©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
CA Property and Casualty Insurance
Practice Exam Questions And Answers
|Latest 2025 | Guaranteed Pass
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. - Answer✔1. Any person who is unable to obtain basic property insurance through
normal channels.
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.
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, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
transportation involving bridges and tunnels.
4.
insurance against perils of navigation for import and exporting of goods. - Answer✔3.
transportation involving bridges and tunnels.
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. -
Answer✔1. The fees and process are the same as for a personal lines licensee.
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. - Answer✔1. Any licensee shall
satisfactorily complete 24 hours of instruction prior to license renewal.
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, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
Which is an ACCURATE statement regarding the List of Approved Surplus Lines Insurers?
1.
Participation in LASLI is mandatory and all approved non admitted insurers are on the list.
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. -
Answer✔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. - Answer✔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.
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3.
The contingent or expectant value to the insured.
4.
The extent to which the insured would be damnified by loss or injury to the property. -
Answer✔4. 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. - Answer✔2. agreed 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. - Answer✔3. make or
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CA Property and Casualty Insurance
Practice Exam Questions And Answers
|Latest 2025 | Guaranteed Pass
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. - Answer✔1. Any person who is unable to obtain basic property insurance through
normal channels.
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.
1|Page
, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
transportation involving bridges and tunnels.
4.
insurance against perils of navigation for import and exporting of goods. - Answer✔3.
transportation involving bridges and tunnels.
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. -
Answer✔1. The fees and process are the same as for a personal lines licensee.
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. - Answer✔1. Any licensee shall
satisfactorily complete 24 hours of instruction prior to license renewal.
2|Page
, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
Which is an ACCURATE statement regarding the List of Approved Surplus Lines Insurers?
1.
Participation in LASLI is mandatory and all approved non admitted insurers are on the list.
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. -
Answer✔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. - Answer✔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.
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, ©THEBRIGHT 2025 ALL RIGHTS RESERVED 11:12 AM A+
3.
The contingent or expectant value to the insured.
4.
The extent to which the insured would be damnified by loss or injury to the property. -
Answer✔4. 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. - Answer✔2. agreed 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. - Answer✔3. make or
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