Revise with instant feedback: the moment you pick an answer you see whether it was right, with the written, source-cited explanation. Untimed — ideal before you sit a mock exam. Questions you miss keep coming back until you know them.
Exam-day conditions: no feedback until you submit, each module scored separately like the real test, with a full question-by-question review at the end.
Each module is scored separately here so you know exactly where you stand. To pass the real North Carolina exam you need 70%.
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
North Carolina licenses Property & Casualty producers through Pearson VUE, requiring 70% to pass. This bank covers the national property & casualty material plus North Carolina law - auto (the current 50/100/50 minimum limits, the Reinsurance Facility and Rate Bureau), property and homeowners (the standard fire policy, the Insurance Guaranty Association and the Beach/FAIR Plan), and workers' compensation.
You need 70%. Revise each module to that level in Revision Mode, then run the full exam simulation in Exam Mode before your test date.
No vendor publishes the live exam. Every question here is original, written to the official content outline and grounded in public-domain sources — including the North Carolina General Statutes for the state-law questions, with the statute section cited in each explanation.
The full North Carolina bank contains 1102 questions (general insurance plus North Carolina law), with written, source-cited explanations. The free sample gives you about 20 questions per module.
$49, one time, for lifetime access — and it includes every state and line we add later, at no extra charge. No subscription.
Yes. One purchase works on up to 3 of your devices, for example your laptop, phone and tablet, so you can practise wherever you are. Your progress is saved on each device.
No. The practice tests run in your browser with no signup. Your score history is saved on your own device.
A selection of free questions with answers and explanations. Use the interactive modules above for timed, scored drills.
Which of the following is NOT an element of an ideally insurable risk?
Why: Insurable losses should NOT be catastrophic to the insurer; insurers avoid risks that could cause simultaneous, ruinous losses across the pool.
Which Dwelling Policy coverage reimburses the owner for lost rents when a rented dwelling becomes uninhabitable due to a covered loss?
Why: Coverage D — Fair Rental Value pays the landlord for lost rental income when the rented premises cannot be used because of a covered peril.
An 'aggregate' limit represents:
Why: An aggregate limit is the total maximum the insurer will pay for all losses during the entire policy period.
An insurer incorporated in the state where it is transacting business is classified as:
Why: A domestic insurer is one organized under the laws of the state in which it is doing business.
Under G.S. 58-63-45, if the Commissioner's report does NOT charge a violation, an intervenor may seek judicial review by filing a notice of appeal within what time after service of the report?
Why: G.S. 58-63-45 allows any intervenor, when the Commissioner's report does not charge a violation, to file a notice of appeal in the Superior Court of Wake County within 10 days after service of the report.
An insured's flood loss is denied under all three Causes of Loss forms because:
Why: Flood is excluded under all standard commercial property causes of loss forms; separate flood coverage (e.g., NFIP or a difference-in-conditions form) is needed.
Under §58-48-20, a 'covered claim' payable by the Guaranty Association must be an unpaid claim that is:
Why: Section 58-48-20(4) defines a covered claim as one in excess of fifty dollars ($50.00) arising within the coverage of an applicable policy issued by an insurer that becomes insolvent.
The penalty under G.S. 58-63-50 applies only when the violation of the cease and desist order is:
Why: G.S. 58-63-50 applies to a person who willfully violates the order after it has become final and while the order is in effect.
The prohibition on misuse of borrowers' confidential information does NOT apply to a lender's use of such information for the solicitation of:
Why: G.S. 58-63-15(12) provides that the misuse-of-information prohibition does not apply to a lender's use of such information for the solicitation of life or accident and health insurance.
A farmowners-ranchowners policy is best described as a package that combines:
Why: The farmowners-ranchowners policy is a package combining homeowners-type property and liability coverage with coverage for farm structures, equipment, and operations.
Under North Carolina case law interpreting the Act, the Woodson doctrine recognizes a narrow exception to exclusive remedy allowing a common-law suit against the employer when:
Why: The Woodson exception permits a civil action outside the exclusive-remedy bar of G.S. 97-10.1 only where the employer's conduct was substantially certain to cause serious injury or death; ordinary negligence is not enough.
An employer is also the manufacturer of the product that injured its own employee, and the employee sues the employer in its role as product maker rather than as employer. What doctrine does this illustrate, potentially triggering Part Two?
Why: The dual-capacity doctrine allows an employee to sue the employer in a second, distinct capacity (e.g., as product manufacturer); such suits can fall under Part Two Employers Liability.
