NC ADJUSTER LICENSE EXAM AND PRACTICE
EXAM LATEST 2024-2025 ACTUAL EXAM 150
QUESTIONS AND CORRECT DETAILED ANSWERWERS
(VERIFIED ANSWERWERS) |ALREADY GRADED A+
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? - ANSWERWER-$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? - ANSWERWER-The nature and extent of the
injuries or property damage claimed.
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: - ANSWERWER-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? - ANSWERWER-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: - ANSWERWER-Not limited
Any North Carolina lender in making or servicing real estate mortgage or deed of trust loANSWER 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 - ANSWERWER-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? - ANSWERWER-The coverage is provided only for accidents caused by those who
are "insureds" under the policy..
,Which of the following is NOT a reason to purchase a Dwelling policy instead of a Homeowners policy? -
ANSWERWER-The Dwelling policy provides higher limits of liability than the Homeowners policy..
Which of the following is NOT excluded by Section II - Liability of the Business Automobile policy? -
ANSWERWER-Cost to defend the insured
The insured and her 18-year-old son, who lives in the insured's household, are crossing the street when
both of them are struck by a drunk driver. The Part B - Medical Payments coverage of the insured's
personal auto policy will: - ANSWERWER-Provide coverage for both the insured and her son
All of the following are types of rehabilitative services provided under a workers' compensation policy,
EXCEPT: - ANSWERWER-Substance abuse
Which of the following statements defines a "bailee"? - ANSWERWER-Someone, other than the insured,
to whom the insured property is entrusted temporarily.
In North Carolina, the motor vehicle liability policy law requires owners of motor vehicles to carry limits
of: - ANSWERWER-$30/60/25
Many states amend property insurance coverage additions and extensions by statute due to insufficient
coverage amounts or time limits. All of the following are property insurance additions or extensions that
are frequently amended by state statute, EXCEPT: - ANSWERWER-Other Structures
How are household personal property claims settled under the farm policy? - ANSWERWER-Actual cash
value
Which policy would be best for a prospective insured who wants coverage against liability assumed by
him under specific written agreements? - ANSWERWER-Contractual Liability provided under a CGL
policy
North Carolina law prohibits any Fire insurance policy covering property within the state of North
Carolina to be issued for a term: - ANSWERWER-Longer than seven years
, Collin suffered a work-related injury on the morning of February 5th and was off work completely until
he returned to work on full duty on February 19th. Collin had worked for his employer for four years and
was paid $42,125 per year. Collin's state sets the TTD rate at 66 2/3rd percent of the average weekly
wage. The state sets the maximum compensation rate at $420 per week and the waiting period at 3 days
retroactive after 10 days. Collin was not paid for working on February 5th, so how many days of TTD
compensation is Collin entitled to receive? - ANSWERWER-14
All of the following are examples of insurable interest in property, EXCEPT: - ANSWERWER-The interest
an individual has in the property her parents will someday leave to her.
George went out for target practice one day with his handgun. He has practiced many times with the
same target located in the woods behind his house. Unbeknownst to George, a neighbor was walking in
the woods behind the target one day and was shot in the leg by George. Intentional acts are never
covered by insurance, however, the claim filed by the injured neighbor may be covered under George's
liability coverage. Which of the following is the most likely reason why? - ANSWERWER-Shooting the
gun was an intentional act committed by George, but the consequences of act (his neighbor being shot)
were not intended
The duties of the insured after a loss are included in insurance policy language to: - ANSWERWER-Assist
in the adjuster's investigation of the claim
The perils insured against by a Homeowners policy are contained within the: - ANSWERWER-Insuring
Agreements
Under a standard HO-3, the limit for Coverage C -- Personal Property for a one or two-family dwelling: -
ANSWERWER-Is set at 50% of Coverage A
Which of the following flood zones show a "flood depth" instead of a "base flood elevation" on a FIRM? -
ANSWERWER-AO
North Carolina law stipulates that buildings located within the state that are covered under a Fire policy
and suffer a total loss, the insurance company: - ANSWERWER-Is not liable to pay amounts beyond the
actual cash value of the insured property at the time of the loss or damage
EXAM LATEST 2024-2025 ACTUAL EXAM 150
QUESTIONS AND CORRECT DETAILED ANSWERWERS
(VERIFIED ANSWERWERS) |ALREADY GRADED A+
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? - ANSWERWER-$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? - ANSWERWER-The nature and extent of the
injuries or property damage claimed.
