South Carolina Adjuster Licensing Exam Questions and Answers Updated 2026

South Carolina Adjuster Licensing
Exam Questions and Answers
Updated 2026
AbandonmentBConditionB-
BAnswerABconditionBoftenBcontainedBinBpropertyBinsuranceBpoliciesBthatBstatesBthatBth
eBinsuredBcannotBabandonBdamagedBpropertyBtoBtheBinsurerBandBdemandBtoBbeBreim
bursedBforBitsBfullBvalue.



AbsoluteBLiabilityB-
BAnswerTypeBofBliabilityBimposedBbyBlawBonBthoseBparticipatingBinBcertainBactivitiesBth
atBareBcoeredBparticularlyBhazardous;BpersonBmayBbeBheldBliabileBevenBthoughBtheyBw
ereBnotBnegligent.



AccidentB-BAnswerABlossBthatBoccursBatBaBspecificBtimeBandBplace.



AccountsBRecivableBInsuranceB-
BAnswerFiledBcommercialBinlandBmarineBformBthatBinsuresBagainstBlossBtheBinsuredBsu
ffersBbecuaseBofBanBinabilityBtoBcollectBfromBcustomersBwhenBaccountsBreceivableBrec
ordsBareBdamagedBorBdestroyed.



ActualBCashBValueB(ACV)B-
BAnswertheBcostBtoBreplaceBanBitemBofBpropertyBatBtheBtimeBofBloss,BlessBanBallowan
ceBforBdepreciation;BofterBusedBtoBdetermineBtheBamountBofBreimbursementBforBaBlos
s



AdditionalBCoveragesB-
BAnswerSupplementalBInsuranceBcoveragesBthatBapplyBonlyBinBcertainBcircumstances,Bh
aveBreducedBorBseparateBlimitsBofBliability,BorBrequireBtheBinsuredBtoBmeetBcertainBre
quirementsBbeforeBtheByBareBapplicable;BalsoBcalledBcoverageBextensions,BotherBcovera
ges,BandBextendedBcoverages



AdditionalBInsuredB-
BAnswerAnBindividualBorBcompanyB,BinBadditionaBtoBtheBinsured,BwhoBisBlistedBinBthe

,Bdeclarations;BanBexampleBisBaBmortgageBcompanyBthatBhasBinsurableBintrestBinBtheBp
ropertyBinsured



AdditonalBInsured-LessorBEndorsementB-
BAnswercommercialBautoBendorsementBusedBtoBmakeBleasedBvehiclesBconsideredBown
edBvehiclesBforBcoverageBpurposes



AdhesionBContractB-
BAnsweraBcontractBwhereBoneBpartyBhasBmoreBpowerBthanBtheBotherBpartyBinBdraftin
gBtheBcontract;BanBinsuranceBpolicyBisBanBadhesionBcontract---
theBinsurerBisBtheBoneBwithBmoreBpower



AdverseBSelectionB-BAnswertheBtendancyBofBinsuredsBwithBaBgreater-than-
averageBchanceBofBlossBtoBpurchaseBinsurance



AgencyB-
BAnswerPrinciplesBgoverningBtheBauthorityBofBanyBagentBthatBrepresentsBaBprinciple



AgentB-BAnsweranBindividualBorBorganizationBthatBlegallyBrepresentsBanother;BaBstate-
licensedBprofessionalBwhoBprepresentsBtheBinsuranceBcompanyBinBtheBsaleBandBservici
ngBofBinsurance;BtheBdirectBlinkBbetweenBtheBinsuranceBcompanyBandBpolicyholder



AggregateBlimitB-
BAnswerTypeBofBpolicyBlimitBfoundBinBliabilityBpoliciesBthatBlimitsBcoverageBtoBaBspecifi
edBtootalBamountBforBallBlossesBoccuringBwithinBtheBpolicyBperiod



AgreedBValueBConditionB-
BAnswerConditionBfoundBinBsomeBpropertyBinsuranceBpoliciesBthatBstipulatesBaBcertain
BvalueBthatBwillBmeetBtheBcoinsuranceBrequirement



AleatoryBContractB-
BAnswerABcontractBthatBisBcontingentBonBanBuncertainBeventB(loss);BanBinsuranceBpolic
yBisBanBaleatoryBcontract

, AlienBCompanyB-
BAnswerAnBinsuranceBcompanyBincorporatedBinBanyBotherBcountryBotherBthanBtheBUni
tedBStatesBthatBisBdoingBbusinessBinBtheBUnitedBStates



A.M.BBestBCompanyB-
BAnswerOrganizationBthatBratesBtheBfinancialBstabilityBofBinsuranceBcompaniesBdoingBb
usinessinBtheBUnitedBStates



AnnualBTransitBPolicyB-
BAnswerNonfiledBcommercialBinlandBmarineBtransportationBformBthatBinsuresBpropertyB
owner'sBincomingBorBoutgoingBshipmentsBofBgoodsBduringBaByear.



ApparentBauthorityB-
BAnswerLegalBdoctrineBthatBstatesBthatBanBagentBhasBwhateverBauthorityBaBreasonable
BpersonBwouldBassumeBsheBhas



applicationB-
BAnswerquestionaireBfilledBoutBbyBanBagentBandBtheBprospectBwhoBisBseekingBinsuranc
e;BtheBformBcontainsBinformationBusedBtoBunderwriteBandBrateBtheBpolicy



ApprasialBconditionB-
BAnswerpolicyBconditionBthatBoutlinesBaBprocedureBforBwhenBtheBinsuredBandBinsurerB
disagreeBonBtheBamountBofBaBloss;BeachBpartyBselectsBtheirBownBappraiser,BandBtheBt
woBappraisersBselelctBandBumpire



AppurenantBSturcturesB-
BAnswerBuildingsBofBlesserBvalueBthatBareBonBtheBsameBpremsisesBasBtheBmainBbulidi
ngBinsuredBunnderBaBpropertyBpolicy;BtheyBareBusuallyBcoveredBbyBtheBpolicy



ArbitrationBConditionB-
BAnswerPolicyBconditionBthatBisBsimilarBtoBtheBappraisalBcondition;BmayBbeBusedBtoBre
solveBotherBareasBofBdisagreementBbesidesBthoseBregardingBlossBofBvalue