NORTH CAROLINA PEARSON VUE ALL LINES
ADJUSTER FINAL ACTUAL REAL EXAM AND
PRACTICE QUESTIONS AND SOLUTIONS|
CURRENTLY TESTING VERSION | ALREADY
GRADED A+|EXPERT VERIFIED FOR
GUARANTEED PASS 2026-2027
A group policy issued to a newspaper or other publisher to cover its carriers is referred to as
which of the following types of policies?
D. Blanket Accident and Health
A claim for a pre-existing condition may NOT be denied after a Major Medical policy has
been in effect for a minimum of:
C. two years
The Insurance Commissioner may examine the records of an insurer at which of the
following times?
D. At any time the Insurance Commissioner sees fit
An insurance producer who makes false statements that harm the reputation of another
insurer is guilty of:
B. defamation
Each Long Term Care policy must state that the applicant has the right to return the policy
and have the premium refunded if the applicant is not satisfied for any reason within ten
days of the date that the:
A. policy was delivered to the applicant
1|Page
,Which of the following statements is prohibited in Accident and Health insurance
advertisements?
B. "This plan is accredited by an agency of the federal government."
Which of the following statements is CORRECT about Medicare Supplement coverage?
D. Duplication of Medicare benefits is specifically prohibited.
Which of the following situations is considered rebating?
B. A producer returns a portion of a commission to the insured.
An individual who, for the purpose of collecting premiums, acts for another in negotiating a
contract of insurance is considered to be:
C. a solicitor
Controlled business is defined as insurance a producer writes on all of the following
individuals EXCEPT the producer's:
C. neighbors
When taking an application for a Medicare Supplement policy, a producer must provide the
applicant with:
an Outline of Coverage
Any company that furnishes health care services to enrolled members in return for a fixed
sum or prepaid premium is defined as:
a health maintenance organization
An insurer doing business in this state must operate under:
a certificate of authority
Which of the following statements is CORRECT about health coverage for an insured's
newborn child?
2|Page
,It is provided without notice or additional payment for thirty-one days after birth.
An individual appointed by an insurer to solicit applications for a policy of insurance on its
behalf is known as:
an insurance producer
The Insurance Commissioner may revoke or suspend a producer's license if the producer:
has forged another person's name on an insurance application
Under a group health policy, an employee who has been covered under a company's group
health plan for six months and is terminated for cause MUST be permitted to:
B. convert to an individual policy without providing evidence of insurability
Credit Accident and Health insurance MUST provide coverage for a loss caused by:
disability
In order for nonresident applicants to be eligible for an insurance producer license in this
state, they MUST:
B. hold a like license in another state
Which of the following persons is authorized to enforce state insurance laws?
The Insurance Commissioner
An individual may obtain a temporary insurance producer's license without passing the
licensing examination if the individual:
is a deceased licensed producer's next of kin
Which of the following statements is CORRECT about insurance producers who fail to
satisfy the continuing education requirements?
D. Their licenses will be suspended.
A producer may be guilty of misrepresentation if the producer:
3|Page
, tells an insured the deductible on a policy is less than it actually is
The major difference between a mutual insurer and a stock insurer is the:
B. form of ownership permitted
An insurer formed under the laws of a state other than this state is known as:
a foreign company
Who is the chief officer responsible for enforcing insurance laws in North Carolina?
The Commissioner of Insurance.
What is the North Carolina Life & Health Insurance Guaranty Association (NCLHGA)?
An association that protects policyholders by paying claims if an insurance company
becomes insolvent.
What is a "domestic" insurance company in North Carolina?
An insurer formed and incorporated under North Carolina state law.
What is a "foreign" insurance company in North Carolina?
An insurer formed in another U.S. state but licensed to operate in North Carolina.
What is an "alien" insurance company?
An insurer formed outside of the United States.
What is "guaranteed issue" in North Carolina health insurance?
The insurer must offer coverage to any eligible applicant regardless of health status.
What is an HMO?
Health Maintenance Organization — requires members to use network providers and get
referrals for specialists.
