Evergreen Insurance Prep

Property & Casualty Insurance Exam, General, Practice Exams

The national portion shared by every state's Property & Casualty producer exam: general insurance concepts, property and casualty basics, dwelling and homeowners, personal and commercial auto, commercial property and liability, workers' compensation, and federal regulation. Original questions with explanations. State-specific P&C law sections are being added.
Content last updated 30 June 2026

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Each module is scored separately so you know exactly where you stand. The general section is the bulk of every state exam; most states require about 70% to pass.

Unlock the full question bank

The free sample gives you about 20 questions per module. The full bank contains every question — general insurance plus state law — with written, statute-cited explanations. $49, one time, lifetime access on up to 3 devices — every state and line we add later included.

✓ One purchase, use it on up to 3 of your devices · no subscription · no account needed

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Frequently asked questions

Who is the general Property & Casualty bank for?

It covers the national, general-knowledge portion shared by every U.S. state's Property & Casualty producer exam - property, casualty, auto, homeowners, commercial lines, workers' compensation and federal regulation. It is the bulk of the exam and is ideal before you add your state's law section.

Will this alone qualify me for my state licence?

It covers the national portion, not your state's insurance-law section. Every state P&C exam also has a state-specific part. As we add dedicated state P&C exams, use yours for full coverage; until then this gives you a strong head start on the majority of the material.

What score do I need to pass?

Most states require about 70%. Practise each module to that level and run the full exam simulation before your test date.

Are these real exam questions?

No vendor publishes the live exam. Every question is original, written to the standard national P&C content outline and the standard ISO policy forms, with a plain-English explanation.

How many practice questions are included?

The full general P&C bank contains 708 questions across all the core property and casualty topics, with written explanations. The free sample gives you about 20 questions per module.

What does access cost?

$49, one time, for lifetime access - and it includes every state and line we add later, at no extra charge. No subscription.

Can I use it on more than one device?

Yes. One purchase works on up to 3 of your devices, for example your laptop, phone and tablet. Your progress is saved on each device.

Do I need to create an account?

No. The practice tests run in your browser with no signup. Your score history is saved on your own device.

Sample Property & Casualty Insurance Exam, General practice questions

A selection of free questions with answers and explanations. Use the interactive modules above for timed, scored drills.

The maximum NFIP contents coverage available to a residential policyholder is:

  1. $250,000
  2. $50,000
  3. $500,000
  4. $100,000 ✓

Why: Residential contents coverage under the NFIP is capped at $100,000, separate from the building limit.

An 'additional insured' endorsement on a CGL is most commonly used to:

  1. Add a new retroactive date
  2. Increase the policy limits
  3. Extend the named insured's policy to cover another party (such as a landlord or project owner) for liability arising from the named insured's work ✓
  4. Convert occurrence to claims-made

Why: Additional insured endorsements extend coverage to specified third parties (landlords, GCs, owners) for liability connected to the named insured's operations.

Under the PAP, a trailer owned by the named insured is:

  1. Covered only under Part B
  2. Never covered
  3. Covered only if commercial
  4. A covered auto for liability (and physical damage if scheduled), within policy terms ✓

Why: Owned trailers are included as covered autos for liability; physical damage on a trailer generally requires it to be scheduled.

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Under 'contribution by equal shares,' insurers covering the same loss pay:

  1. Only the primary insurer pays
  2. Nothing until the insured pays
  3. Equal amounts until the lowest limit is exhausted, then the rest continue ✓
  4. In proportion to their limits

Why: Each insurer contributes equal amounts until the smallest applicable limit is used up; remaining insurers continue contributing equally.

Builders Risk coverage is designed to insure:

  1. Loss of rents only
  2. A completed and occupied office tower
  3. A structure during the course of construction ✓
  4. Tools owned by a contractor at home

Why: Builders Risk insures buildings or structures while under construction, including materials and supplies intended to become part of the structure.

Under the PAP, intentional bodily injury or property damage caused by an insured is:

  1. Covered under Part B only
  2. Covered as a supplementary payment
  3. Excluded from liability coverage ✓
  4. Covered under Part A

Why: Part A excludes injury or damage caused intentionally by or at the direction of an insured.

