NY Life, Accident, and Health Insurance
Agent/Broker Exam Series 17-55
Questions and answers
Process /.2103 /.(d-i) /.- /.(correct /.answer) /.-
1. /.The /.Superintendent /.may /.issue /.a /.license /.to /.any /.person, /.firm /.or /.corporation /.who /.has /.co
mplied /.with /.the /.requirements /.of /.the /.Insurance /.Code, /.authorizing /.the /.licensee /.to /.act /.as /.age
nt /.of /.any /.authorized /.insurer. /.Every /.individual /.applicant /.for /.a /.license /.under /.this /.section /.and
/.every /.proposed /.sub-
licensee /.must /.be /.18 /.years /.of /.age /.or /.older /.at /.the /.time /.of /.issuance /.of /.such /.license. /.The /.p
erson /.must /.submit /.to /.and /.pass /.a /.written /.examination /.required /.by /.the /.Superintendent.
Producer /.Definition /.(2101(k)) /.- /.(correct /.answer) /.-
An /.insurance /.producer /.means /.an /.insurance /.agent, /.insurance /.broker, /.reinsurance /.intermediary,
/.excess /.lines /.broker, /.or /.any /.other /.person /.required /.to /.be /.licensed /.under /.the /.insurance /.laws
/.of /.this /.state /.to /.sell, /.solicit /.or /.negotiate /.insurance.
Who /.Should /.be /.Licensed /.(2101(k)(1)) /.- /.(correct /.answer) /.-
1. /.The /.term /."insurance /.producer" /.does /.not /.include: /.An /.officer, /.director /.or /.employee /.of /.a /.li
censed /.insurer, /.fraternal /.benefit /.society /.or /.health /.maintenance /.organization /.or /.of /.a /.licensed
/.insurance /.producer, /.provided /.that /.the /.officer, /.director /.or /.employee /.does /.not /.receive /.any /.c
ommission /.on /.policies /.written /.or /.sold /.to /.insure /.risks /.residing, /.located /.or /.to /.be /.performed /.i
n /.this /.state /.and:
(a) /.the /.officer, /.director /.or /.employee's /.activities /.are /.executive, /.administrative, /.managerial, /.cler
ical /.or /.a /.combination /.of /.these, /.and /.are /.only /.indirectly /.related /.to /.the /.sale, /.solicitation /.or /.n
egotiation /.of /.insurance;
,(b) /.the /.officer, /.director /.or /.employee's /.function /.relates /.to /.underwriting, /.loss /.control, /.Inspecti
on /.or /.the /.processing, /.adjusting, /.investigating /.or /.settling /.of /.a /.claim /.on /.a /.contract /.of /.Insuran
ce; /.or /.
(c) /.the /.officer, /.director /.or /.employee /.is /.acting /.in /.the /.capacity /.of /.a /.special /.agent /.or /.agency /
.supervisor /.assisting /.licensed /.insurance /.producers /.where /.the /.person's /.activities /.are /.limited /.to
/.providing /.technical /.advice /.and /.assistance /.to /.licensed /.insurance /.producers /.and /.do /.not /.includ
e /.the /.sale, /.solicitation /.or /.negotiation /.of /.insurance.
Home /.State /.(2101(l)) /.- /.(correct /.answer) /.-
Home /.state /.means /.the /.District /.of /.Columbia /.or /.any /.state /.or /.territory /.of /.the /.United /.States /.i
n /.which /.an /.insurance /.producer /.maintains /.his, /.her /.or /.its /.principal /.place /.of /.residence /.or /.pri
ncipal /.place /.of /.business /.and /.is /.licensed /.to /.act /.as /.an /.insurance /.producer.
Negotiate /.(2101(m)) /.- /.(correct /.answer) /.-Negotiate /.or /.negotiation /.means /.the /.act /.of /.conferring
/.directly /.with /.or /.offering /.advice /.directly /.to /.a /.purchaser /.or /.prospective /.purchaser /.of /.a /.partic
ular /.contract /.of /.insurance /.concerning /.any /.of /.the /.substantive /.benefits, /.terms /.or /.conditions /.o
f /.the /.contract, /.provided /.that /.the /.person /.engaged /.in /.that /.act /.either /.sells /.insurance /.or /.obtai
ns /.insurance /.from /.licensed /.insurers, /.fraternal /.benefit /.societies /.or /.health /.maintenance /.organiz
ations /.for /.purchasers.
