Free practice test

Free Insurance Licensing Practice Test

Take our free insurance licensing practice test with 20 questions covering life and health, property and casualty, and regulations. See your score instantly.

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State-specific content

This free insurance licensing practice test includes 20 multiple-choice questions drawn from the subject areas covered on state life and health and property and casualty insurance producer licensing exams. Topics include life insurance types, annuities, health plan structures, disability income, homeowners and commercial property coverage, liability, auto insurance, workers' compensation, and producer regulations.

After you submit, you will see your score, the correct answer for each question, and a plain-English explanation. Use missed questions to identify the concepts you need to review before your state licensing exam.

These questions are for study practice only and are not official exam questions. ExamsLib is not an official licensing authority or affiliated with any state insurance department or exam provider. Passing this practice test does not guarantee a passing score on your state licensing exam.

These questions are for study practice only and are not official exam questions.

Question 1

Which type of life insurance provides coverage for a specific period of time and pays a death benefit only if the insured dies during that period?

Question 2

What is the term for the person designated to receive the death benefit from a life insurance policy?

Question 3

Which type of life insurance builds cash value over time and remains in force for the insured's entire lifetime as long as premiums are paid?

Question 4

A waiver of premium rider on a life insurance policy means the insurer will:

Question 5

What is an annuity primarily used for in financial planning?

Question 6

Universal life insurance differs from whole life insurance primarily because universal life:

Question 7

The incontestability clause in a life insurance policy generally prevents the insurer from voiding the policy after how long?

Question 8

Under a Health Maintenance Organization (HMO) plan, a member who wants to see a specialist typically must first:

Question 9

What does the term 'insurable interest' mean in the context of life insurance?

Question 10

Which of the following best describes the 'accidental death benefit' rider added to a life insurance policy?

Question 11

A life insurance policy's 'free look' period allows the policyholder to:

Question 12

Under the nonforfeiture options available in a whole life policy, which option allows the policyholder to use accumulated cash value to purchase a paid-up policy for a reduced face amount?

Question 13

Which annuity settlement option guarantees payments for a specified period and continues to the beneficiary if the annuitant dies before the period ends?

Question 14

When a life insurance policy is surrendered for its cash value, which of the following tax consequences typically applies?

Question 15

In a standard homeowners insurance policy, which of the following perils is typically EXCLUDED from coverage?

Question 16

Auto insurance liability coverage pays for:

Question 17

What is a deductible in a property insurance policy?

Question 18

Comprehensive auto insurance coverage pays for vehicle damage caused by:

Question 19

Which homeowners coverage section pays for the policyholder's legal liability if a guest is injured on their property?

Question 20

The principle of subrogation in property insurance allows the insurer to:

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Frequently asked questions

What topics does this insurance practice test cover?

The practice test covers life insurance (term, whole, universal life), annuities, health plan types (HMO, PPO, HDHP), disability income provisions, homeowners and commercial property coverage, liability, auto insurance, workers' compensation, and insurance producer regulations including unfair trade practices and cancellation rules.

Is this practice test specific to life and health or property and casualty?

The question bank covers both life and health topics and property and casualty topics. If you are studying for only one line of authority, focus on the explanations for questions in your exam area and use the study guides for targeted review.

Is this the same as the real state insurance licensing exam?

No. These questions are for study practice only and are not official exam questions from any state insurance department or approved exam provider. ExamsLib is not an official licensing authority.

How many questions are on the free practice test?

This free practice test has 20 multiple-choice questions. A passing practice score is 70 percent or better (14 out of 20 correct).

Can I retake the practice test?

Yes. You can take the practice test as many times as you need. A different set of questions may be assembled from the bank on each attempt.