I85PREP
⌘ K
OH P&C study materials
OH P&C study resources

OH P&C practice questions

One question at a time. Build your OH P&C understanding.

First 50 of 200 questions. Each one lists the choices, the correct answer, and an explanation. The checker at the top of this page saves progress in this browser when it is available.

Continue in the practice tool above to load more questions, 50 at a time.

Question 1Ohio Insurance Laws, Rules and Regulations

To qualify for an Ohio resident insurance producer license, an applicant must be at least what age?

  1. 19 years old
  2. 16 years old
  3. 18 years old Correct answer.
  4. 21 years old

Explanation

Ohio requires resident producer applicants to be at least 18 years old, complete any required prelicensing education, pass the licensing examination, and submit fingerprints for a background check. Age alone does not qualify an applicant; the other requirements must also be met.

Question 2Ohio Insurance Laws, Rules and Regulations

How many continuing education credit hours must an Ohio resident producer complete every two years?

  1. 12 hours
  2. 16 hours
  3. 24 hours Correct answer.
  4. 36 hours

Explanation

Ohio requires resident producers to complete 24 credit hours of continuing education every two years, and at least 3 of those hours must be in ethics. Hours must come from approved courses and be reported to the Department of Insurance.

Question 3Ohio Insurance Laws, Rules and Regulations

What are Ohio's minimum liability limits for private passenger auto insurance?

  1. 25/50/25 Correct answer.
  2. 50/100/50
  3. 20/40/10
  4. 15/30/5

Explanation

Ohio's Financial Responsibility Law requires minimum coverage of $25,000 per person and $50,000 per accident for bodily injury, plus $25,000 for property damage. These are the minimum limits; higher limits may be purchased.

Question 4Ohio Insurance Laws, Rules and Regulations

The Ohio Superintendent of Insurance is selected in which manner?

  1. Chosen by the General Assembly
  2. Elected by Ohio voters
  3. Appointed by the Governor Correct answer.
  4. Appointed by a national insurance commissioner

Explanation

The Superintendent of Insurance heads the Ohio Department of Insurance and is appointed by the Governor. The Superintendent is not a statewide elected office and is not selected by the legislature.

Question 5Ohio Insurance Laws, Rules and Regulations

Premiums a producer collects from policyholders on behalf of an insurer are held in which capacity?

  1. In a fiduciary capacity Correct answer.
  2. In escrow only after 60 days
  3. As a gift from the insured
  4. As personal funds until remitted

Explanation

Ohio law treats premiums collected by a producer as trust funds held in a fiduciary capacity for the insurer or the insured. Commingling these funds with the producer's own money is prohibited.

Question 6Ohio Insurance Laws, Rules and Regulations

Under Ohio law, a licensed producer may share commissions with which of the following?

  1. An unlicensed office assistant
  2. Another properly licensed producer Correct answer.
  3. A client who provides a referral
  4. Any person who refers a client

Explanation

Commissions for the sale of insurance may be shared only with persons who hold a valid insurance producer license for the line involved. Paying commissions or referral fees to unlicensed persons is prohibited.

Question 7Ohio Insurance Laws, Rules and Regulations

An Ohio producer must notify the Superintendent of a change of business or residence address within how many days?

  1. 30 days Correct answer.
  2. 60 days
  3. 10 days
  4. 90 days

Explanation

Ohio producers must report a change of address to the Department of Insurance within 30 days of the change. Keeping the Department informed ensures official notices and license documents reach the producer.

Question 8Ohio Insurance Laws, Rules and Regulations

How often must an Ohio resident producer license be renewed?

  1. Annually
  2. Every two years Correct answer.
  3. Every three years
  4. Every four years

Explanation

Ohio resident producer licenses are renewed biennially, meaning every two years. Renewal requires completion of continuing education and payment of the renewal fee.

Question 9Ohio Insurance Laws, Rules and Regulations

An Ohio insured who wants to decline uninsured motorist coverage must take which action?

  1. Simply fail to pay the UM premium
  2. Inform the agent orally
  3. Reject the coverage in writing Correct answer.
  4. File a rejection with the BMV

Explanation

Ohio requires insurers to offer uninsured and underinsured motorist coverage, and a rejection is effective only if made in writing. Absent a written rejection, the coverage is provided, generally at limits equal to the liability limits.

Question 10Ohio Insurance Laws, Rules and Regulations

For private passenger auto insurance in Ohio, an insurer must give how many days' advance written notice before a cancellation takes effect?

  1. 10 days
  2. 30 days Correct answer.
  3. 60 days
  4. 45 days

Explanation

Ohio requires at least 30 days' advance written notice of cancellation of a private passenger auto policy. The notice must state the effective date and the reason for the cancellation where required.

