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NC Claims Adjuster Exam Study
Guide 2025|Questions and
Verified Answers
Liability Insurance PAP (Part A) - correct-answer-Pays all the sums and
insured must legally pay as damage due to BI/PD caused by an accident
and resulting from the ownership, maintenance or use of a covered
auto.
Coverage Part A through F of a PAP - correct-answer-A. Liability
B. Medical Payments
C. UM/UIM
D. Physical Damage
E. Insured Duties
F. General Provisions
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Certificate of Insurance (COI) - correct-answer-A document that proves
the existence of insurance coverage
Occurrence - correct-answer-Something that continue to happen and
may cause injury later on.
Accident - correct-answer-A sudden unforseen and unintended one
time event
Assumption of risk - correct-answer-An individual who is aware of the
potential risk involved and chose to expose themselves to it.
Comparative negligence - correct-answer-Measures the amount of
negligence contributed to each party. The injured party will not cover
damages equal to the percentage of negligence they contribute.
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Contributory Negligence - correct-answer-If an insured party
contributed to their injury in anyway due to their own negligence, we
will not pay anything.
What state is a contributory state? - correct-answer-North Carolina
Negligence - correct-answer-Failure to do (or not do) what a reasonable
prudent person would or would not have done in a similar instance.
Temporary Substitute Automobile - correct-answer-Not owned by the
named insured but used temporarily as a substitute for the owned auto
that is not currently being used.
What is an example of a Temporary substitute Automobile? - correct-
answer-A dealership loans an insured a vehicle to drive while their car
is getting fixed.
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Non Owned Automobile - correct-answer-Not owned by the named
insured or any relative.
What is an example of an Non Owned Automobile? - correct-answer-An
insured borrows a neighbors car.
If an additional vehicle is not reported to the insurer within 30 days: -
correct-answer-No coverage will apply to the added vehicle.
If a vehicle is added to an existing policy (In addition to): - correct-
answer-It will have the broadest coverage if insured within 30 days of
becoming the owner.
If a replacement vehicle is not reported within 30 days: - correct-
answer-Part D (Comprehensive and Collision Coverage) will not apply
to the replacement vehicle.
NC Claims Adjuster Exam Study
Guide 2025|Questions and
Verified Answers
Liability Insurance PAP (Part A) - correct-answer-Pays all the sums and
insured must legally pay as damage due to BI/PD caused by an accident
and resulting from the ownership, maintenance or use of a covered
auto.
Coverage Part A through F of a PAP - correct-answer-A. Liability
B. Medical Payments
C. UM/UIM
D. Physical Damage
E. Insured Duties
F. General Provisions
, Page |2
Certificate of Insurance (COI) - correct-answer-A document that proves
the existence of insurance coverage
Occurrence - correct-answer-Something that continue to happen and
may cause injury later on.
Accident - correct-answer-A sudden unforseen and unintended one
time event
Assumption of risk - correct-answer-An individual who is aware of the
potential risk involved and chose to expose themselves to it.
Comparative negligence - correct-answer-Measures the amount of
negligence contributed to each party. The injured party will not cover
damages equal to the percentage of negligence they contribute.
, Page |3
Contributory Negligence - correct-answer-If an insured party
contributed to their injury in anyway due to their own negligence, we
will not pay anything.
What state is a contributory state? - correct-answer-North Carolina
Negligence - correct-answer-Failure to do (or not do) what a reasonable
prudent person would or would not have done in a similar instance.
Temporary Substitute Automobile - correct-answer-Not owned by the
named insured but used temporarily as a substitute for the owned auto
that is not currently being used.
What is an example of a Temporary substitute Automobile? - correct-
answer-A dealership loans an insured a vehicle to drive while their car
is getting fixed.
, Page |4
Non Owned Automobile - correct-answer-Not owned by the named
insured or any relative.
What is an example of an Non Owned Automobile? - correct-answer-An
insured borrows a neighbors car.
If an additional vehicle is not reported to the insurer within 30 days: -
correct-answer-No coverage will apply to the added vehicle.
If a vehicle is added to an existing policy (In addition to): - correct-
answer-It will have the broadest coverage if insured within 30 days of
becoming the owner.
If a replacement vehicle is not reported within 30 days: - correct-
answer-Part D (Comprehensive and Collision Coverage) will not apply
to the replacement vehicle.
