Pennsylvania Insurance Practice Test (Free)

Question 1

Which agency licenses insurance producers in Pennsylvania?

Accepted Answer

The Pennsylvania Insurance Department

Answer

The Pennsylvania Department of State

Answer

The Pennsylvania Department of Banking and Securities

Answer

The National Association of Insurance Commissioners

Question 2

As of Act 142 of 2024, how many prelicensing education hours does Pennsylvania require for a resident insurance producer applicant?

Accepted Answer

None; prelicensing education hours were eliminated for all lines

Answer

20 hours for Life

Answer

40 hours for Property and Casualty

Answer

60 hours for all lines combined

Question 3

Which company currently administers the Pennsylvania insurance producer licensing exam?

Accepted Answer

PSI Services LLC

Answer

Pearson VUE

Answer

ETS

Answer

Prometric

Question 4

How often must a Pennsylvania resident insurance producer license be renewed?

Accepted Answer

Every 2 years, based on the licensee's birth month

Answer

Every year

Answer

Every 4 years

Answer

Only once, for a lifetime license

Question 5

Which additional continuing education topics did Act 142 of 2024 add within Pennsylvania's 24-hour CE requirement?

Accepted Answer

Mandatory ethics and, for property and casualty holders, flood insurance credits

Answer

Mandatory antitrust law and securities law credits

Answer

Mandatory real estate finance credits

Answer

No new topics were added

Question 6

What is the initial license fee for a Pennsylvania Resident Individual insurance producer license?

Accepted Answer

$55

Answer

$25

Answer

$110

Answer

$165

Question 7

In a life insurance policy, who is the beneficiary?

Accepted Answer

The person or entity designated to receive the death benefit

Answer

The insurance company underwriting the policy

Answer

The insurance producer who sold the policy

Answer

The state insurance department

Question 8

What is the defining feature of term life insurance?

Accepted Answer

It provides coverage for a specified period with no cash value

Answer

It builds cash value and lasts for the insured's entire life

Answer

It automatically converts to an annuity at age 65

Answer

It requires no premium payments after year one

Question 9

What does a health insurance policy's "coinsurance" provision determine?

Accepted Answer

The percentage split of covered costs between insurer and insured after the deductible

Answer

The total number of insurers involved in underwriting the policy

Answer

The waiting period before coverage begins

Answer

The insured's eligibility for Medicare

Question 10

What is the free-look period in a life insurance policy?

Accepted Answer

A period after purchase when the policyholder can cancel for a full refund

Answer

The first year of coverage during which claims are denied

Answer

The time before an agent can legally sell the policy

Answer

A grace period for late premium payments only