WYOMING PRODUCER LICENSE TEST ACTUAL

WYOMING PRODUCER LICENSE TEST (ACTUAL / )

QUESTIONS WITH CORRECT ANSWERS

All of the following are duties or responsibilities of an insurance producer EXCEPT

• evaluating client needs
• collecting premiums and settling small losses
• leaving a Notice to the Applicant with a new client
• evaluating the insured's financial condition
• evaluating the insured's financial condition

An insured is responsible for evaluating their own financial standing, including their ability to pay premiums.

Which of the following would be considered a competent party for purposes of entering into an insurance contract?

• An inebriated person
• Someone under the influence of drugs
• An individual who has the flu
• An insane individual
• An individual who has the flu 1 / 2

A flu or other innocuous illness is not considered to have a negative effect on competency

Define the term insurance.Insurance is the transfer of pure risk from one party to another for a price through a legal contract that spells out the terms, the perils covered, the perils and property excluded (not covered), and other specific provisions.

Define the term Risk.Risk is defined as the uncertainty of financial loss.

Define the term Exposure.Exposure is the actual condition or situation that presents a possibility of loss.

Define the term Hazard.A hazard is a condition that increases the chance of a loss occurring.

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