What is a PPO?
4|Page
ADJUSTER FINAL ACTUAL REAL EXAM AND
PRACTICE QUESTIONS AND SOLUTIONS|
CURRENTLY TESTING VERSION | ALREADY
GRADED A+|EXPERT VERIFIED FOR
GUARANTEED PASS 2026-2027
A group policy issued to a newspaper or other publisher to cover its carriers is referred to as
which of the following types of policies?
D. Blanket Accident and Health
A claim for a pre-existing condition may NOT be denied after a Major Medical policy has
been in effect for a minimum of:
C. two years
The Insurance Commissioner may examine the records of an insurer at which of the
following times?
D. At any time the Insurance Commissioner sees fit
An insurance producer who makes false statements that harm the reputation of another
insurer is guilty of:
B. defamation
Each Long Term Care policy must state that the applicant has the right to return the policy
and have the premium refunded if the applicant is not satisfied for any reason within ten
days of the date that the:
A. policy was delivered to the applicant
1|Page
,Which of the following statements is prohibited in Accident and Health insurance
advertisements?
B. "This plan is accredited by an agency of the federal government."
Which of the following statements is CORRECT about Medicare Supplement coverage?
D. Duplication of Medicare benefits is specifically prohibited.
Which of the following situations is considered rebating?
B. A producer returns a portion of a commission to the insured.
An individual who, for the purpose of collecting premiums, acts for another in negotiating a
contract of insurance is considered to be:
C. a solicitor
Controlled business is defined as insurance a producer writes on all of the following
individuals EXCEPT the producer's:
C. neighbors
When taking an application for a Medicare Supplement policy, a producer must provide the
applicant with:
an Outline of Coverage
Any company that furnishes health care services to enrolled members in return for a fixed
sum or prepaid premium is defined as:
a health maintenance organization
An insurer doing business in this state must operate under:
a certificate of authority
Which of the following statements is CORRECT about health coverage for an insured's
newborn child?
2|Page
,It is provided without notice or additional payment for thirty-one days after birth.
An individual appointed by an insurer to solicit applications for a policy of insurance on its
behalf is known as:
an insurance producer
The Insurance Commissioner may revoke or suspend a producer's license if the producer:
has forged another person's name on an insurance application
Under a group health policy, an employee who has been covered under a company's group
health plan for six months and is terminated for cause MUST be permitted to:
B. convert to an individual policy without providing evidence of insurability
Credit Accident and Health insurance MUST provide coverage for a loss caused by:
disability
In order for nonresident applicants to be eligible for an insurance producer license in this
state, they MUST:
B. hold a like license in another state
Which of the following persons is authorized to enforce state insurance laws?
The Insurance Commissioner
An individual may obtain a temporary insurance producer's license without passing the
licensing examination if the individual:
is a deceased licensed producer's next of kin
Which of the following statements is CORRECT about insurance producers who fail to
satisfy the continuing education requirements?
D. Their licenses will be suspended.
A producer may be guilty of misrepresentation if the producer:
3|Page
, tells an insured the deductible on a policy is less than it actually is
The major difference between a mutual insurer and a stock insurer is the:
B. form of ownership permitted
An insurer formed under the laws of a state other than this state is known as:
a foreign company
Who is the chief officer responsible for enforcing insurance laws in North Carolina?
The Commissioner of Insurance.
What is the North Carolina Life & Health Insurance Guaranty Association (NCLHGA)?
An association that protects policyholders by paying claims if an insurance company
becomes insolvent.
What is a "domestic" insurance company in North Carolina?
An insurer formed and incorporated under North Carolina state law.
What is a "foreign" insurance company in North Carolina?
An insurer formed in another U.S. state but licensed to operate in North Carolina.
What is an "alien" insurance company?
An insurer formed outside of the United States.
What is "guaranteed issue" in North Carolina health insurance?
The insurer must offer coverage to any eligible applicant regardless of health status.
What is an HMO?
Health Maintenance Organization — requires members to use network providers and get
referrals for specialists.
What is a PPO?
4|Page
