CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
CA Property and Casualty Insurance Practice Exam
2026/2027|Questions and Correct Answers latest exam (verified)
Which of the following is TRUE regarding who qualifies for coverage under the California Fair Access to
Insurance Requirements plan?
1.
Any person who is unable to obtain basic property insurance through normal channels.
2.
Any person who qualifies will receive superior coverage to other forms of property insurance.
3.
Any person who does NOT have an insurable interest in a property can participate in the FAIR plan.
4.
Any person who qualifies will have the inspection automatically waived if they are a FAIR plan
participant.
A Special Surplus Line Broker is allowed to place coverage with a non-admitted insurer for all the
following EXCEPT
1.
aircraft insurance.
2.
interstate commerce involving railroads.
3.
transportation involving bridges and tunnels.
4.
insurance against perils of navigation for import and exporting of goods.
2/9/2026
1
, CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
Which of the following is TRUE regarding the application and renewal of the limited lines automobile
insurance agent license?
1.
The fees and process are the same as for a personal lines licensee.
2.
There are no fees for filing the application or renewal applications for the license.
3.
The limited lines agent is ineligible to become a property or casualty broker-agent.
4.
The agent must pass an examination on the insurance code and products, but not ethics.
Which of the following is TRUE regarding continuing education requirements of an agent or broker?
1.
Any licensee shall satisfactorily complete 24 hours of instruction prior to license renewal.
2.
Any licensee in good standing for 10 years may apply for exemption to the continuing education
requirement if reputation has been proven.
3.
An agent or broker licensed in life and health requires more continuing education hours than an agent
or broker licensed in property and casualty.
4.
A licensee who is 65 years or older shall be exempt from continuing education hours if reputation of
agent or broker is in good standing for 25 years.
Which is an ACCURATE statement regarding the List of Approved Surplus Lines Insurers?
1.
2/9/2026
Participation in LASLI is mandatory and all approved non admitted insurers are on the list.
2
, CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
2.
Surplus lines insurers that are not on the list are unapproved for broker use.
3.
The same rules apply for U.S. domiciled and non U.S. domiciled carriers.
4.
Eligible carriers do not need to file documents with the California Department of Insurance.
What 2 different types of areas are served by the California Fair Access to Insurance Responsibilities
plan?
1.
Poor and alien.
2.
Earthquake prone and rural.
3.
War zones and high crime.
4.
Brush fire risk and inner city.
Except in a case where the property is being held as a carrier or depository, what is the insurable
interest is measured by?
1.
The size of the premium.
2.
Fair market value of the property.
3.
2/9/2026
The contingent or expectant value to the insured.
4.
3
, CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
The extent to which the insured would be damnified by loss or injury to the property.
ALL of the following are examples of open policies EXCEPT
1.
market value.
2.
agreed value.
3.
actual cash value.
4.
replacement value.
It is unlawful to do any of the following EXCEPT
1.
knowingly assist, abet, conspire with, or solicit a person in an unlawful act under this section of the
insurance code.
2.
make or cause to made a knowingly false or fraudulent or material representation for the purpose of
obtaining or denying any compensation.
3.
make or cause to made a knowingly false or fraudulent or material representation for the purpose of
encouraging an injured worker to claim benefits.
4.
present or cause to be presented a knowingly false or fraudulent written or oral material statement in
support of, or in opposition to, a claim for compensation.
2/9/2026
4
02/09/2026
2026/2027
CA Property and Casualty Insurance Practice Exam
2026/2027|Questions and Correct Answers latest exam (verified)
Which of the following is TRUE regarding who qualifies for coverage under the California Fair Access to
Insurance Requirements plan?
1.
Any person who is unable to obtain basic property insurance through normal channels.
2.
Any person who qualifies will receive superior coverage to other forms of property insurance.
3.
Any person who does NOT have an insurable interest in a property can participate in the FAIR plan.
4.
Any person who qualifies will have the inspection automatically waived if they are a FAIR plan
participant.
A Special Surplus Line Broker is allowed to place coverage with a non-admitted insurer for all the
following EXCEPT
1.
aircraft insurance.
2.
interstate commerce involving railroads.
3.
transportation involving bridges and tunnels.
4.
insurance against perils of navigation for import and exporting of goods.
2/9/2026
1
, CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
Which of the following is TRUE regarding the application and renewal of the limited lines automobile
insurance agent license?
1.
The fees and process are the same as for a personal lines licensee.
2.
There are no fees for filing the application or renewal applications for the license.
3.
The limited lines agent is ineligible to become a property or casualty broker-agent.
4.
The agent must pass an examination on the insurance code and products, but not ethics.
Which of the following is TRUE regarding continuing education requirements of an agent or broker?
1.
Any licensee shall satisfactorily complete 24 hours of instruction prior to license renewal.
2.
Any licensee in good standing for 10 years may apply for exemption to the continuing education
requirement if reputation has been proven.
3.
An agent or broker licensed in life and health requires more continuing education hours than an agent
or broker licensed in property and casualty.
4.
A licensee who is 65 years or older shall be exempt from continuing education hours if reputation of
agent or broker is in good standing for 25 years.
Which is an ACCURATE statement regarding the List of Approved Surplus Lines Insurers?
1.
2/9/2026
Participation in LASLI is mandatory and all approved non admitted insurers are on the list.
2
, CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
2.
Surplus lines insurers that are not on the list are unapproved for broker use.
3.
The same rules apply for U.S. domiciled and non U.S. domiciled carriers.
4.
Eligible carriers do not need to file documents with the California Department of Insurance.
What 2 different types of areas are served by the California Fair Access to Insurance Responsibilities
plan?
1.
Poor and alien.
2.
Earthquake prone and rural.
3.
War zones and high crime.
4.
Brush fire risk and inner city.
Except in a case where the property is being held as a carrier or depository, what is the insurable
interest is measured by?
1.
The size of the premium.
2.
Fair market value of the property.
3.
2/9/2026
The contingent or expectant value to the insured.
4.
3
, CA PROPERTY AND CASUALTY INSURANCE PRACTICE EXAM
02/09/2026
2026/2027
The extent to which the insured would be damnified by loss or injury to the property.
ALL of the following are examples of open policies EXCEPT
1.
market value.
2.
agreed value.
3.
actual cash value.
4.
replacement value.
It is unlawful to do any of the following EXCEPT
1.
knowingly assist, abet, conspire with, or solicit a person in an unlawful act under this section of the
insurance code.
2.
make or cause to made a knowingly false or fraudulent or material representation for the purpose of
obtaining or denying any compensation.
3.
make or cause to made a knowingly false or fraudulent or material representation for the purpose of
encouraging an injured worker to claim benefits.
4.
present or cause to be presented a knowingly false or fraudulent written or oral material statement in
support of, or in opposition to, a claim for compensation.
2/9/2026
4