Question 11Ohio Insurance Laws, Rules and Regulations

Covered claims paid by the Ohio Insurance Guaranty Association are generally limited to what amount per claim?

  1. There is no statutory limit
  2. $500,000
  3. $100,000
  4. $300,000 Correct answer.

Explanation

The Ohio Insurance Guaranty Association protects policyholders of insolvent property and casualty insurers, with covered claims generally capped at $300,000. The association does not cover every type of loss or every line of insurance.

Question 12Ohio Insurance Laws, Rules and Regulations

Before placing a risk with an eligible surplus lines insurer, an Ohio surplus lines broker must first do what?

  1. File the policy form for approval
  2. Obtain the Superintendent's written consent
  3. Make a diligent effort in the authorized market Correct answer.
  4. Post a surety bond for the premium

Explanation

Surplus lines placement is permitted only after the broker makes a diligent effort to place the coverage with authorized insurers and the risk is declined. The broker must also use an eligible, unauthorized insurer and comply with tax and reporting rules.

Question 13Ohio Insurance Laws, Rules and Regulations

Which of these is an unfair trade practice under Ohio insurance law?

  1. Charging the rate filed with the state
  2. Misstating policy terms to a buyer Correct answer.
  3. Delivering a policy within 30 days
  4. Explaining a policy exclusion accurately

Explanation

Misrepresenting the terms, benefits, or conditions of an insurance policy is an unfair trade practice. Accurate explanations, timely delivery, and charging filed rates are lawful conduct.

Question 14Ohio Insurance Laws, Rules and Regulations

Ohio's unfair claim settlement practice rules require insurers to do which of the following?

  1. Require arbitration for all disputes
  2. Acknowledge claim communications with reasonable promptness Correct answer.
  3. Pay every claim within five business days
  4. Deny any claim lacking a police report

Explanation

Ohio's claim practice rules require insurers to acknowledge and act reasonably promptly on communications about claims. Failing to do so, or delaying settlement without justification, can constitute an unfair claim settlement practice.

Question 15Ohio Insurance Laws, Rules and Regulations

An applicant knowingly gives false information on an insurance application to obtain a lower premium. This conduct is best described as which of the following?

  1. A harmless error if no claim is filed
  2. Permissible if the agent agrees
  3. A civil matter only
  4. Insurance fraud Correct answer.

Explanation

Knowingly making a false statement to obtain insurance or a lower rate is insurance fraud and may be prosecuted as a crime. It can also void coverage and lead to license discipline for a producer who participates.

Question 16Ohio Insurance Laws, Rules and Regulations

Which coverage protects an Ohio homeowner against damage caused by the collapse of an abandoned underground mine?

  1. Mine subsidence insurance Correct answer.
  2. Flood insurance
  3. Difference in conditions coverage
  4. Earthquake endorsement

Explanation

Mine subsidence insurance covers damage caused by the collapse or shifting of abandoned underground mines and is offered in Ohio through a statutory underwriting association. It is not the same as flood or earthquake coverage.

Question 17Ohio Insurance Laws, Rules and Regulations

The Ohio Property Insurance Placement Facility (FAIR Plan) exists primarily to do what?

  1. Replace the state guaranty association
  2. Set uniform auto rates statewide
  3. Insure only large commercial risks
  4. Offer basic property coverage to hard-to-place risks Correct answer.

Explanation

Ohio's FAIR Plan is a residual market mechanism that provides basic property insurance to owners who cannot obtain coverage in the voluntary market. It serves as a market of last resort rather than a rate-setting or guaranty entity.

Question 18Ohio Insurance Laws, Rules and Regulations

An insurer must file notice of appointment of a producer with the Superintendent within how many days after the first application is submitted?

  1. 45 days Correct answer.
  2. 15 days
  3. 60 days
  4. 90 days

Explanation

Ohio requires an insurer to notify the Department of Insurance of a producer appointment within 45 days after the agency contract is executed or the first application is submitted. A producer cannot act for the insurer until properly appointed.

Question 19Ohio Insurance Laws, Rules and Regulations

How long must an Ohio producer keep records of insurance transactions?

  1. Three years Correct answer.
  2. One year
  3. Five years
  4. Ten years

Explanation

Ohio requires producers to maintain records of insurance transactions for at least three years. Records must be available for examination by the Department of Insurance during that period.

Question 20Ohio Insurance Laws, Rules and Regulations

Under Ohio's Financial Responsibility Law, a driver must furnish proof of financial responsibility in which situation?

