1|Page
NC ADJUSTER LICENSING EXAM QUESTIONS AND
CORRECT ANSWERS| ACCURATE REAL EXAM WITH
FREQUENTLY TESTED QUESTIONS AND
RATIONALE|ALREADY A GRADED|GUARANTEED
PASS|LATEST UPDATE 2025.
Manny is purchasing a Commercial Property policy with a Business Income
form included. Manny can select from any of the following as a method to
provide coverage, while avoiding the coinsurance requirement, EXCEPT:
......answer.....The maximum monthly limit of indemnity optional
coverage
The traditional definition of actual cash value (ACV) is:
......answer.....Replacement cost minus depreciation
Sam and Dan are working to clean out the gutters around the roof on Sam's
house. Sam and Dan are standing at the top of separate ladders that are
propped against the side of Sam's house, when Dan's ladder begins to
wobble and ultimately falls into Sam's ladder. Both men and their ladders
crash to the ground. Whose injuries will be covered by Sam's Homeowners
policy under Coverage E - Personal Liability? ......answer.....Only Dan's
injuries would be covered
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Torts that can be covered by insurance policies include all of the following,
EXCEPT: ......answer.....Intentional torts purposely committed to cause
harm to another.
The insured has a $1,000,000 personal umbrella policy with a $5,000
retention limit. For a $7,000 liability loss not covered under the insured's
personal auto policy, but covered under the umbrella policy, the insurance
company would pay: ......answer.....$2,000
All of the following is considered an "insured" under a CGL policy, EXCEPT:
......answer.....Lawyers of the named insured
What specific type of liability policy gives an owner protection against
liability claims arising out of the acts of its independent contractors?
......answer.....Owners and Contractors Protective Liability Policy.
Which of the following would be eligible for coverage under a
Businessowners policy? ......answer.....A small retail store
Which of the following is NOT a correct statement in determining the cost
of a "comparable automobile" when a physical damage loss has a occurred?
......answer.....The cost of a comparable automobile as determined by a
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computerized automobile valuation service that produces statistically
valid fair market values within the United States market
All of the following statements are TRUE of North Carolina automobile
liability policies, EXCEPT ......answer.....If the insured carries limits
greater than the minimum financial responsibility limits required by
state law, they are not required to carry Uninsured/Underinsured
Motorists coverage.
The basic limit for Coverage F -- Medical Payments of the standard
Homeowners forms is: ......answer.....$1,000 per person
Oliver Dogwood was in an auto accident which destroyed his car. While
investigating the accident, Adjuster Doright found that Mr. Dogwood paid
$1,000 for the vehicle. After checking with others he found the same vehicle
with an asking price of $1,700, a retail price of $2,150 and a dealer price of
$1,750. What amount will Mr. Dogwood receive? ......answer.....$2,150
When a claims representative is collecting information from a third-party
claimant, which of the following is the information that should be obtained
first? ......answer.....The nature and extent of the injuries or property
damage claimed.
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The Business Auto uses Symbol 7 to cover "specifically described autos"
identified in the declarations. An auto acquired during the policy period will
only be covered: ......answer.....If the insured insures all of their vehicles
with the company or it replaces a covered auto..
What coverage under the BOP automatically applies if a customer slips and
falls on the named insured's premises, regardless of legal liability?
......answer.....Medical expense coverage
When an insurer is called upon to defend a suit under a CGL policy, the
amount that can be paid for the defense costs is: ......answer.....Not limited
Any North Carolina lender in making or servicing real estate mortgage or
deed of trust loans on one to four family residences must accept a binder as
proof of insurance. The binder presented to the lender must include all of
the following, EXCEPT ......answer.....A sworn statement that the
insurance will be kept in force.
Which of the following statements is TRUE concerning Part A - Liability
coverage on a standard Personal Automobile policy? ......answer.....The
NC ADJUSTER LICENSING EXAM QUESTIONS AND
CORRECT ANSWERS| ACCURATE REAL EXAM WITH
FREQUENTLY TESTED QUESTIONS AND
RATIONALE|ALREADY A GRADED|GUARANTEED
PASS|LATEST UPDATE 2025.
Manny is purchasing a Commercial Property policy with a Business Income
form included. Manny can select from any of the following as a method to
provide coverage, while avoiding the coinsurance requirement, EXCEPT:
......answer.....The maximum monthly limit of indemnity optional
coverage
The traditional definition of actual cash value (ACV) is:
......answer.....Replacement cost minus depreciation
Sam and Dan are working to clean out the gutters around the roof on Sam's
house. Sam and Dan are standing at the top of separate ladders that are
propped against the side of Sam's house, when Dan's ladder begins to
wobble and ultimately falls into Sam's ladder. Both men and their ladders
crash to the ground. Whose injuries will be covered by Sam's Homeowners
policy under Coverage E - Personal Liability? ......answer.....Only Dan's
injuries would be covered
,2|Page
Torts that can be covered by insurance policies include all of the following,
EXCEPT: ......answer.....Intentional torts purposely committed to cause
harm to another.
The insured has a $1,000,000 personal umbrella policy with a $5,000
retention limit. For a $7,000 liability loss not covered under the insured's
personal auto policy, but covered under the umbrella policy, the insurance
company would pay: ......answer.....$2,000
All of the following is considered an "insured" under a CGL policy, EXCEPT:
......answer.....Lawyers of the named insured
What specific type of liability policy gives an owner protection against
liability claims arising out of the acts of its independent contractors?
......answer.....Owners and Contractors Protective Liability Policy.
Which of the following would be eligible for coverage under a
Businessowners policy? ......answer.....A small retail store
Which of the following is NOT a correct statement in determining the cost
of a "comparable automobile" when a physical damage loss has a occurred?
......answer.....The cost of a comparable automobile as determined by a
,3|Page
computerized automobile valuation service that produces statistically
valid fair market values within the United States market
All of the following statements are TRUE of North Carolina automobile
liability policies, EXCEPT ......answer.....If the insured carries limits
greater than the minimum financial responsibility limits required by
state law, they are not required to carry Uninsured/Underinsured
Motorists coverage.
The basic limit for Coverage F -- Medical Payments of the standard
Homeowners forms is: ......answer.....$1,000 per person
Oliver Dogwood was in an auto accident which destroyed his car. While
investigating the accident, Adjuster Doright found that Mr. Dogwood paid
$1,000 for the vehicle. After checking with others he found the same vehicle
with an asking price of $1,700, a retail price of $2,150 and a dealer price of
$1,750. What amount will Mr. Dogwood receive? ......answer.....$2,150
When a claims representative is collecting information from a third-party
claimant, which of the following is the information that should be obtained
first? ......answer.....The nature and extent of the injuries or property
damage claimed.
, 4|Page
The Business Auto uses Symbol 7 to cover "specifically described autos"
identified in the declarations. An auto acquired during the policy period will
only be covered: ......answer.....If the insured insures all of their vehicles
with the company or it replaces a covered auto..
What coverage under the BOP automatically applies if a customer slips and
falls on the named insured's premises, regardless of legal liability?
......answer.....Medical expense coverage
When an insurer is called upon to defend a suit under a CGL policy, the
amount that can be paid for the defense costs is: ......answer.....Not limited
Any North Carolina lender in making or servicing real estate mortgage or
deed of trust loans on one to four family residences must accept a binder as
proof of insurance. The binder presented to the lender must include all of
the following, EXCEPT ......answer.....A sworn statement that the
insurance will be kept in force.
Which of the following statements is TRUE concerning Part A - Liability
coverage on a standard Personal Automobile policy? ......answer.....The
