Maryland Public Adjuster Exam Practice
Questions And Correct Answers
(Verified Answers) Plus Rationale 2026
Q&A| Instant Download Pdf
1. Which of the following best describes the primary role of a Maryland
public adjuster in insurance claims handling?
A. Representing the insurance company in claim investigations and
settlements
B. Acting as a neutral third-party arbitrator between insurer and
insured
C. Representing the insured to evaluate, document, and negotiate
insurance claims
D. Processing policy underwriting decisions and issuing insurance
contracts
The correct answer is C. A public adjuster is an advocate for the
insured, not the insurer, and their main responsibility is to evaluate
losses, document damages, and negotiate settlements on behalf of
policyholders rather than the insurance company.
2. Which state authority regulates and licenses public adjusters in
Maryland?
, A. Maryland Department of Commerce
B. Maryland Insurance Administration
C. National Association of Insurance Commissioners
D. Maryland Real Estate Commission
The correct answer is B. The Maryland Insurance Administration is
the regulatory body responsible for licensing, overseeing, and
enforcing rules for public adjusters within the state.
3. What is a mandatory requirement for an individual applicant seeking a
Maryland public adjuster license?
A. Completion of a law degree
B. Passing a written licensing examination
C. Having a minimum of 5 years insurance underwriting experience
D. Being employed by an insurance company for at least 2 years
The correct answer is B. Maryland law requires applicants to pass a
written examination to demonstrate competency before obtaining a
public adjuster license.
4. Which of the following is NOT typically part of a public adjuster’s
responsibilities?
A. Evaluating insurance policy coverage
B. Negotiating claim settlements with insurers
C. Issuing insurance policies to customers
D. Documenting property damage for claims
The correct answer is C. Public adjusters do not issue insurance
policies; that function belongs to insurers and underwriting
professionals.
5. What must a public adjuster provide to a policyholder before entering
into a contract in Maryland?
A. A copy of the insurer’s underwriting guidelines
B. A written disclosure explaining rights and contract terms
, C. A guarantee of claim approval
D. A copy of the insurer’s financial statements
The correct answer is B. Maryland requires public adjusters to
provide written disclosures outlining contract terms and consumer
rights before agreement execution.
6. What is the minimum continuing education requirement for a licensed
Maryland public adjuster during each renewal period?
A. 12 hours total with no ethics requirement
B. 18 hours total including 1 hour ethics
C. 24 hours total including 3 hours ethics
D. 30 hours total including 6 hours ethics
The correct answer is C. Maryland requires 24 continuing education
hours per renewal period, including at least 3 hours dedicated to
ethics training.
7. Which of the following is a key ethical obligation of a Maryland public
adjuster?
A. Prioritizing insurer cost reduction strategies
B. Acting solely in the insurer’s financial interest
C. Safeguarding the interests of policyholders honestly and
competently
D. Delegating all claim decisions to the insurer
The correct answer is C. Public adjusters must act competently and
ethically to protect policyholders’ interests while handling claims.
8. What is required for a business entity to obtain a Maryland public
adjuster license?
A. Ownership by a licensed insurance company
B. Employment of at least one licensed individual public adjuster
C. Registration with federal insurance regulators only
D. Exclusive contracts with insurance carriers
Questions And Correct Answers
(Verified Answers) Plus Rationale 2026
Q&A| Instant Download Pdf
1. Which of the following best describes the primary role of a Maryland
public adjuster in insurance claims handling?
A. Representing the insurance company in claim investigations and
settlements
B. Acting as a neutral third-party arbitrator between insurer and
insured
C. Representing the insured to evaluate, document, and negotiate
insurance claims
D. Processing policy underwriting decisions and issuing insurance
contracts
The correct answer is C. A public adjuster is an advocate for the
insured, not the insurer, and their main responsibility is to evaluate
losses, document damages, and negotiate settlements on behalf of
policyholders rather than the insurance company.
2. Which state authority regulates and licenses public adjusters in
Maryland?
, A. Maryland Department of Commerce
B. Maryland Insurance Administration
C. National Association of Insurance Commissioners
D. Maryland Real Estate Commission
The correct answer is B. The Maryland Insurance Administration is
the regulatory body responsible for licensing, overseeing, and
enforcing rules for public adjusters within the state.
3. What is a mandatory requirement for an individual applicant seeking a
Maryland public adjuster license?
A. Completion of a law degree
B. Passing a written licensing examination
C. Having a minimum of 5 years insurance underwriting experience
D. Being employed by an insurance company for at least 2 years
The correct answer is B. Maryland law requires applicants to pass a
written examination to demonstrate competency before obtaining a
public adjuster license.
4. Which of the following is NOT typically part of a public adjuster’s
responsibilities?
A. Evaluating insurance policy coverage
B. Negotiating claim settlements with insurers
C. Issuing insurance policies to customers
D. Documenting property damage for claims
The correct answer is C. Public adjusters do not issue insurance
policies; that function belongs to insurers and underwriting
professionals.
5. What must a public adjuster provide to a policyholder before entering
into a contract in Maryland?
A. A copy of the insurer’s underwriting guidelines
B. A written disclosure explaining rights and contract terms
, C. A guarantee of claim approval
D. A copy of the insurer’s financial statements
The correct answer is B. Maryland requires public adjusters to
provide written disclosures outlining contract terms and consumer
rights before agreement execution.
6. What is the minimum continuing education requirement for a licensed
Maryland public adjuster during each renewal period?
A. 12 hours total with no ethics requirement
B. 18 hours total including 1 hour ethics
C. 24 hours total including 3 hours ethics
D. 30 hours total including 6 hours ethics
The correct answer is C. Maryland requires 24 continuing education
hours per renewal period, including at least 3 hours dedicated to
ethics training.
7. Which of the following is a key ethical obligation of a Maryland public
adjuster?
A. Prioritizing insurer cost reduction strategies
B. Acting solely in the insurer’s financial interest
C. Safeguarding the interests of policyholders honestly and
competently
D. Delegating all claim decisions to the insurer
The correct answer is C. Public adjusters must act competently and
ethically to protect policyholders’ interests while handling claims.
8. What is required for a business entity to obtain a Maryland public
adjuster license?
A. Ownership by a licensed insurance company
B. Employment of at least one licensed individual public adjuster
C. Registration with federal insurance regulators only
D. Exclusive contracts with insurance carriers
