Which of the following statements about temporary licenses issued by the Commissioner is incorrect?

The statement that applicants for a temporary license must take and pass a written exam is incorrect. In many jurisdictions, including Mississippi, the process for obtaining a temporary insurance license does not require the applicant to pass a written exam. Instead, temporary licenses are designed to provide a means for individuals to engage in insurance activities pending the completion of a more formal licensing process, which typically includes passing an exam.

The need for a temporary license is often to address specific circumstances, such as when a licensed agent is unable to fulfill their duties or when a company needs to quickly bring in a replacement. The temporary license allows for continuation of service and does not impose the same examination requirement that a full license would necessitate. This flexibility is essential to ensure that insurance coverage can be maintained during transitional periods, which is why the issuance of temporary licenses can occur in specific situations.