Texas Property and Casualty Exam and Practice Questions
| 400 Verified Questions with Correct Detailed Answers | A
Graded | 2026/2027 Actual Exam PDF
Introduction
This document features the actual 2025/2026 Texas Property and Casualty Licensing
Exam
and a full set of practice questions, including 400 verified and accurate answers with
detailed
explanations. It covers essential areas such as policy provisions, state regulations,
claims
processing, liability coverage, property risk, underwriting, and ethics. Graded A and
compliant with the latest Texas Department of Insurance guidelines, this study tool is
ideal
for candidates seeking full licensure preparation in property and casualty insurance.
if an insured as a ________ policy with liability and a personal umbrella policy, the liability
limits on the boat policy would be priamary - SELECTED ANSWER 👀 *** boatowners
______ ______ do not cover growing crops or autos driven on the highway - SELECTED
ANSWER 👀 *** farm policies
on a farm policy, the definition of a ______ does not include a building used for agricultural
purposes. - SELECTED ANSWER 👀 *** dwelling
_____ _____ are not covered on DP or HO forms - SELECTED ANSWER 👀 *** farm risks
,Liability covers BI and PD to others for which an insured is proven to be _______ -
SELECTED ANSWER 👀 *** negligent
the ____ _____ ______ plan provides a method for those who have been rejected in the
normal market to obtain coverage - SELECTED ANSWER 👀 *** auto assigned risk
all authorized insurers selling auto insurance must participate in the ____ ____ ____ plan -
SELECTED ANSWER 👀 *** auto assigned risk
supplementary payments under a ___ do not cover the insured's loss of earnings except
when the insured is attending a hearing or trial at the insurer's request. The insured's
injuries are not covered. - SELECTED ANSWER 👀 *** PAP (personal auto policy)
the personal auto coverage from will provide coverage for radios and tape decks if they are
______ ______ in the dash - SELECTED ANSWER 👀 *** permanently installed
the ______ ______ section of the personal automobile policy pays necessary medical and
funeral expenses caused by an accident and sustained by an insured - SELECTED
ANSWER 👀 *** medical payment
the medical payments coverage found in the personal automobile policy will not pay for
_____ _____ - SELECTED ANSWER 👀 *** lost wages
auto medical on a PAP protects the _______ and ______ in the car. it is optional coverage.
it is not a supplementary payment, and it is no-fault - SELECTED ANSWER 👀 *** insured
and passengers
,on a PAP, an ____-____ driver's injuries would be covered by medical - SELECTED
ANSWER 👀 *** at-fault
Coverage __ on a PAP is called coverage for damage to an insured's car and is optional. It
is divided into collision and other than collision. - SELECTED ANSWER 👀 *** D
Coverage __ is written on an ACV basis and has a deductible. Other than collision coverage
is also known as comprehensive coverage - SELECTED ANSWER 👀 *** D
Hitting a pole with an insured automobile would be an example of a ______ - SELECTED
ANSWER 👀 *** collision
in the personal auto policy, hitting a dear is an example of _____ _____ _____ -
SELECTED ANSWER 👀 *** other than collision
if a bird were to hit the insured's windshield, the windshield is covered under ____ ____
____ on a PAP - SELECTED ANSWER 👀 *** other than collision
______ _____ on the PAP covers colliding with another object, rollover and upset.
Everything else is covered by other than collision coverage - SELECTED ANSWER 👀 ***
Collision coverage
______ and _____ is an optional coverage on the PAP and costs extra - SELECTED
ANSWER 👀 *** towing and labor
the optional coverage limit for towing and labor pays on a per ____/_____ basis -
SELECTED ANSWER 👀 *** event/occurrence
, ______ damage is covered under a PAP, but not on property policies - SELECTED
ANSWER 👀 *** flood
in an accident, the owner's PAP is always the _______ policy; the driver's PAP, if different is
always the excess policy - SELECTED ANSWER 👀 *** primary
Insureds purchase _____ ______ coverage because of their concern of being in an auto
accident with someone who has no insurance and is at-fault - SELECTED ANSWER 👀 ***
Uninsured Motorist
included in the definition of an uninsured motorist is a ____-____-____ driver, one whose
insurer has gone bankrupt, and one who does not carry the state minimum limits -
SELECTED ANSWER 👀 *** hit-and-run
if an individual is concerned about being in an auto accident with someone who has
inadequate limits of liability and who is at-fault, they would purchase _______ _______
coverage - SELECTED ANSWER 👀 *** underinsured motorist
a ___ does not provide coverage in Mexico - SELECTED ANSWER 👀 *** PAP
a ___ does not cover an insured's property in transit - SELECTED ANSWER 👀 *** PAP
auto medical covers the insured and any passengers, but not _____ _____ - SELECTED
ANSWER 👀 *** injured pedestrians
a ___ will cover small pick-up trucks, even if they are used for farming or ranching, but will
NOT cover motorcycles, dump trucks or farm implements driven on the highway -
SELECTED ANSWER 👀 *** PAP
| 400 Verified Questions with Correct Detailed Answers | A
Graded | 2026/2027 Actual Exam PDF
Introduction
This document features the actual 2025/2026 Texas Property and Casualty Licensing
Exam
and a full set of practice questions, including 400 verified and accurate answers with
detailed
explanations. It covers essential areas such as policy provisions, state regulations,
claims
processing, liability coverage, property risk, underwriting, and ethics. Graded A and
compliant with the latest Texas Department of Insurance guidelines, this study tool is
ideal
for candidates seeking full licensure preparation in property and casualty insurance.