Sell /.(2101(n)) /.- /.(correct /.answer) /.-
Sell /.or /.sale /.means /.to /.exchange /.a /.contract /.of /.insurance /.by /.any /.means, /.for /.money /.or /.its /.e
quivalent, /.on /.behalf /.of /.a /.licensed /.insurer, /.fraternal /.benefit /.society /.or /.health /.maintenance /.o
rganization.
Solicit /.(2101(o)) /.- /.- /.(correct /.answer) /.-
Solicit /.or /.solicitation /.means /.attempting /.to /.sell /.insurance /.or /.asking /.or /.urging /.a /.person /.to /.a
pply /.for /.a /.particular /.kind /.of /.insurance /.from /.a /.particular /.licensed /.insurer, /.fraternal /.benefit /.s
ociety /.or /.health /.maintenance /.organization.
Agent /.2101(a) /.- /.(correct /.answer) /.-
In /.this /.section, /.insurance /.agent /.means /.any /.authorized /.or /.acknowledged /.agent /.of /.an /.insurer,
/.fraternal /.benefit /.society /.or /.health /.maintenance /.organization /.issued /.a /.certificate /.of /.authority
/.pursuant /.to /.the /.public /.health /.law, /.and /.any /.sub-
,agent /.or /.other /.representative /.of /.such /.an /.agent, /.who /.acts /.as /.such /.in /.the /.solicitation /.of, /.ne
gotiation /.for, /.or /.sale /.of, /.an /.insurance, /.health /.maintenance /.organization /.or /.annuity /.contract, /
.other /.than /.as /.a /.licensed /.insurance /.broker.
Agent /.2101(k) /.- /.(correct /.answer) /.-
insurance /.producer /.means /.an /.insurance /.agent, /.insurance /.broker, /.reinsurance /.intermediary, /.ex
cess /.lines /.broker, /.or /.any /.other /.person /.required /.to /.be /.licensed /.under /.the /.insurance /.laws /.of
/.this /.state /.to /.sell, /.solicit /.or /.negotiate /.insurance. /.
The /.applicant /.must /.be /.at /.least /.18 /.years /.of /.age /.at /.the /.time /.of /.license /.issuance. /.
An /.examination /.is /.required /.for /.each /.applicant, /.except /.where /.noted /.for /.applicants /.with /.a /.ch
ange /.in /.residency /.moving /.to /.New /.York /.(see /.code /.2103 /.below).
Brokers /.2101(c) /.- /.(correct /.answer) /.-
a /.licensed /.insurance /.representative /.who /.does /.not /.represent /.a /.specific /.insurance /.company, /.b
ut /.places /.business /.among /.various /.companies. /.Legally, /.the /.broker /.is /.usually /.regarded /.as /.a /.re
presentative /.of /.the /.insured /.rather /.than /.the /.insuring /.company.
Brokers /.2101(h) /.- /.(correct /.answer) /.-any /.licensed /.attorney /.at /.law /.of /.this /.state.
Consultants /.(2107) /.- /.(correct /.answer) /.-
The /.Superintendent /.may /.issue /.an /.insurance /.consultant's /.license /.to /.any /.person, /.firm, /.associa
tion /.or /.corporation /.who /.or /.which /.has /.complied /.with /.the /.requirements /.of /.this /.chapter /.with
/.respect /.to /.either: /.life /.insurance, /.meaning /.all /.of /.those /.kinds /.of /.insurance /.authorized. /.Any /.s
uch /.license /.issued /.to /.a /.firm /.or /.association /.shall /.authorize /.only /.the /.members /.of /.such /.firm /.
or /.association /.named /.in /.such /.license /.as /.sub-
licensees /.to /.act /.individually /.as /.consultants /.there /.under, /.and /.any /.such /.license /.issued /.to /.a /.c
orporation /.shall /.authorize /.only /.the /.officers /.and /.directors /.thereof /.named /.in /.such /.license /.as /.
sub-licensees /.to /.act /.individually /.as /.consultants /.there /.under.
