Name:    Florida License ID: 
 
Email: 

Law & Ethic Final Examination

Please be sure to enter your name, FL insurance agent ID# and email address in the above boxes.

Use the drop boxes to the left of each question to select your answers.

When you have answered all of the questions, click the “Grade and Submit” button at the bottom of the page. Your score will be displayed and your completed exam will be forwarded to Wall Street Instructors. Passing grade is 70%.

When you finish, close this window to return to the course.


True/False
Indicate whether the statement is true or false.
 

 1. 

I certify that I am the agent enrolled in this course, and that I will complete this final examination by myself without any assistance from anyone else. I understand that failure to comply with this requirement may result in the loss of continuing education credits and possible administrative sanctions by the Florida Department of Financial Services.
 

Multiple Choice
Identify the choice that best completes the statement or answers the question.
 

 2. 

Which of the following does NOT sit on Florida’s Financial Services Commission:
 
a.
Commissioner of the Office of Insurance Regulation
b.
Governor
c.
Chief Financial Officer
d.
Agricultural Commissioner  
 

 3. 

 What is the best way to find if a company is authorized to conduct business in Florida?
 
a.
Call you state representative
b.
the Active Company Search provided by the OIR
c.
contact the Better Business Bureau
d.
look it up on www.dice.com (MyProfile)
 
 

 4. 

If an agent changes his or her residence address, he or she must notify the Department of Financial Services within:

a.
30 days
b.
60 days
c.
90 days
d.
a change of address does not require notification
 

 5. 

Folling policy expiration, an agent must retain records for at least:
 
a.
5 years
b.
3 years
c.
2 years
d.
1 year
 

 6. 

Possible fines for an agent convicted of selling coverage issued by an unauthorized insurer is:
 
a.
$1000 per violation
b.
Up to 1 year in prison $1,000 per violation
c.
Up to 5 years in prison and $5,000
d.
$50,000 per violation
 

 7. 

Under the Florida Information Protection Act of 2014 (FIPA), breaches must be reported to the Florida Department of Legal Affairs within:
 
a.
24 hours
b.
30 days
c.
45 days
d.
90 days
 

 8. 

If the department finds grounds for suspension, revocation or refusal to renew any license, it may place the offender on probation for a period not to exceed:
 
a.
90 days
b.
1 year
c.
2 years
d.
4 years
 

 9. 

The AGENT IN CHARGE must be licensed in
 
a.
no lines
b.
at least one line that the location handles
c.
at least two lines that the location handles
d.
all lines that the location handles
 

 10. 

The term “risk-bearing entity is NOT:

a.
a group self-insured fund
b.
a self-insured public utility
c.
an authorized insurer
d.
a commercial self-insured fund
 

 11. 

The licenses of insurance agencies:

a.
Do not exist. Only agency registrations exist.
b.
Do not expire
c.
Are valid for a 4 year period
d.
Are valid for a 5 year period
 

 12. 

The Unconditional Refund Period for all purchasers of fixed and variable annuities to:

a.
7 Days
b.
10 Days
c.
14 Days
d.
21 Days
 

 13. 

To apply for a life license in Florida you must be:
 
a.
18 years of age
b.
a Florida resident
c.
A United States Citizen or legal alien with a work visa
d.
All of the above
 

 14. 

Any agent or insurer with knowledge of an unlicensed insurer doing business in Florida:

a.
is not required to take any action
b.
must contact their local law enforcement
c.
must contact their state law enforcement
d.
must report to Florida Department of Financial Services
 

 15. 

An appointment continues in force, but is subject to a renewal request filed by the appointing entity every:

a.
24 Months
b.
4 Years
c.
5 Years
d.
no renewal request is necessary
 

 16. 

Which is NOT a duty of the Office of Insurance Regulation?

a.
issuing licenses to insurance companies
b.
enacting statutes regarding insurance activities
c.
setting premium levels for insurance companies
d.
supervising and enforcing insurance laws
 

 17. 

Insurance premium rates are set by:

a.
the federal government     
b.
the insurer
c.
the insurance agent
d.
the state
 

 18. 

A Life Agent may pay or share commission with which of the following:

a.
a referral from an approved association
b.
an agent holding a valid license and appointment
c.
a full time, salaried employee
d.
all of the above
 

 19. 

The department will not issue a license to an individual unless:

a.
written application is filed with the department
b.
a nonrefundable, prepayment is made for applicable fees
c.
an applicant for a license must submit a set of fingerprints
d.
all of the above
 

 20. 

The solicitation of insurance is the attempt to persuade any person to purchase an insurance product by:

a.
making general or specific recommendations as to insurance products.
b.
representing themselves as a graduate of the American College
c.
discussing long-term care with seniors at a nursing home.
d.
having a bumper sticker on a private auto advertising an insurer or AAA.
 

 21. 

Which of the following is NOT considered Military Installation to which service members are assigned to duty?

a.
barracks
b.
military club or organization
c.
transient housing
d.
family quarters
 

 22. 

A person holding a 2-16 Florida Life license can sell the following products:

a.
all life insurance products
b.
long term care insurance
c.
disability insurance
d.
All of the above
 

 23. 

Agents must make available, records of information, collected from senior consumers, in determining suitability:

a.
for 2 years
b.
for 5 years
c.
throughout the life of the policy
d.
It is not the agents’ responsibility
 

 24. 

A life agent applicant can meet their experience requirement as long as they hold which of the following, within the four years preceding their application:

a.
Chartered Financial Consultant (ChFC) or Certified Financial Planner (CFP)
b.
Fellow, Life Mgmt Institute (FLMI) or Chartered Financial Consultant (ChFC)
c.
Certified Financial Planner (CFP)
d.
All of the above
 

 25. 

When surrendering an annuity, which of the following needs to be included in  written notice:

a.
the amount of any estimated surrender charge
b.
the loss of any minimum interest rate guarantees
c.
the possibility of tax consequences
d.
all of the above
 

 26. 

Free insurance is prohibited except in which of the following:

a.
blanket disability insurance
b.
Credit life insurance
c.
Travel insurance when part of a travel package
d.
All of the above
 

 27. 

A licensee who has been licensed for six or more years must complete a minimum of:

a.
15 hrs of elective, 5 hrs of Law & Ethics Update every 2 yrs.
b.
15 hrs of elective and 5 hrs of Law & Ethics Update every year
c.
19 hrs of elective and 5 hrs of Law & Ethics Update every 2 yrs.
d.
17 hours of elective and 3 hours of Law & Ethics Update every 2 yrs.
 

 28. 

“Suitability information” means consumer information which is reasonably appropriate to determine the suitability of a recommendation made to the consumer, including the following:

a.
financial objective
b.
liquidity needs
c.
rick tolerance
d.
all of the above
 

 29. 

FINRA stands for:
     
a.
Financial Industry Regulating Annuities     
b.
Florida Industry Regulating Authority
c.
Financial Insurance National Regulations Alliance
d.
Financial Industry Regulatory Authority
 

 30. 

Any person who violates a cease and desist order of the department or office is subject to:

a.
a penalty of not more than $5,000
b.
a penalty of not more than $10,000
c.
a penalty of not more than $25,000
d.
a penalty of not more than $50,000
 

 31. 

The typeface for all printed material prepared or presented specifically to/for seniors must use at least

a.
12 Point Font     
b.
Times New Roman Font
c.
12 Point Font using Times New Roman     
d.
At least 10 Point Font
 



 
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