STATE FARM
ESTIMATICS EXAM
Complete 2026/2027 Version
Official Practice Exam | 2026/2027 Edition
Verified Questions and Correct Answers | Graded A+
Questions 100 | Minutes 90 | Passing Score 80% | Recertification Required
TABLE OF CONTENTS
Section 1 Insurance Policy Fundamentals and Coverage Analysis Q1-Q20
Section 2 Property Damage Assessment and Inspection Q21-Q45
Section 3 Construction Materials, Methods, and Building Codes Q46-Q65
Section 4 Estimating Procedures and Software Q66-Q85
Section 5 Claim Handling and Professional Practices Q86-Q100
INSTRUCTIONS
This practice exam contains 100 multiple-choice questions divided into 5 sections. Each question
presents a realistic scenario followed by four answer choices. Select the best answer for each question.
You have 90 minutes to complete the exam. A score of 80% or higher (80 correct answers) is required to
pass. Review the rationale provided for each question to understand the reasoning behind the correct
answer.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 1 of 52
, SECTION 1: INSURANCE POLICY FUNDAMENTALS AND COVERAGE ANALYSIS
Q1 Question 1 of 100
A homeowner files a claim after a tree falls on their detached garage during a windstorm. The
policy is an HO-3 form with Coverage A at $350,000 and Coverage B limited to 10% of Coverage
A. The garage repair estimate is $28,000. The adjuster must determine the applicable coverage.
A) Coverage B applies because the detached garage is classified as an other structure, subject to its
own limit of $35,000
B) Coverage A applies because the garage is part of the dwelling definition under the HO-3 policy
C) Coverage C applies because the garage contents are personal property stored in an other structure
D) Coverage D applies because the garage damage causes a loss of use for storage purposes
Correct Answer: A
Rationale:
Under the HO-3 policy, a detached garage is classified as an other structure and falls under Coverage
B, which is typically limited to 10% of Coverage A. Coverage B at $35,000 covers the $28,000 repair.
Coverage A only applies to the dwelling itself, not detached structures.
Q2 Question 2 of 100
During a policy review, an insured asks why their HO-5 policy provides broader personal property
coverage than their neighbor's HO-3 policy. The agent explains the key difference in how personal
property perils are covered under each form.
A) The HO-5 covers personal property on a named-perils basis while the HO-3 uses open perils for
personal property
B) The HO-5 covers personal property on an open-perils basis while the HO-3 covers personal
property on a named-perils basis
C) Both forms cover personal property on the same open-perils basis but the HO-5 has higher default
limits
D) The HO-5 excludes theft of personal property while the HO-3 includes it as a named peril
Correct Answer: B
Rationale:
The HO-5 form provides open-perils coverage for personal property, meaning it covers any cause of
loss not specifically excluded. The HO-3 only covers personal property for named perils listed in the
policy. This is the primary coverage difference between the two forms.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 2 of 52
,Q3 Question 3 of 100
A condo owner sustains water damage to their kitchen cabinets from a burst pipe within their unit.
The HO-6 policy has a $1,500 deductible. The repair cost is $4,200. The adjuster needs to identify
which coverage section applies to the cabinetry under the standard HO-6 form.
A) Coverage A applies because kitchen cabinets are considered part of the building structure
B) Coverage B applies because cabinets are classified as other structures within the unit
C) Coverage A applies because under the HO-6 form, interior fixtures like cabinets installed by the unit
owner fall under building property coverage
D) Coverage C applies because kitchen cabinets are always classified as personal property regardless
of attachment
Correct Answer: C
Rationale:
Under the HO-6 condominium form, Coverage A (building property) applies to interior fixtures,
improvements, and betterments installed by the unit owner, including kitchen cabinets. Coverage C is
for personal property, which typically excludes fixtures permanently attached to the unit.
Q4 Question 4 of 100
An insured with an HO-8 policy for their older home suffers fire damage to the kitchen. The home's
actual cash value is $120,000, but the repair cost using modern materials is $45,000. The policy
has a $1,000 deductible. The adjuster must calculate the payable amount under this modified
coverage form.
