CISR AGENCY OPERATIO NS

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CISR AGENCY OPERATIO NS

EXAM /CISR AGENCY

OPERATIONS PRACTICE EXAM

QUESTIONS NEWEST VER SION

COMPLETE 250 QUESTIONS AND

CORRECT DETAILED ANS WERS

|A+ GRADED ||BRAND NEW

VERSION!

Question 1: What are the 3 definitions of Ethics?

CORRECT ANSWER :

1) The rules of conduct governing a particular class of human actions or a particular group, culture, etc.(Webster's College Dictionary) 2) a discipline dealing with good and evil and moral duty 3) Right vs. right (both possibilities have value and merit, yet one must be selected over the other)

Question 2: What are 3 benefits of ethical behavior?

CORRECT ANSWER :

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1) Public trust & confidence gained 2) Government regulation avoided 3) Enhanced credibility gained

Question 3: Why would an agent want to gain public trust

& confidence?

CORRECT ANSWER : This provides both the agent and

agency the opportunity to be recognized as knowledgeable and sound. This helps with sales and overall financial status

Question 4: What are 3 examples of industry regulation?

CORRECT ANSWER :

1) limitations on how credit scoring is used in underwriting 2) trust account fiduciary rules 3) unfair trade practices acts

Question 5: How can an insurance agent bend the rules

with vehicle usage?

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CORRECT ANSWER : Example: pleasure use vs driving to and from work 3-5 miles each day

Question 6: How can an insurance agent bend the rules

with protection classes?CORRECT ANSWER : Example: using a protection class of 3 vs protection class 9 or 10 (in the middle of nowhere = more $)

Question 7: How can an insurance agent bend the rules

with property values?

CORRECT ANSWER : Intentionally underinsuring a

home or relying on extended replacement cost coverage

Question 8: How can an insurance agent bend the rules

with rate basis, classification, or garaging address?

CORRECT ANSWER : Intentionally understating the

rate basis solely for the purpose of reducing the premium

(example: garaging address in Salisbury, MD vs

Baltimore, MD)

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Question 9: What are the 6 Steps to Ethical Decision

Making?

CORRECT ANSWER :

1) Define the problem - how will it affect you, client, agency?2) Seek out resources (mentors, coworkers - WWYD?) 3) Brainstorm a list of potential solutions - keep an open mind 4) Evaluate those alternatives 5) Make your decision and implement it 6) Evaluate the decision

Question 10: Legal duties are based on what 3 criteria?

CORRECT ANSWER :

• Peer standards
• Oral and written agreements (contracts)
• Statutes