CIC AGENCY MANAGEMENT EXAM 2024
COMPLETE 200 ACTUAL EXAM QUESTIONS
WITH DETAILED VERIFIED ANSWERS//ALREADY
GRADED A+
Budget Considerations for growing an agency and doing a needs assessment - Correct
Answer - -the specific talents and skills employees require
-an awareness of gaps, deficiencies, and surpluses within and across departments
-a determination of how many employees the agency can afford to hire
-the best time for employees to join the agency
An agency uses its value statement to accomplish several goals - Correct Answer –
1. Communicate the agency's core principles to shape its direction and organizational
goals
2. Focus on aspirations and behavioral issues that matter most to the agency's
leadership
3. Define the standards of conduct and expectations for all agency members
4. Communicate these statements orally, written, and electronic form
The first steps in a technology assessment require an understanding of - Correct
Answer - what the agency wants to achieve and who the biggest winners will be and
establishing where the agency wants to be in 3, 6 months/ 1 year/ 18 months
Examples of unfair trade practices: - Correct Answer - 1. Twisting and Replacement
codes
2. Misrepresentation
pg. 1
,3. Tied Selling
4. Rebating
5. False Advertising
Insured clients make claims against an agent or agency for a number of reasons
including: - Correct Answer - 1. Failure to maintain or renew coverage
2. Misleading a client
3. Failure to service a policy
4. Changing established services
5. Failure to advise of cancellation or non-renewal
Insurance companies also make claims against an agent or agency. Common reasons
include: - Correct Answer - 1. Failure to follow legal and appropriate instructions
2. Misrepresenting the risk to the company
3. Failure to properly process a claim
Individual states make claims against an agent or agency for reasons such as: - Correct
Answer - 1. Rebating
2. Unfair claims practices
3. Licensing requirements
Ethical missteps are likely to occur in certain circumstances such as - Correct Answer -
1. post-disaster
2. servicing new clients
3. Selling new products
4. After the loss of a key employee
5. When agencies and insurance companies are bought and sold
During the research and decision making process of changing or updating technology
systems look at the questions of - Correct Answer - 1. What is there to gain?
pg. 2
,2. What is there to lose?
3. What is the per-user cost?
4. How does it affect the agency-company interface?
5. What can the agency do better than its competitors to remain relevant?
Cloud computing - Correct Answer - the use of remote servers hosted on the internet to
store, manage, and process data
In-house data - Correct Answer - storage such as a server is a pay-at-once investment,
but it requires updates
Third-party - Correct Answer - storage and maintenance vendor may go beyond monthly
costs
Other costs included with technology selections - Correct Answer - 1. in-house training
2. follow-up training
3. auditing the current database in preparation for a conversion
4. Auditing current procedures and workflows
5. updating workflows and procedures
Things to asses your agency's technology needs and decisions - Correct Answer - 1.
Current needs
2. Future needs
3. Mobile Access
4. Functionality across platforms
5. Security
Standard - Correct Answer - an acceptable level of performance in every area of an
agency's operations - performance builds an agency's brand
pg. 3
, Procedure - Correct Answer - clearly defines the items an agency needs to accomplish
to achieve a stated standard
Each item in a procedure identifies who is responsible, what needs to be done, and
when it should be completed
Workflow - Correct Answer - describes the specific keystrokes and steps employees
need to perform to complete a procedure
Benefits to developing and implements standards, procedures, and workflows - Correct
Answer - -Provide a benchmark for measuring compliance, productivity, and
effectiveness
-Promote consistency, thereby reducing mistakes and errors and omissions exposures
-Identify need for change, training, and opportunities for both the technology and human
resources
It is necessary to evaluate several key areas to ensure effective implementation of
standards, procedures, and workflows - Correct Answer - - insurance company/agency
workflows
-information-rich reports
-evidence of legal and ethical compliance
-staff compliance to ensure consistency
Benefits of operational assessments - Correct Answer - 1. ensure consistency &
adherence to standards, etc.
2. Determine if employees are using the full capabilities of technological tools
3. measure employee and technology productivity
The consequences or results of assessments - Correct Answer - 1. basis for employee
performance reviews and support for the agency's core value and mission
2. support the services an agency provides its customers
3. help identify "glitches" or inconsistencies that need to be corrected
pg. 4
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