Renew
their license every two years by paying a fee
The surplus lines insurers must show which of the
following to become eligible? - .....ANSWER ...✔✔ A)
Indicating they are competent, trustworthy and have
experience
,2|Page
The only surplus lines agents exempt from taking an
exam are: - .....ANSWER ...✔✔ B) No surplus lines
agents are exempt from examination
The elements of a valid contract include all of the
following except: - .....ANSWER ...✔✔ B) Legal
Representation
The Insurance Commissioner can do all of the following
except: - .....ANSWER ...✔✔ D) Set commission rates
paid by carriers
If you get caught with a material misrepresentation on
your license application, which of the following will
happen? - .....ANSWER ...✔✔ B) You will be denied a
license and you cannot re-apply immediately
A kickback is similar to which of the following? -
.....ANSWER ...✔✔ D) Rebates
Hazards are which of the following? - .....ANSWER
...✔✔ B) Increases the chance of having a peril
,3|Page
All of the following are true about surplus lines
companies EXCEPT: - .....ANSWER ...✔✔ B) They
compete directly with admitted companies
Defamation is which of the following? - .....ANSWER
...✔✔ A) Making a written statement that is false
about the financial condition of a computer
Advertising includes all of the following except: -
.....ANSWER ...✔✔ A) Internal Company Bulletins
A purchasing group is made up of which of the
following? - .....ANSWER ...✔✔ C) Members limited to
those in similar businesses
The job of the Insurance Commissioner includes all of the
following except: - .....ANSWER ...✔✔ D) Making sure
the Texas insurance codes coordinate with other state
insurance codes
A foreign Insurance Company is which of the following? -
.....ANSWER ...✔✔ C) a company with its home office
in another state but is doing business here
, 4|Page
Admitted companies are which of the following? -
.....ANSWER ...✔✔ C) Companies that get a
certificate of authority from the TDI
Which of the following best describes a risk retention
group? - .....ANSWER ...✔✔ A) Skateboard
manufacturers or boiler inspectors that do not buy
insurance from the insurers
What is the tax rate on surplus lines policies? -
.....ANSWER ...✔✔ C) 4.85%
By what date does a surplus lines agent have to pay the
premium tax? - .....ANSWER ...✔✔ B) January 31st
Risk can be: - .....ANSWER ...✔✔ A) Avoided
The two types of risk are: - .....ANSWER ...✔✔ C)
Speculative and Pure
When you can only lose and not win, you are referring
to: - .....ANSWER ...✔✔ A) Pure Risk