  1. After an accident or an unsatisfied judgment Correct answer.
  2. Only at each license renewal
  3. Every year regardless of record
  4. Only when buying a new vehicle

Explanation

Ohio's Financial Responsibility Law requires drivers to show proof of ability to pay for damages after certain accidents or after an unsatisfied judgment. Proof is commonly filed with the BMV, often through an SR-22 certificate.

Question 21Ohio Insurance Laws, Rules and Regulations

Which action by an Ohio producer is an illegal inducement?

  1. Rebating part of the commission to the client Correct answer.
  2. Mailing the policy promptly after issuance
  3. Explaining the deductible to the client
  4. Giving the client a copy of the policy

Explanation

Rebating, or offering any part of the commission or other valuable consideration not specified in the policy, is an illegal inducement under Ohio law. Providing the policy, explaining its terms, and delivering it promptly are lawful duties.

Question 22Ohio Insurance Laws, Rules and Regulations

A person who negotiates a property claim settlement with an insurer on behalf of an insured for a fee must hold which Ohio license?

  1. Public adjuster Correct answer.
  2. Third-party administrator
  3. Surplus lines broker
  4. Insurance consultant

Explanation

Ohio requires a public adjuster license for anyone who, for compensation, acts on behalf of an insured in negotiating a first-party property claim. A surplus lines broker, TPA, or consultant license does not authorize that activity.

Question 23Ohio Insurance Laws, Rules and Regulations

When a licensed Ohio producer dies or becomes disabled, a temporary license may be issued for up to how long?

  1. 180 days Correct answer.
  2. 30 days
  3. One year
  4. 90 days

Explanation

Ohio may issue a temporary producer license for up to 180 days to allow a business to continue operating after the death or disability of a licensed producer. The temporary licensee must meet the conditions set by the Department.

Question 24Ohio Insurance Laws, Rules and Regulations

Before an insurer may transact insurance business in Ohio, it must obtain what from the Superintendent?

  1. A federal insurance charter
  2. A surety bond only
  3. A tax clearance certificate
  4. A certificate of authority Correct answer.

Explanation

An insurer must hold a certificate of authority from the Ohio Superintendent of Insurance to be an authorized, or admitted, insurer in the state. Transacting insurance without that authority violates Ohio law.

Question 25Ohio Insurance Laws, Rules and Regulations

An Ohio producer must report an administrative action or criminal conviction to the Superintendent within how many days of the final disposition?

  1. 90 days
  2. 60 days
  3. 10 days
  4. 30 days Correct answer.

Explanation

Ohio producers must report administrative actions and criminal convictions to the Department of Insurance within 30 days of the final disposition. Failure to report can result in license discipline independent of the underlying matter.

Question 26Ohio Insurance Laws, Rules and Regulations

An Ohio resident insurance producer must complete how many hours of continuing education during each two-year license term?

  1. 40 hours
  2. 12 hours
  3. 24 hours Correct answer.
  4. 16 hours

Explanation

Ohio requires resident producers to complete 24 credit hours of continuing education every two years, including at least 3 hours of ethics. Completing fewer hours does not satisfy the biennial requirement.

Question 27Ohio Insurance Laws, Rules and Regulations

What is the minimum age to be licensed as an insurance producer in Ohio?

  1. 19
  2. 18 Correct answer.
  3. 21
  4. 25

Explanation

An Ohio producer applicant must be at least 18 years old, complete any required prelicensing education, pass the exam, and meet character requirements. There is no higher statutory minimum age.

Question 28Ohio Insurance Laws, Rules and Regulations

An Ohio producer deposits customer premium checks into the agency's general operating account and uses part of the money for office rent. This is best described as:

  1. commingling Correct answer.
  2. coinsurance
  3. subrogation
  4. reinsurance

Explanation

Premiums held by a producer are trust funds owed to the insurer or insured. Depositing them in a general operating account and spending them on agency expenses is commingling and misappropriation.

Question 29Ohio Insurance Laws, Rules and Regulations

An Ohio producer falsely tells a policyholder that the existing policy has 'lost its dividend option' in order to persuade the policyholder to cancel it and buy a new policy. This conduct is:

  1. false advertising
  2. boycott
  3. twisting Correct answer.
  4. rebating

Explanation

Twisting is inducing a policyholder to lapse, surrender, or replace coverage through misleading or incomplete comparisons or misrepresentations. The false statement about the existing policy is the key element.

Question 30Ohio Insurance Laws, Rules and Regulations

Which act involves publishing a false statement that is maliciously critical of an insurer's financial condition?

  1. defamation Correct answer.
  2. misrepresentation
  3. twisting
  4. coercion

Explanation

Defamation in insurance law is publishing a false statement that is maliciously critical of or derogatory to an insurer's financial condition. It does not require the statement to be about a specific policy's terms.