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: - ANSWERWER-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? - ANSWERWER-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: - ANSWERWER-Not limited
Any North Carolina lender in making or servicing real estate mortgage or deed of trust loANSWER 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 - ANSWERWER-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? - ANSWERWER-The coverage is provided only for accidents caused by those who
are "insureds" under the policy..
,Which of the following is NOT a reason to purchase a Dwelling policy instead of a Homeowners policy? -
ANSWERWER-The Dwelling policy provides higher limits of liability than the Homeowners policy..
Which of the following is NOT excluded by Section II - Liability of the Business Automobile policy? -
ANSWERWER-Cost to defend the insured
The insured and her 18-year-old son, who lives in the insured's household, are crossing the street when
both of them are struck by a drunk driver. The Part B - Medical Payments coverage of the insured's
personal auto policy will: - ANSWERWER-Provide coverage for both the insured and her son
All of the following are types of rehabilitative services provided under a workers' compensation policy,
EXCEPT: - ANSWERWER-Substance abuse
Which of the following statements defines a "bailee"? - ANSWERWER-Someone, other than the insured,
to whom the insured property is entrusted temporarily.
In North Carolina, the motor vehicle liability policy law requires owners of motor vehicles to carry limits
of: - ANSWERWER-$30/60/25
Many states amend property insurance coverage additions and extensions by statute due to insufficient
coverage amounts or time limits. All of the following are property insurance additions or extensions that
are frequently amended by state statute, EXCEPT: - ANSWERWER-Other Structures
How are household personal property claims settled under the farm policy? - ANSWERWER-Actual cash
value
Which policy would be best for a prospective insured who wants coverage against liability assumed by
him under specific written agreements? - ANSWERWER-Contractual Liability provided under a CGL
policy
North Carolina law prohibits any Fire insurance policy covering property within the state of North
Carolina to be issued for a term: - ANSWERWER-Longer than seven years
, Collin suffered a work-related injury on the morning of February 5th and was off work completely until
he returned to work on full duty on February 19th. Collin had worked for his employer for four years and
was paid $42,125 per year. Collin's state sets the TTD rate at 66 2/3rd percent of the average weekly
wage. The state sets the maximum compensation rate at $420 per week and the waiting period at 3 days
retroactive after 10 days. Collin was not paid for working on February 5th, so how many days of TTD
compensation is Collin entitled to receive? - ANSWERWER-14
All of the following are examples of insurable interest in property, EXCEPT: - ANSWERWER-The interest
an individual has in the property her parents will someday leave to her.
George went out for target practice one day with his handgun. He has practiced many times with the
same target located in the woods behind his house. Unbeknownst to George, a neighbor was walking in
the woods behind the target one day and was shot in the leg by George. Intentional acts are never
covered by insurance, however, the claim filed by the injured neighbor may be covered under George's
liability coverage. Which of the following is the most likely reason why? - ANSWERWER-Shooting the
gun was an intentional act committed by George, but the consequences of act (his neighbor being shot)
were not intended
The duties of the insured after a loss are included in insurance policy language to: - ANSWERWER-Assist
in the adjuster's investigation of the claim
The perils insured against by a Homeowners policy are contained within the: - ANSWERWER-Insuring
Agreements
Under a standard HO-3, the limit for Coverage C -- Personal Property for a one or two-family dwelling: -
ANSWERWER-Is set at 50% of Coverage A
Which of the following flood zones show a "flood depth" instead of a "base flood elevation" on a FIRM? -
ANSWERWER-AO
North Carolina law stipulates that buildings located within the state that are covered under a Fire policy
and suffer a total loss, the insurance company: - ANSWERWER-Is not liable to pay amounts beyond the
actual cash value of the insured property at the time of the loss or damage
