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Insurance Producer — Property & Casualty Practice Test 2026

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To pass
60%
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Source: Property & Casualty Insurance Principles (California)Last verified: Unknown · Not yet verified

Written from the official Property & Casualty Insurance Principles (California)· Reviewed by the PassPrep editorial team· How we verify

🎯 Practice by Topic

Homeowners and dwelling policy forms (HO-2/3/4/5/6/8, DP-1/2/3), coverage parts and Sections I/II, valuation and loss settlement (ACV vs replacement cost, coinsurance), and commercial & specialty property lines (BOP, commercial property/CPP, flood/NFIP, earthquake, inland marine).

50 questions

Core insurance concepts shared across property and casualty lines: risk, peril and hazard, the law of large numbers, insurable interest and indemnity, adverse selection, reinsurance and risk management; the insurance marketplace (distribution systems, producers, insurer types); and the tort-law basis of liability (negligence).

70 questions

How an insurance contract is formed and structured: the four elements of a contract; the distinct characteristics of insurance contracts (aleatory, adhesion, unilateral, utmost good faith, indemnity); concealment, representations and warranties, waiver and estoppel, and rescission; and the parts of a policy (declarations, insuring agreement, conditions, exclusions, endorsements) with common provisions (coinsurance, deductibles, other-insurance, cancellation and nonrenewal).

70 questions

Legal liability and the casualty line: bodily injury vs property damage, negligence and strict/absolute/vicarious liability, defenses and comparative vs contributory negligence, liability limits (per-occurrence, aggregate, split vs combined single limit), occurrence vs claims-made triggers; and the liability lines — commercial general liability (CGL), professional liability / E&O, EPLI, personal liability, umbrella/excess, surety and fidelity bonds, and the no-fault workers-compensation concept.

70 questions

Personal auto and personal liability coverage: the Personal Auto Policy (liability, medical payments, uninsured/underinsured motorists, collision and comprehensive/other-than-collision), newly-acquired-auto and out-of-state rules; and Homeowners Section II personal liability and medical payments to others, Section II exclusions, and the personal umbrella (excess over the auto and homeowners limits, self-insured retention, drop-down).

70 questions

Commercial insurance packaging and coverages: the Commercial Package Policy (modular common declarations and conditions plus coverage parts); the Business/Commercial Auto Policy (covered-auto symbols, hired and non-owned auto, garage and garagekeepers, motor carrier); commercial crime (employee dishonesty, forgery, robbery vs burglary vs theft, money & securities, computer fraud); the Workers Compensation & Employers Liability policy (statutory Part One vs Employers Liability Part Two, experience modification); ocean marine; commercial umbrella; and specialty lines (farm, aviation, equipment breakdown, D&O, surety bonds).

70 questions