A tangible condition such as icy steps or faulty wiring is an example of a:
Why: A physical hazard is a tangible characteristic of property, persons, or operations that increases the chance of loss.
A North Carolina insured buys liability limits of $100,000/$300,000, above the statutory minimum. What must the policy also provide with respect to underinsured motorist (UIM) coverage?
Why: N.C. Gen. Stat. §20-279.21(b)(4) requires UIM coverage in addition to UM, and its limits must equal the UM bodily injury limits purchased under (b)(3). UIM effectively applies when the policy's limits exceed the minimum, because a vehicle is 'underinsured' only where UIM limits exceed the BI liability limits.
Coverage E in the Dwelling Policy provides which of the following?
Why: Coverage E — Additional Living Expense pays the increased cost of living elsewhere while the insured's own residence is being repaired after a covered loss.
"Specified Causes of Loss" physical damage coverage under the BACF differs from Comprehensive in that it:
Why: Specified Causes of Loss is a named-peril coverage (fire, lightning, theft, windstorm, hail, flood, mischief, etc.), narrower and cheaper than comprehensive.
Which of the following is a possible result of the underwriting process?
Why: Underwriting can result in accepting the risk as is, accepting with modifications/conditions, or rejecting the application.
For uninsured motorist property damage coverage in North Carolina, the statute imposes a per-insured deductible of what amount?
Why: N.C. Gen. Stat. §20-279.21(b)(3) subjects UM property damage coverage, for each insured, to an exclusion (deductible) of the first $100 of damages.
A homeowner fails to clear ice from their walkway and a visitor slips and breaks an arm. Which negligence element is satisfied by the homeowner's failure to maintain the walkway?
Why: Failing to act as a reasonably prudent person would (clearing the ice) is the breach of the duty of care owed to the visitor.
A worker can return to light-duty work at reduced hours and lower pay while still recovering. The wage-loss benefit during this period is classified as:
Why: Temporary partial disability (TPD) compensates for the wage loss when a recovering worker can perform some work but earns less than before the injury.
Before a motor vehicle may be registered in North Carolina, the owner must do what?
Why: N.C. Gen. Stat. §20-309(a) provides that no motor vehicle shall be registered unless the owner provides proof of financial responsibility, and that responsibility must be maintained continuously throughout the registration period.
A bond guaranteeing that the contractor will pay subcontractors, laborers, and material suppliers is a:
Why: A payment bond guarantees that subcontractors and suppliers will be paid, protecting against liens.
Which type of business is typically ELIGIBLE for a Businessowners Policy?
Why: BOPs are designed for eligible smaller risks such as retail stores, offices, apartments, and similar businesses; large manufacturers and certain high-hazard risks are ineligible.
Under §58-45-5, 'insurable property' eligible for Beach Plan coverage includes real property at fixed locations in the beach and coastal area but does NOT include:
Why: Section 58-45-5(5) defines insurable property to include fixed-location real property and its contents but expressly excludes insurance on motor vehicles.
A violation of the referral-fee cap in G.S. 58-33-82(f) may be punished by a fine not to exceed:
Why: G.S. 58-33-82(f) provides that a violation may be punished by a fine not to exceed two thousand dollars ($2,000) for each violation.
An insurer publishes a pamphlet falsely and maliciously attacking a competitor's financial solvency to drive customers away. Which defined practice does this most directly describe?
Why: G.S. 58-63-15(3), Defamation, covers circulating any pamphlet or literature that is false or maliciously critical of an insurer's financial condition and calculated to injure a person in the insurance business.
Under §58-41-20, a notice of nonrenewal must:
Why: Section 58-41-20(e) requires the notice of nonrenewal to state the precise reason for nonrenewal.
Under the CGL Supplementary Payments, the insurer will pay up to how much per day for the insured's loss of earnings while attending a trial at the insurer's request?
Why: Supplementary Payments include up to $250 per day for the insured's actual loss of earnings due to attendance at hearings or trials at the insurer's request.
Under the standard fire policy, if loss is payable to a designated mortgagee and the insured fails to render proof of loss, the mortgagee must render proof of loss within how many days after notice?
Why: The mortgagee provision requires the mortgagee, upon notice, to render proof of loss within 60 days after the insured's failure to do so.
If the Department finds that an insurer's termination did not comply with the law AND the insurer willfully violated the statute, the Department may order renewal or reinstatement plus payment by the insurer of the Department's review costs not to exceed:
Why: N.C. Gen. Stat. §58-36-85(e)(3) authorizes the Department to order renewal or reinstatement and payment by the insurer of the review costs, not to exceed $1,000, where the termination did not comply and the insurer willfully violated the section.