Free Virginia Life Insurance Practice Exam Online

Correct answer: C. September 1, 2021

Virginia's updated Suitability in Annuity Transactions regulation, incorporating the NAIC best interest revisions, took effect September 1, 2021.

• A: January 1, 2010 predates the NAIC's 2020 best interest model revisions and does not reflect when Virginia's updated rule became effective.
• B: July 1, 2025 does not match the documented effective date of Virginia's best interest annuity suitability rule.
• D: Virginia's best interest annuity suitability standard is already in effect, not merely proposed.

Correct answer: A. The State Corporation Commission, through its Bureau of Insurance

The State Corporation Commission (SCC) is Virginia's insurance regulator, and it carries out day-to-day licensing and market regulation functions through its Bureau of Insurance (BOI).

• B: Virginia is one of a small number of states that does not have a stand-alone 'Department of Insurance'; insurance regulation is instead housed inside a constitutional agency, the SCC.
• C: DPOR licenses trades and professions such as contractors and real estate agents in Virginia, not insurance producers.
• D: The Attorney General's office handles legal representation and certain consumer protection matters but does not license or regulate insurance producers.

Correct answer: B. Three, elected by joint vote of the General Assembly

The SCC has three members elected by joint vote of the two houses of the General Assembly for staggered six-year terms, and at least one must be qualified to serve as a judge of a court of record.

• A: The SCC is not a single-director agency; it is structured as a three-member commission.
• C: SCC commissioners are elected by the General Assembly rather than appointed by the Governor and confirmed by the Senate.
• D: SCC commissioners are not chosen by statewide popular election.

Correct answer: C. The Bureau of Insurance, a division of the State Corporation Commission

The Bureau of Insurance operates within the SCC and is the office that actually processes producer license applications, renewals, and appointments in Virginia.

• A: Virginia does not have a stand-alone cabinet-level Insurance Commissioner office separate from the SCC; the Commissioner of Insurance heads the Bureau of Insurance within the SCC.
• B: There is no such standing legislative committee that directly administers individual producer licenses.
• D: The NAIC is a national standard-setting organization, not the licensing authority for any individual state, including Virginia.

Correct answer: D. No state-mandated pre-licensing education hours are generally required for a life insurance line of authority

For life insurance and most other lines, Virginia does not require a set number of pre-licensing education hours before an applicant may sit for the exam, though many applicants choose to take prep courses voluntarily.

• A: Virginia does not impose a general pre-licensing education-hour mandate on most lines of authority the way some other states do; a 16-hour pre-licensing course is required specifically for title insurance agents, not for life insurance.
• B: Virginia licensing does not require a specific college degree to become a producer.
• C: Virginia does not condition initial producer licensure on a period of supervised apprenticeship.