Montana Personal Lines Insurance License Exam — All Questions

Which official regulates insurance and issues resident personal lines producer licenses in Montana?

• a.The Commissioner of Securities and Insurance, in the Office of the Montana State Auditor (CSI)✓
• b.The Montana Department of Insurance (a standalone cabinet agency)
• c.The Montana Insurance Commission
• d.The Montana Secretary of State

Insurance in Montana is regulated by the Commissioner of Securities and Insurance, housed in the Office of the Montana State Auditor (CSI). The CSI issues and renews producer licenses, acts as consumer advocate, and enforces the state insurance code. Source: Montana CSI (https://csimt.gov/).

After a producer is licensed in Montana, what generally must occur before he or she can transact business for a specific insurer?

• a.Nothing further — the license alone authorizes sales for any insurer
• b.The insurer must appoint the producer, and that appointment is filed with the Commissioner of Securities and Insurance✓
• c.The producer must post a personal surety bond with the state treasurer
• d.The producer must first sell to at least five clients on a temporary permit

A license lets a person act as a producer, but to represent a particular company that insurer must appoint the producer, with the appointment filed with the Montana Commissioner of Securities and Insurance. A producer may hold appointments from several insurers at once. This mirrors the NAIC producer-licensing model Montana follows.

Which statement about continuing education (CE) for resident personal lines producers in Montana is correct?

• a.Resident producers must complete state-approved CE each renewal cycle to keep the license active; confirm the exact hours and ethics requirement with the Montana Commissioner of Securities and Insurance✓
• b.CE is optional and only recommended for new producers
• c.CE is required once, in the first year, and never again
• d.Passing the licensing exam permanently exempts a producer from all CE

Like other states, Montana requires resident producers to complete approved continuing education every renewal cycle, typically including an ethics component, before renewing. Because specific hour totals change, verify the current CE requirement directly with the Montana Commissioner of Securities and Insurance (https://csimt.gov/).