Question 31Ohio Insurance Laws, Rules and Regulations

An insurer tells an agent that the agent will lose all future appointments unless the agent places all commercial property business with that insurer. This is an example of:

  1. commingling
  2. defamation
  3. rebating
  4. coercion Correct answer.

Explanation

Coercion occurs when an insurer or producer uses economic pressure or threats to compel a person to act against their will in an insurance transaction. Threatening loss of appointments to control where business is placed is coercive.

Question 32Ohio Insurance Laws, Rules and Regulations

An insurer's advertisement states that a policy pays '100% of all losses' when the policy actually has deductibles and exclusions. This is:

  1. false advertising Correct answer.
  2. unfair discrimination
  3. boycott
  4. twisting

Explanation

False advertising includes making, publishing, or circulating an advertisement that misrepresents policy benefits, terms, or conditions. The statement about '100% of all losses' is misleading because it ignores deductibles and exclusions.

Question 33Ohio Insurance Laws, Rules and Regulations

An insurer charges two applicants in the same actuarial class different premiums solely because one has a different national origin. This is:

  1. defamation
  2. unfair discrimination Correct answer.
  3. coercion
  4. rebating

Explanation

Unfair discrimination is charging different rates or terms to individuals in the same actuarial class based on factors not related to risk. National origin is not a permissible rating factor.

Question 34Ohio Insurance Laws, Rules and Regulations

A producer's Ohio insurance license expires and is not renewed. Which statement is correct?

  1. The producer may not transact insurance business until the license is reinstated. Correct answer.
  2. The producer may operate as a consultant without any license.
  3. The producer may renew the license at any time without any penalty.
  4. The producer may continue selling for 90 days after expiration.

Explanation

Once an Ohio producer license expires, the person may not transact insurance business until the license is reinstated or a new license is issued. There is no grace period for selling insurance.

Question 35Ohio Insurance Laws, Rules and Regulations

An individual who is licensed as a resident producer in another state applies for an Ohio nonresident producer license. Ohio will generally:

  1. issue a license only for surplus lines business
  2. deny the license unless the applicant maintains an Ohio office
  3. require the applicant to pass the Ohio licensing exam
  4. issue a license without an exam if the home state license is in good standing Correct answer.

Explanation

Ohio generally grants nonresident producer licenses on a reciprocal basis to individuals licensed in their home state who are in good standing. A separate Ohio exam is ordinarily not required.

Question 36Ohio Insurance Laws, Rules and Regulations

An Ohio business entity that applies for an insurance producer license must:

  1. be owned by an Ohio resident
  2. designate an individual licensed producer responsible for the entity's insurance transactions Correct answer.
  3. have every officer licensed as a producer
  4. maintain a surety bond equal to annual commissions

Explanation

A business entity licensed as an Ohio insurance producer must designate a licensed individual producer who is responsible for the entity's insurance transactions. Not every officer must be licensed.

Question 37Ohio Insurance Laws, Rules and Regulations

An Ohio producer legally changes her last name. She must notify the Superintendent within how many days?

  1. 30 Correct answer.
  2. 60
  3. 15
  4. 10

Explanation

An Ohio producer must notify the Superintendent of a legal name change within 30 days. The same 30-day rule applies to a change of business or residence address.

Question 38Ohio Insurance Laws, Rules and Regulations

When an insurer terminates a producer's appointment, the insurer must notify the Superintendent within how many days?

  1. 30 Correct answer.
  2. 90
  3. 10
  4. 60

Explanation

When an insurer terminates a producer's appointment, it must notify the Superintendent within 30 days after the termination. This allows the Department to keep appointment records current.

Question 39Ohio Insurance Laws, Rules and Regulations

The Ohio Superintendent of Insurance may examine an insurer's books and records:

  1. only once every five years
  2. at any reasonable time as authorized by statute Correct answer.
  3. only when the insurer requests an examination
  4. only after a formal complaint by a policyholder

Explanation

The Superintendent has statutory authority to examine the affairs, books, and records of authorized insurers at reasonable times. A policyholder complaint or the insurer's consent is not a prerequisite.

Question 40Ohio Insurance Laws, Rules and Regulations

An Ohio-authorized insurer must file its annual financial statement with the Superintendent by which date?

  1. January 1
  2. December 31
  3. March 1 Correct answer.
  4. June 30

Explanation

Ohio-authorized insurers must file their annual financial statement with the Superintendent by March 1 for the preceding calendar year. The filing supports solvency monitoring.