if an insured as a ________ policy with liability and a personal umbrella policy, the liability
limits on the boat policy would be priamary - SELECTED ANSWER 👀 *** boatowners
______ ______ do not cover growing crops or autos driven on the highway - SELECTED
ANSWER 👀 *** farm policies
on a farm policy, the definition of a ______ does not include a building used for agricultural
purposes. - SELECTED ANSWER 👀 *** dwelling
_____ _____ are not covered on DP or HO forms - SELECTED ANSWER 👀 *** farm risks
,Liability covers BI and PD to others for which an insured is proven to be _______ -
SELECTED ANSWER 👀 *** negligent
the ____ _____ ______ plan provides a method for those who have been rejected in the
normal market to obtain coverage - SELECTED ANSWER 👀 *** auto assigned risk
all authorized insurers selling auto insurance must participate in the ____ ____ ____ plan -
SELECTED ANSWER 👀 *** auto assigned risk
supplementary payments under a ___ do not cover the insured's loss of earnings except
when the insured is attending a hearing or trial at the insurer's request. The insured's
injuries are not covered. - SELECTED ANSWER 👀 *** PAP (personal auto policy)
the personal auto coverage from will provide coverage for radios and tape decks if they are
______ ______ in the dash - SELECTED ANSWER 👀 *** permanently installed
the ______ ______ section of the personal automobile policy pays necessary medical and
funeral expenses caused by an accident and sustained by an insured - SELECTED
ANSWER 👀 *** medical payment
the medical payments coverage found in the personal automobile policy will not pay for
_____ _____ - SELECTED ANSWER 👀 *** lost wages
auto medical on a PAP protects the _______ and ______ in the car. it is optional coverage.
it is not a supplementary payment, and it is no-fault - SELECTED ANSWER 👀 *** insured
and passengers
,on a PAP, an ____-____ driver's injuries would be covered by medical - SELECTED
ANSWER 👀 *** at-fault
Coverage __ on a PAP is called coverage for damage to an insured's car and is optional. It
is divided into collision and other than collision. - SELECTED ANSWER 👀 *** D
Coverage __ is written on an ACV basis and has a deductible. Other than collision coverage
is also known as comprehensive coverage - SELECTED ANSWER 👀 *** D
Hitting a pole with an insured automobile would be an example of a ______ - SELECTED
ANSWER 👀 *** collision
in the personal auto policy, hitting a dear is an example of _____ _____ _____ -
SELECTED ANSWER 👀 *** other than collision
if a bird were to hit the insured's windshield, the windshield is covered under ____ ____
____ on a PAP - SELECTED ANSWER 👀 *** other than collision
______ _____ on the PAP covers colliding with another object, rollover and upset.
Everything else is covered by other than collision coverage - SELECTED ANSWER 👀 ***
Collision coverage
______ and _____ is an optional coverage on the PAP and costs extra - SELECTED
ANSWER 👀 *** towing and labor
the optional coverage limit for towing and labor pays on a per ____/_____ basis -
SELECTED ANSWER 👀 *** event/occurrence
, ______ damage is covered under a PAP, but not on property policies - SELECTED
ANSWER 👀 *** flood
in an accident, the owner's PAP is always the _______ policy; the driver's PAP, if different is
always the excess policy - SELECTED ANSWER 👀 *** primary
Insureds purchase _____ ______ coverage because of their concern of being in an auto
accident with someone who has no insurance and is at-fault - SELECTED ANSWER 👀 ***
Uninsured Motorist
included in the definition of an uninsured motorist is a ____-____-____ driver, one whose
insurer has gone bankrupt, and one who does not carry the state minimum limits -
SELECTED ANSWER 👀 *** hit-and-run
if an individual is concerned about being in an auto accident with someone who has
inadequate limits of liability and who is at-fault, they would purchase _______ _______
coverage - SELECTED ANSWER 👀 *** underinsured motorist
a ___ does not provide coverage in Mexico - SELECTED ANSWER 👀 *** PAP
a ___ does not cover an insured's property in transit - SELECTED ANSWER 👀 *** PAP
auto medical covers the insured and any passengers, but not _____ _____ - SELECTED
ANSWER 👀 *** injured pedestrians
a ___ will cover small pick-up trucks, even if they are used for farming or ranching, but will
NOT cover motorcycles, dump trucks or farm implements driven on the highway -
SELECTED ANSWER 👀 *** PAP
