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Pre-Licensing Final Examination Study Guide Practice Questions Test Bank and Detailed Solutions 2025/ 2026

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Comprehensive Pre-Licensing Final Examination study guide covering core insurance concepts, policy types, coverage options, state regulations, underwriting, claims procedures, and ethical practices with solution. Includes updated practice questions, detailed answer explanations, realistic scenarios, and targeted review material designed to strengthen knowledge, enhance exam readiness, and maximize passing success on pre-licensing insurance exams 2025/ 2026 with solution.

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Page 1 of 24 Pre-Licensing Final Examination Pre-Licensing Final Examination.pdf




Pre-Licensing Final Examination

A) An action to quiet title

1. A court action to clear a defect, cloud or questionable claim against a title is called: A) An action to
quiet title B) A lis pardens C) A partition suit D) A novation action




D) Monuments

2. Which of the following can be natural or manmade? A) Datum B) Metes and Bounds C) Old liens D)
Monuments




B) Tenants in common

3. Survivorship does not exist among A) Joint tenants B) Tenants in common C) Tenants by the entirety
D) None of the above




A) A life estate

4. Which of the following estates is granted to the survivor under the Dowry and Curtsey rights A) A life
estate B) A fee simple estate C) A leasehold estate D) A conditional estate




B) Police power

5. The right of the government to place reasonable restrictions on private property is known as A)
Eminent domain B) Police power C) Condemnation D) Adverse possession




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B) Zoning ordinances

6. The minimum lot sizes in a subdivision and house density are usually established by A) The subdivider
B) Zoning ordinances C) The developer D) The homeowner's association




D) Is for a fixed period

7. By definition, an estate for years A) Has no termination date B) Must be for at least two years C)
Requires a written lease D) Is for a fixed period




C) Mechanics liens take priority over tax liens

8. Which of the following statement is false? A) A first mortgage lien can encumber both land
improvements B) Tax liens are satisfied before all other liens C) Mechanics liens take priority over tax
liens D) The general property tax is in ad velorem tax




D) Voluntary alienation

9. A transfer by delivery of a deed can be described as: A) Right of possession B) Title acquired C)
Satisfactory transfer D) Voluntary alienation




C) As joint tenants




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10. John and Jill are not married but own real property together. John dies and Jill now own the property
in severalty. How did John and Jill originally hold title? A) As tenant by the entirety B) As tenants in
common C) As joint tenants D) As life tenants




B) A devise

11. The transfer of real property by a will is known as: A) A demise B) A devise C) A dedication D) A
bequest




B) A variance

12. According to zoning rules, Paul's lot is too small to build the garage he wants. In order for Paul to be
able to build a garage he will have to apply for: A) An exemption B) A variance C) A repeal D) A non-
conforming use




D) Deed restrictions

13. Which of the following is an encumbrance but not a lien? A) Unpaid property taxes B) Attachments
C) Judgments D) Deed restrictions




B) David will be declared the owner

14. Amy deeds a property to Ned who fails to record his deed. She subsequently deeds the same
property to David who does record his deed. Which of the following is true? A) Ned owns the property
since his was the first deed B) David will be declared the owner C) Ned and David will be tenants in
common D) Amy remains the owner since both deeds are now void




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