Adjuster /.2101(g) /.- /.(correct /.answer) /.-
The /.Superintendent /.may, /.in /.his /.discretion /.require /.an /.applicant /.for /.a /.license /.under /.this /.secti
on /.to /.present /.evidence, /.in /.such /.form /.as /.he /.prescribes, /.that /.such /.applicant /.has /.been /.empl
, oyed, /.for /.a /.period /.which /.he /.deems /.reasonable, /.by /.an /.insurer, /.an /.independent /.adjuster /.or /.
a /.public /.adjuster, /.in /.the /.performance /.of /.duties /.which /.in /.his /.opinion /.would /.provide /.the /.ap
plicant /.with /.a /.satisfactory /.preliminary /.training /.for /.the /.duties /.and /.responsibilities /.which /.woul
d /.evolve /.upon /.him /.as /.a /.licensee /.under /.this /.section. /.The /.term /.independent /.adjuster /.means /
.any /.person, /.firm, /.association /.or /.corporation /.who /.for /.money, /.commission /.or /.any /.other /.thing
/.of /.value, /.acts /.in /.this /.state /.on /.behalf /.of /.an /.insurer /.in /.the /.work /.of /.investigating /.and /.adjus
ting /.claims /.arising /.under /.insurance /.contracts /.issued /.by /.such /.insurer /.and /.who /.performs /.such
/.duties /.required /.by /.such /.insurer /.as /.are /.incidental /.to /.such /.claims /.and /.also /.includes /.any /.per
son /.who /.for /.compensation /.or /.anything /.of /.value /.investigates /.and /.adjusts /.claims /.on /.behalf /.o
f /.any /.independent /.adjuster.
Adjuster /.2108 /.- /.(correct /.answer) /.-
Adjusters /.will /.be /.licensed /.as /.either /.independent /.adjusters, /.or /.as /.public /.adjusters. /.The /.Superi
ntendent /.may /.prescribe /.the /.types /.of /.independent /.adjusters' /.licenses /.according /.to /.the /.kind /.
or /.kinds /.of /.insurance /.claims /.which /.the /.licensee /.is /.to /.be /.authorized /.to /.investigate /.and /.adju
st. /.No /.adjuster /.may /.act /.on /.behalf /.of /.an /.insurer /.unless /.licensed /.as /.an /.independent /.adjuster
, /.and /.no /.adjuster /.may /.act /.on /.behalf /.of /.an /.insured /.unless /.licensed /.as /.a /.public /.adjuster. /.A
/.public /.adjuster /.works /.on /.behalf /.of /.the /.insured /.for /.a /.fee.
Nonresident /.2101(d) /.- /.(correct /.answer) /.-In /.this /.section, /.non-
resident /.insurance /.agent /.means /.an /.individual /.who /.is /.a /.non-
resident /.of /.this /.state /.and /.who /.is /.licensed /.or /.authorized /.to /.act /.as /.an /.insurance /.agent /.in /.t
he /.state /.in /.which /.he /.resides, /.or /.in /.which /.he /.or /.the /.firm /.or /.association /.of /.which /.he /.is /.a /
.member /.or /.employee, /.or /.the /.corporation, /.of /.which /.he /.is /.an /.officer, /.director, /.or /.employee /
.maintains /.an /.office /.as /.an /.insurance /.agent.
Nonresident /.2101(e) /.- /.(correct /.answer) /.-In /.this /.section, /."non-
resident /.insurance /.broker", /.means /.an /.individual /.who /.is /.a /.non-
resident /.of /.this /.state /.and /.who /.is /.licensed /.or /.authorized /.to /.act /.as /.an /.insurance /.broker /.in /.
the /.state /.in /.which /.he /.resides, /.or /.in /.which /.he, /.or /.the /.firm /.or /.association /.of /.which /.he /.is /.
a /.member /.or /.employee, /.or /.the /.corporation, /.of /.which /.he /.is /.an /.officer, /.director /.or /.employe
e /.maintains /.an /.office /.as /.an /.insurance /.broker.
