NC Adjuster License Practice Exam
NC Adjuster License Practice Exam
Study online at https://quizlet.com/_7gvwr1
1. Manny is purchasing a Commercial Property policy The maximum monthly
with a Business Income form included. Manny can limit of indemnity optional
select from any of the following as a method to coverage
provide coverage, while avoiding the coinsurance re-
quirement, EXCEPT:
2. The traditional definition of actual cash value (ACV) is: Replacement cost minus
depreciation
3. Sam and Dan are working to clean out the gutters Only Dan's injuries would
around the roof on Sam's house. Sam and Dan are be covered
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 Lia-
bility?
4. Torts that can be covered by insurance policies include Intentional torts purposely
all of the following, EXCEPT: committed to cause harm
to another.
5. The insured has a $1,000,000 personal umbrella policy $2,000
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:
6. All of the following is considered an "insured" under a Lawyers of the named in-
CGL policy, EXCEPT: sured
7.
, NC Adjuster License Practice Exam
NC Adjuster License Practice Exam
Study online at https://quizlet.com/_7gvwr1
What specific type of liability policy gives an owner Owners and Contractors
protection against liability claims arising out of the Protective Liability Policy.
acts of its independent contractors?
8. Which of the following would be eligible for coverage A small retail store
under a Businessowners policy?
9. Which of the following is NOT a correct statement in The cost of a compara-
determining the cost of a "comparable automobile" ble automobile as deter-
when a physical damage loss has a occurred? mined by a computerized
automobile valuation ser-
vice that produces sta-
tistically valid fair market
values within the United
States market
10. All of the following statements are TRUE of North Car- If the insured carries lim-
olina automobile liability policies, EXCEPT its greater than the min-
imum financial responsi-
bility limits required by
state law, they are not
required to carry Unin-
sured/Underinsured Mo-
torists coverage.
11. The basic limit for Coverage F -- Medical Payments of $1,000 per person
the standard Homeowners forms is:
12. Oliver Dogwood was in an auto accident which de- $2,150
stroyed his car. While investigating the accident, Ad-
juster 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
, NC Adjuster License Practice Exam
NC Adjuster License Practice Exam
Study online at https://quizlet.com/_7gvwr1
price of $2,150 and a dealer price of $1,750. What
amount will Mr. Dogwood receive?
13. When a claims representative is collecting information The nature and extent of
from a third-party claimant, which of the following is the injuries or property
the information that should be obtained first? damage claimed.
14. The Business Auto uses Symbol 7 to cover "specifical- If the insured insures all
ly described autos" identified in the declarations. An of their vehicles with the
auto acquired during the policy period will only be company or it replaces a
covered: covered auto..
15. What coverage under the BOP automatically applies Medical expense cover-
if a customer slips and falls on the named insured's age
premises, regardless of legal liability?
16. When an insurer is called upon to defend a suit under Not limited
a CGL policy, the amount that can be paid for the
defense costs is:
17. Any North Carolina lender in making or servicing real A sworn statement that the
estate mortgage or deed of trust loans on one to four insurance will be kept in
family residences must accept a binder as proof of force.
insurance. The binder presented to the lender must
include all of the following, EXCEPT
18. Which of the following statements is TRUE concerning The coverage is provided
Part A - Liability coverage on a standard Personal Au- only for accidents caused
tomobile policy? by those who are "in-
sureds" under the policy..
19. Which of the following is NOT a reason to purchase a The Dwelling policy pro-
Dwelling policy instead of a Homeowners policy? vides higher limits of lia-
NC Adjuster License Practice Exam
Study online at https://quizlet.com/_7gvwr1
1. Manny is purchasing a Commercial Property policy The maximum monthly
with a Business Income form included. Manny can limit of indemnity optional
select from any of the following as a method to coverage
provide coverage, while avoiding the coinsurance re-
quirement, EXCEPT:
2. The traditional definition of actual cash value (ACV) is: Replacement cost minus
depreciation
3. Sam and Dan are working to clean out the gutters Only Dan's injuries would
around the roof on Sam's house. Sam and Dan are be covered
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 Lia-
bility?
4. Torts that can be covered by insurance policies include Intentional torts purposely
all of the following, EXCEPT: committed to cause harm
to another.
5. The insured has a $1,000,000 personal umbrella policy $2,000
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:
6. All of the following is considered an "insured" under a Lawyers of the named in-
CGL policy, EXCEPT: sured
7.
, NC Adjuster License Practice Exam
NC Adjuster License Practice Exam
Study online at https://quizlet.com/_7gvwr1
What specific type of liability policy gives an owner Owners and Contractors
protection against liability claims arising out of the Protective Liability Policy.
acts of its independent contractors?
8. Which of the following would be eligible for coverage A small retail store
under a Businessowners policy?
9. Which of the following is NOT a correct statement in The cost of a compara-
determining the cost of a "comparable automobile" ble automobile as deter-
when a physical damage loss has a occurred? mined by a computerized
automobile valuation ser-
vice that produces sta-
tistically valid fair market
values within the United
States market
10. All of the following statements are TRUE of North Car- If the insured carries lim-
olina automobile liability policies, EXCEPT its greater than the min-
imum financial responsi-
bility limits required by
state law, they are not
required to carry Unin-
sured/Underinsured Mo-
torists coverage.
11. The basic limit for Coverage F -- Medical Payments of $1,000 per person
the standard Homeowners forms is:
12. Oliver Dogwood was in an auto accident which de- $2,150
stroyed his car. While investigating the accident, Ad-
juster 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
, NC Adjuster License Practice Exam
NC Adjuster License Practice Exam
Study online at https://quizlet.com/_7gvwr1
price of $2,150 and a dealer price of $1,750. What
amount will Mr. Dogwood receive?
13. When a claims representative is collecting information The nature and extent of
from a third-party claimant, which of the following is the injuries or property
the information that should be obtained first? damage claimed.
14. The Business Auto uses Symbol 7 to cover "specifical- If the insured insures all
ly described autos" identified in the declarations. An of their vehicles with the
auto acquired during the policy period will only be company or it replaces a
covered: covered auto..
15. What coverage under the BOP automatically applies Medical expense cover-
if a customer slips and falls on the named insured's age
premises, regardless of legal liability?
16. When an insurer is called upon to defend a suit under Not limited
a CGL policy, the amount that can be paid for the
defense costs is:
17. Any North Carolina lender in making or servicing real A sworn statement that the
estate mortgage or deed of trust loans on one to four insurance will be kept in
family residences must accept a binder as proof of force.
insurance. The binder presented to the lender must
include all of the following, EXCEPT
18. Which of the following statements is TRUE concerning The coverage is provided
Part A - Liability coverage on a standard Personal Au- only for accidents caused
tomobile policy? by those who are "in-
sureds" under the policy..
19. Which of the following is NOT a reason to purchase a The Dwelling policy pro-
Dwelling policy instead of a Homeowners policy? vides higher limits of lia-