Under the Business Auto Coverage Form, the covered "auto" definition generally includes:

  1. Mobile equipment that never travels on roads
  2. Aircraft and watercraft
  3. Railcars
  4. Land motor vehicles, trailers, and semitrailers designed for use on public roads ✓

Why: A covered auto is a land motor vehicle, trailer, or semitrailer designed for travel on public roads, including attached machinery, but not most mobile equipment.

In a monopolistic state fund jurisdiction, employers must generally obtain workers' compensation coverage from:

  1. A federal program
  2. Any private insurer licensed in the state
  3. An out-of-state surplus lines insurer
  4. The state-operated fund only ✓

Why: In monopolistic fund states, the state fund is the sole source of WC coverage and private insurers may not write it; employers must buy from the state fund.

Under TRIA, federal sharing of terrorism losses is triggered only for a 'certified act of terrorism,' which is certified by:

  1. FEMA
  2. The individual insurer
  3. The state insurance commissioner
  4. The Secretary of the Treasury (in consultation with other officials) ✓

Why: A terrorism event must be certified by the Secretary of the Treasury, in consultation with designated officials, before TRIA's loss-sharing applies.

Business Income coverage is designed primarily to cover:

  1. Theft of money
  2. Liability claims from injured customers
  3. Loss of net income and continuing expenses during a covered shutdown ✓
  4. The cost to rebuild the damaged building

Why: Business Income covers the actual loss of net income plus continuing normal operating expenses (including payroll) during the period of restoration after a covered loss.

Most Professional Liability/E&O and D&O policies are written on what kind of trigger?

  1. Claims-made ✓
  2. Named perils
  3. Open peril
  4. Occurrence

Why: Professional and management liability lines are typically claims-made, with a retroactive date and ERP options.

For a renter (HO-4), which Section I coverage is the primary coverage?

  1. Coverage A — Dwelling
  2. Coverage C — Personal Property ✓
  3. Coverage D only
  4. Coverage B — Other Structures

Why: For tenants, Coverage C — Personal Property is the centerpiece of Section I, since the renter does not own the building.

A producer who recommends a product the client does not need solely to earn a larger commission has most clearly breached the duty of:

  1. Suitability and fair dealing ✓
  2. Salvage
  3. Coinsurance
  4. Subrogation

Why: Recommending unsuitable products for the producer's own gain violates the ethical duties of suitability and fair dealing owed to the client.

Which document in a CPP contains information common to all coverage parts, such as the named insured, policy period, and premium?

  1. Interline endorsement
  2. Common Policy Declarations ✓
  3. Coverage Part Declarations
  4. Causes of Loss form

Why: The Common Policy Declarations identify the named insured, mailing address, policy period, business description, and the coverage parts that apply.

A personal articles floater (scheduled personal property) is most often classified within which line of insurance?

  1. Workers compensation
  2. Inland marine ✓
  3. Ocean marine
  4. Surety

Why: Floaters covering jewelry, furs, fine arts, and similar items are written as inland marine coverage.

A property worth $500,000 has a 90% coinsurance requirement. The insured carries $360,000 and has a $50,000 loss. Ignoring deductible, the insurer pays:

  1. $50,000
  2. $40,000 ✓
  3. $36,000
  4. $45,000

Why: Required = 90% x $500,000 = $450,000. Did/should = $360,000/$450,000 = 0.80. Payment = 0.80 x $50,000 = $40,000.

The Agreed Value option in commercial property insurance does which of the following?

  1. Adds flood coverage
  2. Increases the deductible
  3. Provides replacement cost automatically
  4. Suspends the coinsurance clause for the policy period ✓

Why: Agreed Value suspends the coinsurance condition once the insurer and insured agree on a value, eliminating any coinsurance penalty at loss.

The CGL 'Other Insurance' condition typically makes the CGL coverage:

  1. Primary, but excess over certain other coverages in specified situations ✓
  2. Always pro rata regardless
  3. Void if other insurance exists
  4. Always excess

Why: The CGL is generally primary but becomes excess in specified situations (e.g., certain additional-insured or fire scenarios) per the Other Insurance condition.

An insurer wishing to comply with GLBA must provide its initial privacy notice to a customer:

  1. Only upon cancellation
  2. Only after a claim
  3. At the time the customer relationship is established (and annually thereafter, as applicable) ✓
  4. Never

Why: GLBA requires delivery of a privacy notice when the customer relationship is established and, historically, an annual notice describing information-sharing practices.