Question 41Ohio Insurance Laws, Rules and Regulations

Under Ohio's file-and-use rating law for most property and casualty lines, an insurer may:

  1. wait 60 days after filing before using the rate
  2. file the rate and use it immediately, subject to disapproval Correct answer.
  3. obtain a hearing before each rate change
  4. use the rate only after prior approval by the Superintendent

Explanation

Ohio uses a file-and-use approach for most property and casualty rates: the insurer files the rate with the Superintendent and may use it immediately, but the Superintendent may later disapprove it. Prior approval and waiting periods are not the general rule.

Question 42Ohio Insurance Laws, Rules and Regulations

What are Ohio's minimum liability insurance limits for private passenger auto?

  1. 50/100/25
  2. 15/30/5
  3. 20/40/10
  4. 25/50/25 Correct answer.

Explanation

Ohio's minimum auto liability limits are $25,000 bodily injury per person, $50,000 bodily injury per accident, and $25,000 property damage. These are often written as 25/50/25.

Question 43Ohio Insurance Laws, Rules and Regulations

After an Ohio driver's license is reinstated following a financial responsibility suspension, proof of financial responsibility must generally be maintained for:

  1. 6 months
  2. 1 year
  3. 10 years
  4. 3 years Correct answer.

Explanation

After a financial responsibility suspension, Ohio generally requires the driver to maintain proof of financial responsibility, often through an SR-22 filing, for three years. The requirement is not satisfied by a one-time showing.

Question 44Ohio Insurance Laws, Rules and Regulations

An Ohio auto insurer decides not to renew a private passenger auto policy. It must give the insured written notice at least how many days before expiration?

  1. 60 days
  2. 45 days
  3. 10 days
  4. 30 days Correct answer.

Explanation

For private passenger auto insurance, an Ohio insurer must give at least 30 days' written notice before nonrenewal. This notice period gives the insured time to obtain replacement coverage.

Question 45Ohio Insurance Laws, Rules and Regulations

An Ohio life insurance policy delivered to a new purchaser must generally include a right to return the policy for a full refund within:

  1. 2 days
  2. 5 days
  3. 7 days
  4. 10 days Correct answer.

Explanation

Ohio life insurance policies generally must give the owner a 10-day free-look period after delivery to return the policy for a full premium refund. The period may be longer if the policy provides.

Question 46Ohio Insurance Laws, Rules and Regulations

Before submitting a life insurance application that will replace existing coverage, an Ohio producer must:

  1. surrender the old policy
  2. pay the new premium for the applicant
  3. give the applicant a notice regarding replacement Correct answer.
  4. obtain approval from the existing insurer

Explanation

Ohio requires a producer who knows the new life insurance will replace existing coverage to give the applicant a replacement notice. The existing insurer is not required to approve the replacement.

Question 47Ohio Insurance Laws, Rules and Regulations

A business that purchases or takes an assignment of life insurance policies from viators in Ohio must:

  1. obtain a surplus lines broker license
  2. register only with the SEC
  3. be licensed by the Superintendent as a viatical settlement provider Correct answer.
  4. hold a life insurance producer license only

Explanation

A viatical settlement provider must be licensed by the Ohio Superintendent before purchasing or taking assignments of life policies from viators. A producer license or federal registration alone does not authorize that business.

Question 48Ohio Insurance Laws, Rules and Regulations

A person who reports suspected insurance fraud to Ohio authorities in good faith is:

  1. required to post a bond
  2. liable for defamation if the report is wrong
  3. prohibited from receiving a reward
  4. immune from civil liability for the report Correct answer.

Explanation

Ohio law provides immunity from civil liability for a person who reports suspected insurance fraud to the proper authorities in good faith. The immunity encourages reporting even if the suspicion later proves incorrect.

Question 49Ohio Insurance Laws, Rules and Regulations

An Ohio producer issues a certificate of insurance to a contractor. The certificate may:

  1. extend the policy expiration date
  2. delete exclusions from the policy
  3. accurately summarize existing coverage Correct answer.
  4. add coverage that the underlying policy does not provide

Explanation

A certificate of insurance is only evidence or a summary of coverage already in the policy. It may not add coverage, remove exclusions, or change policy terms.

Question 50Ohio Insurance Laws, Rules and Regulations

An insurer aggrieved by a final order of the Ohio Superintendent may appeal to which court within 30 days?

  1. the county probate court
  2. the U.S. District Court for the Southern District of Ohio
  3. Franklin County Court of Common Pleas Correct answer.
  4. Ohio Supreme Court

Explanation

A final order of the Superintendent may be appealed within 30 days to the Franklin County Court of Common Pleas. That court has venue for review of state agency orders.