Ohio Insurance Practice Test (Free)

Question 1

In a whole life insurance policy, what does the 'cash value' component represent?

Accepted Answer

A savings-like element that accumulates over time and can be borrowed against or surrendered for cash

Answer

The total premiums paid in the first year only

Answer

The insurer's annual profit on the policy

Answer

A rider that covers accidental death only

Question 2

In Ohio, what is the late renewal fee for an insurance producer license within the first month after expiration?

Accepted Answer

$50

Answer

$10

Answer

$100

Answer

$200

Question 3

In Ohio, which two lines of authority can be combined into a single PSI exam sitting, according to the Ohio Department of Insurance?

Accepted Answer

Life plus Accident & Health, and Property plus Casualty

Answer

Title plus Surety Bail Bond

Answer

Variable Life plus Public Insurance Adjuster

Answer

Personal Lines plus Title

Question 4

What is the purpose of a beneficiary designation on a life insurance policy?

Accepted Answer

It names who receives the death benefit when the insured dies

Answer

It sets the premium amount for the policy

Answer

It determines the policy's cash value growth rate

Answer

It names who can sell the policy to a third party

Question 5

Which testing vendor administers Ohio insurance producer licensing exams?

Accepted Answer

PSI

Answer

Pearson

Answer

Prometric

Answer

ETS

Question 6

What is the purpose of the incontestability clause in a life insurance policy?

Accepted Answer

It prevents the insurer from voiding the policy for misstatements after a specified period, usually two years, except for fraud

Answer

It allows the insurer to cancel the policy at any time

Answer

It guarantees the insured a refund of all premiums at age 65

Answer

It allows unlimited increases in coverage without underwriting

Question 7

What is the general purpose of an insurable interest requirement in an insurance contract?

Accepted Answer

To ensure the policyholder would suffer a genuine financial loss if the insured event occurred, preventing wagering-style policies

Answer

To limit how many policies a person can own

Answer

To determine the size of the agent's commission

Answer

To set the policy's renewal date

Question 8

In Ohio, which additional lines of authority require no prelicensing education before the exam?

Accepted Answer

Title and Public Insurance Adjuster

Answer

Life and Accident & Health

Answer

Property and Casualty

Answer

Personal Lines and Variable Life

Question 9

In auto insurance, what does 'collision coverage' pay for?

Accepted Answer

Damage to the insured's own vehicle from hitting another vehicle or object, regardless of fault

Answer

Medical bills for the other driver only

Answer

Theft or vandalism of the insured's vehicle

Answer

Damage caused by weather events like hail

Question 10

In health insurance, what is a 'deductible'?

Accepted Answer

The amount the insured must pay out of pocket before the insurer begins paying benefits

Answer

The total premium paid annually

Answer

A tax credit for having insurance

Answer

The maximum lifetime benefit under the policy