Free OK CASUALTY PRODUCER Practice Questions

Sample Practice Questions

Try these 10 sample questions from the OK CASUALTY PRODUCER practice bank. Each includes the answer and explanation. Continue with the interactive practice above to review the full question set.

1. 1An Oklahoma casualty producer will act as an insurer's agent. What must be true before the producer acts in that capacity?

   1. A. The producer must be appointed by that insurer
   2. B. The producer must hold a surplus-lines broker license
   3. C. The producer must obtain a separate business-entity license
   4. D. The producer must file an annual financial statement

   Answer: A

   Explanation: The controlling rule states, "An insurance producer shall not act as an agent of an insurer unless the insurance producer becomes an appointed agent of that insurer." Therefore the insurer-specific appointment is required.

   Reference: Ok Statutes Title 36 (2025) — 36 O.S. § 1435.15(A)

2. 2For how long after completing an insurance transaction must an Oklahoma producer keep its records available for the Commissioner's inspection?

   1. A. 3 years
   2. B. 2 years
   3. C. 4 years
   4. D. 5 years

   Answer: A

   Explanation: Transaction records must remain open to inspection during "the three (3) years immediately following the date of completion of the transaction." The retention period is three years.

   Reference: Ok Statutes Title 36 (2025) — 36 O.S. § 1435.13(E)

3. 3A motor-vehicle insured was arrested, but prosecutors filed no charges. May the insurer use that traffic charge alone to cancel the policy?

   1. A. Yes, immediately
   2. B. Yes, at the next renewal
   3. C. No
   4. D. Only after a premium audit

   Answer: C

   Explanation: The statute prohibits using traffic charges for cancellation when "the insured was arrested and no charges were filed." The insurer may not rely on that event alone.

   Reference: Ok Statutes Title 36 (2025) — 36 O.S. § 943(A)(2)

4. 4An Oklahoma employer knows of a compensable injury but does not provide treatment. After how many days may the employee select a physician at the employer's expense?

   1. A. 2 days
   2. B. 3 days
   3. C. 10 days
   4. D. 5 days

   Answer: D

   Explanation: If the employer fails to provide treatment "within five (5) days after actual knowledge is received of an injury," the employee may select a physician or chiropractor at the employer's expense.

   Reference: Ok Statutes Title 85 a (2025) — 85A O.S. § 50(B)

5. 5A driver insured under a personal auto policy negligently damages another person's parked vehicle. Which coverage type addresses that third party's repair cost?

   1. A. Medical payments coverage
   2. B. Collision coverage
   3. C. Comprehensive coverage
   4. D. Property damage liability

   Answer: D

   Explanation: NAIC states, "Property damage - covers repairs to another person’s vehicle or property when the insured driver is at fault." The other choices concern occupants' treatment or physical damage to the insured's own car.

   Reference: NAIC, Auto Insurance — Coverages, property damage liability

6. 6An electrical contractor finishes a wiring job and leaves the customer's premises. A defect in that completed work later damages the customer's property. Which CGL exposure category matches the loss?

   1. A. Premises and operations liability
   2. B. Independent contractor contingent liability
   3. C. Products and completed operations liability
   4. D. Liability assumed under contract

   Answer: C

   Explanation: NAIC identifies completed-operations liability as damage from "defective work or operations completed or abandoned by or for the insured, away from the insured's premises." The job was finished and the damage occurred afterward. Premises/ongoing operations, contractor contingency, and assumed contract liability have different triggers.

   Reference: NAIC, Glossary of Insurance Terms — Completed Operations Liability entry

7. 7A warehouse's loading area has a recurring slick patch that makes a fall more likely. In casualty insurance terminology, what is the slick patch?

   1. A. Loss
   2. B. Peril
   3. C. Risk
   4. D. Hazard

   Answer: D

   Explanation: NAIC defines a hazard as a "circumstance which tends to increase the probability or severity of a loss." The slick surface raises the chance of a fall, so D fits. The fall would be an event, the resulting injury a loss, and risk is uncertainty about loss.

   Reference: NAIC, Glossary of Insurance Terms — Hazard entry

8. 8A casualty policy requires an insured to give prompt notice and cooperate with investigation after a loss. Which part of the policy states this type of insured duty?

   1. A. Declarations
   2. B. Exclusions
   3. C. Conditions
   4. D. Insuring agreement

   Answer: C

   Explanation: NAIC defines conditions as "requirements specified in the insurance contract that must be upheld by the insured to qualify for indemnification." Prompt notice and cooperation are insured duties, not identifying facts, excluded perils, or the coverage grant.

   Reference: NAIC, Glossary of Insurance Terms — Conditions entry

9. 9An insurer executes an agent contract with an Oklahoma producer before any application is submitted. By when must the appointment notice be filed?

   1. A. Within 5 days
   2. B. Within 15 days
   3. C. Within 30 days
   4. D. Within 45 days

   Answer: B

   Explanation: Section 1435.15 requires the notice "within fifteen (15) days from the date the agent contract is executed, or the first insurance application is submitted." The contract date controls here.

   Reference: Ok Statutes Title 36 (2025) — 36 O.S. § 1435.15(B)

10. 10In Oklahoma, in what form may a casualty insurance binder ordinarily be made?

    1. A. Only in a signed paper writing
    2. B. Only by an insurer-issued electronic form
    3. C. Orally or in writing
    4. D. Only through a notarized application

    Answer: C

    Explanation: Section 3622 provides that binders "may be made orally or in writing." Either form can therefore create the temporary insurance contract.

    Reference: Ok Statutes Title 36 (2025) — 36 O.S. § 3622(A)