North Dakota Life & Health Insurance Exam — All Questions
4 questions
Which body is responsible for licensing life and health insurance producers in North Dakota?
- a.A private national producer association
- b.The North Dakota Insurance Department✓
- c.A federal department of insurance
- d.The North Dakota attorney general's consumer bureau
Producers in North Dakota are licensed and disciplined by the North Dakota Insurance Department. Licensing is a state function; there is no federal insurance-licensing department, and private associations do not issue government licenses.
The North Dakota Insurance Department is headed by which official?
- a.A board of insurance company executives
- b.A federal insurance commissioner
- c.An elected Insurance Commissioner✓
- d.A judge of the state supreme court
The regulator is led by an elected Insurance Commissioner. Knowing how the state's top insurance official is chosen -- elected or appointed -- is a common North Dakota exam point.
In North Dakota, what is the effect of an insurer 'appointing' a licensed producer?
- a.It authorizes the producer to represent and transact business for that insurer✓
- b.It replaces the need to hold a producer license
- c.It guarantees the producer a minimum commission set by the state
- d.It exempts the producer from continuing education
An appointment is the insurer's authorization for a licensed producer to represent it, filed with the regulator. It does not replace the license itself, set commissions, or waive continuing education.
How does a North Dakota resident producer generally keep a life and health license in force?
- a.By selling a minimum dollar amount of policies each year
- b.By renewing on schedule and completing required continuing education, including ethics✓
- c.By re-taking the full state licensing exam every year
- d.By obtaining a new appointment from the guaranty association
North Dakota conditions license renewal on timely renewal plus continuing education that includes an ethics component. There is no sales quota, no annual re-examination, and the guaranty association does not appoint producers.