West Virginia Laws and Rules Pertinent to Insurance EXAM ALL QUESTIONS AND CORRECT ANSWERS LATEST UPDATE THIS YEAR

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West Virginia Laws and Rules Pertinent to Insurance
EXAM ALL QUESTIONS AND CORRECT ANSWERS LATEST
UPDATE THIS YEAR
QUESTION: 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




QUESTION: 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




QUESTION: Which of the following terms defines the authority given to a producer to transact

business on behalf of the insurer? - ANSWER-appointment




QUESTION: An insurance company must do which of the following to terminate an producer's

appointment? - ANSWER-Send notice of termination to the Commissioner



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QUESTION: A certificate of authority does which of the following? - ANSWER-Permits an

insurance company to transact business in West Virginia




QUESTION: 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




QUESTION: 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




QUESTION: 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




QUESTION: The West Virginia Life and Health Guaranty Association guarantees life insurance

death benefits up to - ANSWER-$300,000




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QUESTION: 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




QUESTION: 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




QUESTION: The conversion period for a terminated employee to convert group life coverage to

an individual plan is - ANSWER-31 days




QUESTION: 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




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Q; The West Virginia Insurance Commissioner attains office in which of the following ways? -

ANSWER-Gubernatorial appointment (Governor of WV)




QUESTION: 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




QUESTION: When a producer is soliciting a client to effect a contract of insurance, the producer

is engaged in - ANSWER-transacting insurance




QUESTION: Courses are approvedfor continuing education credit by the - ANSWER-Insurance

Commissioner and the Board of Insurance Agent Education




QUESTION: If a producer tells an applicant that an insurance policy is like a share of stock, the

producer may be guilty of - ANSWER-misrepresentation




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