CISR AGENCY OPERATIONS EXAM
QUESTIONS AND ANSWERS
What are the steps to proofing written communication? - Answer- Proof the content
Proof the grammar
Look at the correspondence after printing and before mailing
Ways to improve listening skills - Answer- After customer speaks, summarize what has
been said for clarification before answering any questions or providing
recommendations
Avoid thinking about what you want to say next
Do not interrupt
Types of communication - Answer- Two way communicating; listening and speaking
Body Language and tone of voice
One way communication
Email
Percentages of communication styles picked up on - Answer- Telephone: Actual words
14% Tone 86%
Face to Face: Actual words 7%, tone 38%, body language 55%
What are some coverage differences? - Answer- Perils insured against
Special limits of coverage
Limits of liability
Additional coverages
Commercial lines; know your companies appetite - Answer- Likes to write certain
business
Specializes in certain business
Offers additional services
Commercial applications contain boxes that trigger coverage. This coverage is only in
place if...? - Answer- Only if the boxes are marked
A difference between personal or commercial underwriting guidelines is? - Answer-
Additional services such as loss control could be the deciding factor when selecting the
company to place coverage with
, Why is evaluating the financial condition of an insured an important piece in the
underwriting process? - Answer- There is a direct correlation between the financial
condition of insured's and their loss experience
Increase in loss frequency and severity due tp not having funds for maintenance
The profit and loss statement is also referred to as an....? - Answer- Income and
expense statement
Types of Stakeholders - Answer- managers and employees
customers
insurers
vendors
industry associations
government
Transfer - Answer- Insurance: transfer of financial consequence to an insurance
company
Non Insurance: when a customer transfers financial consequences to another by
contract or agreement
Retention - Answer- Active: when a customer knows before the loss that they are
responsible for all or part of the loss
Passive: Whoops! when a client finds out after a loss occurs that they are responsible
What is NOT one of the four benefits of ethical behavior? - Answer- Ethical behavior
encourages governmental action
Describe the standard of care an insurance agency owes to an insurance company -
Answer- loyalty
good faith
reasonable care
contractual duty
Describe actual authority - Answer- when the agency is expressly given the authority in
the agency contract
Describe a contract - Answer- Oral or written agreements between two parties that
creates an obligation to do or not do a particular thing
What are the four benefits of ethical behavior? - Answer- To be recognized as a
knowledgeable insurance professional within the community
To gain public trust and confidence
To avoid government regulation
To enhance credibility with customers and companies
What is the risk management process? - Answer- Risk Identification
QUESTIONS AND ANSWERS
What are the steps to proofing written communication? - Answer- Proof the content
Proof the grammar
Look at the correspondence after printing and before mailing
Ways to improve listening skills - Answer- After customer speaks, summarize what has
been said for clarification before answering any questions or providing
recommendations
Avoid thinking about what you want to say next
Do not interrupt
Types of communication - Answer- Two way communicating; listening and speaking
Body Language and tone of voice
One way communication
Percentages of communication styles picked up on - Answer- Telephone: Actual words
14% Tone 86%
Face to Face: Actual words 7%, tone 38%, body language 55%
What are some coverage differences? - Answer- Perils insured against
Special limits of coverage
Limits of liability
Additional coverages
Commercial lines; know your companies appetite - Answer- Likes to write certain
business
Specializes in certain business
Offers additional services
Commercial applications contain boxes that trigger coverage. This coverage is only in
place if...? - Answer- Only if the boxes are marked
A difference between personal or commercial underwriting guidelines is? - Answer-
Additional services such as loss control could be the deciding factor when selecting the
company to place coverage with
, Why is evaluating the financial condition of an insured an important piece in the
underwriting process? - Answer- There is a direct correlation between the financial
condition of insured's and their loss experience
Increase in loss frequency and severity due tp not having funds for maintenance
The profit and loss statement is also referred to as an....? - Answer- Income and
expense statement
Types of Stakeholders - Answer- managers and employees
customers
insurers
vendors
industry associations
government
Transfer - Answer- Insurance: transfer of financial consequence to an insurance
company
Non Insurance: when a customer transfers financial consequences to another by
contract or agreement
Retention - Answer- Active: when a customer knows before the loss that they are
responsible for all or part of the loss
Passive: Whoops! when a client finds out after a loss occurs that they are responsible
What is NOT one of the four benefits of ethical behavior? - Answer- Ethical behavior
encourages governmental action
Describe the standard of care an insurance agency owes to an insurance company -
Answer- loyalty
good faith
reasonable care
contractual duty
Describe actual authority - Answer- when the agency is expressly given the authority in
the agency contract
Describe a contract - Answer- Oral or written agreements between two parties that
creates an obligation to do or not do a particular thing
What are the four benefits of ethical behavior? - Answer- To be recognized as a
knowledgeable insurance professional within the community
To gain public trust and confidence
To avoid government regulation
To enhance credibility with customers and companies
What is the risk management process? - Answer- Risk Identification
