Which of the Following Statements About the Exclusive Agency System

question 49

Multiple Choice

Which of the following statements about the exclusive agency system for marketing property and liability insurance is true?

• A)Exclusive agents typically have complete ownership of policy expirations.
• B)A higher commission rate is usually paid on exclusive agents' renewal business than on new business.
• C)Exclusive agents represent several different insurance companies.
• D)New exclusive agents may start as employees and after a training period become independent contractors.

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Definitions:

Psychopathological

Relating to the scientific study of mental disorders, including their symptoms, causes, and processes.

Proper Conduct

The adherence to a set of accepted standards or rules of behavior in social or professional settings.

Society

A group of individuals living together in more or less ordered communities, sharing various customs, laws, and organizations that define their relationships and collective functioning.

Norms

Shared expectations and rules that guide behavior within a group or society.