A) $44,000 based on replacement cost minus the deductible since the HO-8 provides replacement
cost coverage
B) $45,000 because the HO-8 form always pays full repair costs regardless of policy limits
C) $35,000 based on a prorated share of the dwelling limit relative to the damage extent
D) $44,000 based on the lesser of actual cash value, repair cost, or policy limit, minus the deductible
Correct Answer: D
Rationale:
The HO-8 modified coverage form pays the lesser of the actual cash value, the cost to repair, or the
policy limit, minus the deductible. Since $45,000 is less than the ACV of $120,000 and presumably
within the policy limit, the payable amount is $45,000 minus $1,000, totaling $44,000. The HO-8 does
not default to replacement cost coverage.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 3 of 52
, Q5 Question 5 of 100
A policyholder reports that heavy rain entered their home through a wind-damaged section of roof,
causing interior water damage. The HO-3 policy has a wind and hail deductible of 2% of Coverage
A ($300,000). The total interior damage is $18,500. The adjuster must determine the correct
deductible application.
A) The 2% wind and hail deductible of $6,000 applies because the water entry resulted from wind
damage to the roof
B) The standard $1,000 deductible applies because the interior damage is water damage, not wind
damage
C) Both deductibles apply sequentially, totaling $7,000 in deductibles from the claim payment
D) No deductible applies because the water damage is considered a separate and distinct peril from
wind
Correct Answer: A
Rationale:
When wind creates an opening that allows water to enter, the resulting interior damage is considered
part of the wind claim. Therefore, the wind and hail deductible of 2% of Coverage A ($6,000) applies to
the entire claim. The standard deductible does not apply separately to the interior water damage.
Q6 Question 6 of 100
An insured discovers that their jewelry collection valued at $15,000 was stolen from their home.
The HO-3 policy has a $1,500 special limit for theft of jewelry under Coverage C. The insured asks
what options were available to properly insure the collection before the loss.
A) The insured should have increased Coverage C limits to cover the full jewelry value under the
standard policy
B) The insured should have purchased a personal articles floater or scheduled personal property
endorsement to cover the jewelry at its full appraised value
C) The insured should have added an inflation guard endorsement to automatically increase jewelry
limits annually
D) The insured should have purchased a separate HO-5 policy which removes the jewelry sublimit
entirely
Correct Answer: B
Rationale:
The standard HO-3 policy has a $1,500 sublimit for theft of jewelry regardless of the overall Coverage
C limit. To properly insure high-value jewelry, the insured needs a personal articles floater or
scheduled personal property endorsement, which provides coverage at the full appraised value on an
open-perils basis.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 4 of 52
ESTIMATICS EXAM
Complete 2026/2027 Version
Official Practice Exam | 2026/2027 Edition
Verified Questions and Correct Answers | Graded A+
Questions 100 | Minutes 90 | Passing Score 80% | Recertification Required
TABLE OF CONTENTS
Section 1 Insurance Policy Fundamentals and Coverage Analysis Q1-Q20
Section 2 Property Damage Assessment and Inspection Q21-Q45
Section 3 Construction Materials, Methods, and Building Codes Q46-Q65
Section 4 Estimating Procedures and Software Q66-Q85
Section 5 Claim Handling and Professional Practices Q86-Q100
INSTRUCTIONS
This practice exam contains 100 multiple-choice questions divided into 5 sections. Each question
presents a realistic scenario followed by four answer choices. Select the best answer for each question.
You have 90 minutes to complete the exam. A score of 80% or higher (80 correct answers) is required to
pass. Review the rationale provided for each question to understand the reasoning behind the correct
answer.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 1 of 52
, SECTION 1: INSURANCE POLICY FUNDAMENTALS AND COVERAGE ANALYSIS
Q1 Question 1 of 100
A homeowner files a claim after a tree falls on their detached garage during a windstorm. The
policy is an HO-3 form with Coverage A at $350,000 and Coverage B limited to 10% of Coverage
A. The garage repair estimate is $28,000. The adjuster must determine the applicable coverage.
A) Coverage B applies because the detached garage is classified as an other structure, subject to its
own limit of $35,000
B) Coverage A applies because the garage is part of the dwelling definition under the HO-3 policy
C) Coverage C applies because the garage contents are personal property stored in an other structure
D) Coverage D applies because the garage damage causes a loss of use for storage purposes
Correct Answer: A
Rationale:
Under the HO-3 policy, a detached garage is classified as an other structure and falls under Coverage
B, which is typically limited to 10% of Coverage A. Coverage B at $35,000 covers the $28,000 repair.
Coverage A only applies to the dwelling itself, not detached structures.
Q2 Question 2 of 100
During a policy review, an insured asks why their HO-5 policy provides broader personal property
coverage than their neighbor's HO-3 policy. The agent explains the key difference in how personal
property perils are covered under each form.
