Illinois Casualty Insurance State Practice Exam

What is a required action for someone unable to continue selling insurance while serving in the military?

1. Declare bankruptcy

2. Obtain a waiver for license renewal requirements

3. Transfer their license to a family member

4. Stop all insurance-related activities

The correct answer is: Obtain a waiver for license renewal requirements

When a person serving in the military is unable to continue selling insurance, obtaining a waiver for license renewal requirements is the necessary action. This provision exists to accommodate military personnel who may be deployed or otherwise unavailable to meet the standard renewal criteria for their insurance licenses due to their service commitments. It recognizes the unique challenges faced by those in the military, ensuring they can maintain their licensure despite interruptions in their professional activities related to their service. The option of declaring bankruptcy is not relevant to maintaining a license, as it pertains to financial insolvency rather than licensing issues. Transferring one’s license to a family member is not applicable either, because licenses are typically personal and non-transferable. Stopping all insurance-related activities would not be a required action, as provisions exist to help service members retain their licenses without having to abandon their profession entirely. Thus, the ability to secure a waiver allows military personnel to resume their careers more smoothly after fulfilling their duties.