NC ADJUSTER LICENSE EXAM AND PRACTICE
EXAM NEWEST 2026/ 2027 TEST BANK| NC ADJUSTER
LICENSE EXAM PREP WITH COMPLETE REAL EXAM
QUESTIONS AND CORRECT VERIFIED ANSWERS/
ALREADY GRADED A+ (MOST RECENT!!)
When the Commissioner intends to hold a hearing concerning an agent's
trade practices, notice of the hearing must be given at least:
A)5 days in advance.
B) 10 days in advance.
C)20 days in advance.
D)30 days in advance. – Correct Answer - 10 days in advance.
Which of the following is the correct term when a contract is prepared
by one party and submitted to the other party on a take-it or leave-it
basis and where there is no bargaining power on the wording of the
contract?
A) Adhesion.
B) Aleatory.
C)Conditional.
D)Valued contract. – Correct Answer - Adhesion
Which of the following Homeowner's forms is tailored for apartment
renters?
pg. 1
,A) Unit-owners form.
B) Broad form.
C) Special form.
D) Contents Broad form. – Correct Answer - Contents Broad form.
Under Coverage D of the basic dwelling form, how much can be
recovered for one month on a $60,000 policy with a $100 deductible?
A) $400.
B) $500.
C)$5,900.
D)$6,000. – Correct Answer - $500.
A deductible usually applies to which of the following automobile
coverages?
A) Liability.
B) Underinsured Motorist Coverage.
C)Medical Payments.
D) Physical Damage. – Correct Answer - Physical Damage.
An uninsured motorist claim that cannot be settled between the insured
and the insurance company is subject to which of the following?
A) Arbitration.
B) Appraisal
pg. 2
,C)Subrogation.
D)Pro rata liability. – Correct Answer - Arbitration.
John's automobile dealership loans him a car while his vehicle is being
repaired. The "loaner" vehicle would be classified as a(n):
A) Nonowned.
B) Uninsured.
C) Underinsured.
D) Temporary substitute. – Correct Answer - Temporary substitute.
The perils covered by the North Carolina Insurance Underwriting
Association include all of the following EXCEPT:
A)Vandalism.
B)Fire.
C) Flood.
D)Smoke. – Correct Answer - Flood.
Under an automobile policy with liability limits of
$50,000/$100,000/$50,000, what would be the extent of the company's
liability arising out of an accident where claimant A sustains injuries in
the amount of $50,500; claimant B, $40,000; and claimant C, $9,000?
A)$50,000.
B) $99,000.
pg. 3
, C)$99,500.
D)$100,000. – Correct Answer - $99,000.
All of the following coverages fall under the jurisdiction of the North
Carolina Rate Bureau EXCEPT:
A)Residential property with less than 5 units.
B) General liability.
C)Workers compensation.
D)Non-fleet motor vehicles. – Correct Answer - General liability.
A building valued at $500,000 is insured under a Building and Personal
Property form with a policy value of $300,000, a deductible of $5,000
and an 80% co-insurance requirement. How much will the insurer pay
on a $100,000 covered loss?
A) $70,000.
B)$75,000.
C)$80,000.
D)$100,000. – Correct Answer -$70,000
Hint: Formula - Coverage/Coverage Required * Loss - Deductible =
Total Paid
What is the basic benefit provided by Workers Compensation insurance
for disabilities arising out of employment?
A)1/2 of weekly earnings.
pg. 4
EXAM NEWEST 2026/ 2027 TEST BANK| NC ADJUSTER
LICENSE EXAM PREP WITH COMPLETE REAL EXAM
QUESTIONS AND CORRECT VERIFIED ANSWERS/
ALREADY GRADED A+ (MOST RECENT!!)
When the Commissioner intends to hold a hearing concerning an agent's
trade practices, notice of the hearing must be given at least:
A)5 days in advance.
B) 10 days in advance.
C)20 days in advance.
D)30 days in advance. – Correct Answer - 10 days in advance.
Which of the following is the correct term when a contract is prepared
by one party and submitted to the other party on a take-it or leave-it
basis and where there is no bargaining power on the wording of the
contract?
A) Adhesion.
B) Aleatory.
C)Conditional.
D)Valued contract. – Correct Answer - Adhesion
Which of the following Homeowner's forms is tailored for apartment
renters?
pg. 1
,A) Unit-owners form.
B) Broad form.
C) Special form.
D) Contents Broad form. – Correct Answer - Contents Broad form.
Under Coverage D of the basic dwelling form, how much can be
recovered for one month on a $60,000 policy with a $100 deductible?
A) $400.
B) $500.
C)$5,900.
D)$6,000. – Correct Answer - $500.
A deductible usually applies to which of the following automobile
coverages?
A) Liability.
B) Underinsured Motorist Coverage.
C)Medical Payments.
D) Physical Damage. – Correct Answer - Physical Damage.
An uninsured motorist claim that cannot be settled between the insured
and the insurance company is subject to which of the following?
A) Arbitration.
B) Appraisal
pg. 2
,C)Subrogation.
D)Pro rata liability. – Correct Answer - Arbitration.
John's automobile dealership loans him a car while his vehicle is being
repaired. The "loaner" vehicle would be classified as a(n):
A) Nonowned.
B) Uninsured.
C) Underinsured.
D) Temporary substitute. – Correct Answer - Temporary substitute.
The perils covered by the North Carolina Insurance Underwriting
Association include all of the following EXCEPT:
A)Vandalism.
B)Fire.
C) Flood.
D)Smoke. – Correct Answer - Flood.
Under an automobile policy with liability limits of
$50,000/$100,000/$50,000, what would be the extent of the company's
liability arising out of an accident where claimant A sustains injuries in
the amount of $50,500; claimant B, $40,000; and claimant C, $9,000?
A)$50,000.
B) $99,000.
pg. 3
, C)$99,500.
D)$100,000. – Correct Answer - $99,000.
All of the following coverages fall under the jurisdiction of the North
Carolina Rate Bureau EXCEPT:
A)Residential property with less than 5 units.
B) General liability.
C)Workers compensation.
D)Non-fleet motor vehicles. – Correct Answer - General liability.
A building valued at $500,000 is insured under a Building and Personal
Property form with a policy value of $300,000, a deductible of $5,000
and an 80% co-insurance requirement. How much will the insurer pay
on a $100,000 covered loss?
A) $70,000.
B)$75,000.
C)$80,000.
D)$100,000. – Correct Answer -$70,000
Hint: Formula - Coverage/Coverage Required * Loss - Deductible =
Total Paid
What is the basic benefit provided by Workers Compensation insurance
for disabilities arising out of employment?
A)1/2 of weekly earnings.
pg. 4