The PAP towing and labor costs coverage pays for labor:

  1. For accident-related medical transport
  2. Only when performed at the place of disablement ✓
  3. Anywhere repairs are needed regardless of location
  4. For routine maintenance at the shop

Why: Towing and labor costs coverage pays towing plus labor, but only labor performed at the place where the vehicle was disabled.

For a property owner to be eligible to purchase NFIP flood insurance, the property must be located in:

  1. A coastal county
  2. A federally declared disaster area
  3. A community that participates in the NFIP ✓
  4. A state with a FAIR Plan

Why: NFIP coverage is only available in communities that have agreed to adopt and enforce floodplain management ordinances and thus participate in the program.

Some categories of workers (such as certain domestic, agricultural, or casual employees) may be excluded from mandatory WC coverage but can be covered if the employer chooses. This describes:

  1. Monopolistic employment
  2. Required employment
  3. Elective (exempt) employment ✓
  4. Statutory employment

Why: Elective or exempt categories are those the law does not require to be covered, but the employer may elect to cover them voluntarily.

"Specified Causes of Loss" physical damage coverage under the BACF differs from Comprehensive in that it:

  1. Covers collision damage
  2. Covers only named perils such as fire, theft, windstorm, vandalism, and certain others ✓
  3. Covers more perils than comprehensive
  4. Has no deductible

Why: Specified Causes of Loss is a named-peril coverage (fire, lightning, theft, windstorm, hail, flood, mischief, etc.), narrower and cheaper than comprehensive.

Under the FCRA, an investigative consumer report differs from an ordinary consumer report because it includes:

  1. Only the consumer's credit score
  2. Information about a consumer's character, reputation, and lifestyle obtained through interviews with associates or neighbors ✓
  3. Only public criminal records
  4. Only flood zone determinations

Why: An investigative consumer report gathers information on a consumer's character, general reputation, and mode of living through personal interviews, triggering additional notice requirements.

An injured worker recovers WC benefits, then sues and recovers from a negligent third party who caused the injury. The WC insurer typically has what right regarding that recovery?

  1. The right to cancel the policy retroactively
  2. A right of subrogation/lien to recover benefits it paid ✓
  3. An obligation to double the benefits
  4. No interest in the third-party recovery

Why: The WC insurer generally has subrogation (lien) rights against a third-party recovery, allowing it to be reimbursed for benefits paid out of the worker's recovery.

Which statement about umbrella defense costs is generally true?

  1. The umbrella never provides defense
  2. If the underlying policy does not cover a loss but the umbrella does, the umbrella typically provides defense once the SIR is satisfied ✓
  3. The umbrella only pays indemnity, never defense
  4. Defense is always within the underlying limit

Why: For losses covered by the umbrella but not underlying, the umbrella generally defends after the insured satisfies the SIR.

The Protective Safeguards endorsement on a BOP or commercial property policy generally:

  1. Adds flood coverage
  2. Requires the insured to maintain specified protective systems (e.g., sprinklers) as a condition of coverage ✓
  3. Reduces the deductible to zero
  4. Increases the limit automatically

Why: Protective Safeguards conditions coverage on the insured maintaining specified systems such as automatic sprinklers or alarms; failure to maintain them can suspend coverage.

A legal doctrine that reduces a plaintiff's recovery in proportion to their own degree of fault is:

  1. Contributory negligence
  2. Res ipsa loquitur
  3. Comparative negligence ✓
  4. Strict liability

Why: Comparative negligence apportions damages according to each party's percentage of fault rather than barring recovery entirely.

What is the primary purpose of a Commercial Package Policy (CPP)?

  1. To insure only commercial automobiles
  2. To provide only property coverage for large corporations
  3. To combine two or more coverage parts into a single policy for one insured ✓
  4. To replace the need for liability coverage

Why: A CPP allows two or more coverage parts (e.g., property, general liability, crime) to be combined under a single policy with shared declarations and conditions.

In a reinsurance arrangement, the company that transfers (gives up) part of its risk is called the:

  1. Attorney-in-fact
  2. Reinsurer
  3. Ceding insurer ✓
  4. Surplus lines broker

Why: The ceding insurer is the original insurer that cedes a portion of its risk to a reinsurer.