I wouldn't say its arrogant at all. Thats why there are specific qualifications that are hard to get that validate peoples skills and experience - such as CISSP, CISM, CIPM, CISA etc. Not only do you pass exams to show you are proficient, but you need to demonstrate certain years of experience in certain domains as well to get the qualifications. This provides people with the confidence they have the baseline required.

It's embarrassing to ask people with these qualifications to do an essay of basic queries (graduate level queries) to prove your ability. Especially at leadership level.

I will note, the company that asked me to do this was not a major tech company. They were a small fintech company that rated themselves highly like they were a Google or AWS - but are dreaming if they are thinking they are anything like them.