A) The HO-5 covers personal property on a named-perils basis while the HO-3 uses open perils for
personal property
B) The HO-5 covers personal property on an open-perils basis while the HO-3 covers personal
property on a named-perils basis
C) Both forms cover personal property on the same open-perils basis but the HO-5 has higher default
limits
D) The HO-5 excludes theft of personal property while the HO-3 includes it as a named peril
Correct Answer: B
Rationale:
The HO-5 form provides open-perils coverage for personal property, meaning it covers any cause of
loss not specifically excluded. The HO-3 only covers personal property for named perils listed in the
policy. This is the primary coverage difference between the two forms.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 2 of 52
,Q3 Question 3 of 100
A condo owner sustains water damage to their kitchen cabinets from a burst pipe within their unit.
The HO-6 policy has a $1,500 deductible. The repair cost is $4,200. The adjuster needs to identify
which coverage section applies to the cabinetry under the standard HO-6 form.
A) Coverage A applies because kitchen cabinets are considered part of the building structure
B) Coverage B applies because cabinets are classified as other structures within the unit
C) Coverage A applies because under the HO-6 form, interior fixtures like cabinets installed by the unit
owner fall under building property coverage
D) Coverage C applies because kitchen cabinets are always classified as personal property regardless
of attachment
Correct Answer: C
Rationale:
Under the HO-6 condominium form, Coverage A (building property) applies to interior fixtures,
improvements, and betterments installed by the unit owner, including kitchen cabinets. Coverage C is
for personal property, which typically excludes fixtures permanently attached to the unit.
Q4 Question 4 of 100
An insured with an HO-8 policy for their older home suffers fire damage to the kitchen. The home's
actual cash value is $120,000, but the repair cost using modern materials is $45,000. The policy
has a $1,000 deductible. The adjuster must calculate the payable amount under this modified
coverage form.
A) $44,000 based on replacement cost minus the deductible since the HO-8 provides replacement
cost coverage
B) $45,000 because the HO-8 form always pays full repair costs regardless of policy limits
C) $35,000 based on a prorated share of the dwelling limit relative to the damage extent
D) $44,000 based on the lesser of actual cash value, repair cost, or policy limit, minus the deductible
Correct Answer: D
Rationale:
The HO-8 modified coverage form pays the lesser of the actual cash value, the cost to repair, or the
policy limit, minus the deductible. Since $45,000 is less than the ACV of $120,000 and presumably
within the policy limit, the payable amount is $45,000 minus $1,000, totaling $44,000. The HO-8 does
not default to replacement cost coverage.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 3 of 52
, Q5 Question 5 of 100
A policyholder reports that heavy rain entered their home through a wind-damaged section of roof,
causing interior water damage. The HO-3 policy has a wind and hail deductible of 2% of Coverage
A ($300,000). The total interior damage is $18,500. The adjuster must determine the correct
deductible application.
A) The 2% wind and hail deductible of $6,000 applies because the water entry resulted from wind
damage to the roof
B) The standard $1,000 deductible applies because the interior damage is water damage, not wind
damage
C) Both deductibles apply sequentially, totaling $7,000 in deductibles from the claim payment
D) No deductible applies because the water damage is considered a separate and distinct peril from
wind
Correct Answer: A
Rationale:
When wind creates an opening that allows water to enter, the resulting interior damage is considered
part of the wind claim. Therefore, the wind and hail deductible of 2% of Coverage A ($6,000) applies to
the entire claim. The standard deductible does not apply separately to the interior water damage.
Q6 Question 6 of 100
An insured discovers that their jewelry collection valued at $15,000 was stolen from their home.
The HO-3 policy has a $1,500 special limit for theft of jewelry under Coverage C. The insured asks
what options were available to properly insure the collection before the loss.
A) The insured should have increased Coverage C limits to cover the full jewelry value under the
standard policy
B) The insured should have purchased a personal articles floater or scheduled personal property
endorsement to cover the jewelry at its full appraised value
C) The insured should have added an inflation guard endorsement to automatically increase jewelry
limits annually
D) The insured should have purchased a separate HO-5 policy which removes the jewelry sublimit
entirely
Correct Answer: B
Rationale:
The standard HO-3 policy has a $1,500 sublimit for theft of jewelry regardless of the overall Coverage
C limit. To properly insure high-value jewelry, the insured needs a personal articles floater or
scheduled personal property endorsement, which provides coverage at the full appraised value on an
open-perils basis.
State Farm Estimatics -- 2026/2027 | Passing Score: 80% | Page 4 of 52
