Accurate Real Exam 200 Questions and
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SECTION 1: LICENSING & REGULATORY AUTHORITY
Questions 1–40
Question 1
Who regulates private investigators in New York State?
A) NY State Police
B) Department of State, Division of Licensing Services
C) NY City Police Department
D) Attorney General's Office
Correct answer: B
Rationale: The New York State Department of State's Division of Licensing Services is the sole
authority responsible for issuing private investigator licenses and enforcing the provisions of
Article 7 of the General Business Law .
Question 2
Who has the power to enforce the provisions of the PI licensing law?
A) NY State Police Superintendent
B) Secretary of State
C) Attorney General
D) Local Police Chiefs
Correct answer: B
,Rationale: The Secretary of State has the statutory authority to enforce the provisions of the
private investigator licensing law .
Question 3
What type of crime is operating as a private investigator without a license?
A) Violation
B) Class A Misdemeanor
C) Class B Misdemeanor
D) Felony
Correct answer: C
Rationale: Operating as a private investigator without a license is classified as a Class B
Misdemeanor under NY law .
Question 4
A corporation's PI license can be revoked if what percentage or more of the corporate stock is
held by a person who cannot meet the character standard set for an individual PI license?
A) 5%
B) 10%
C) 15%
D) 25%
Correct answer: B
Rationale: If 10% or more of the corporate stock is held by a person who cannot meet the
character standard, the corporation's PI license may be revoked .
Question 5
Is a licensee obliged to supply their books or records to the State upon State request?
A) Yes
,B) No
C) Only with a subpoena
D) Only for criminal matters
Correct answer: A
Rationale: Licensees are required to supply their books and records to the State upon request
as part of regulatory compliance .
Question 6
What is the term of a PI license in New York?
A) 1 year
B) 2 years
C) 3 years
D) 5 years
Correct answer: B
Rationale: Private investigator licenses in New York are issued for a two-year term .
Question 7
What is the cost of an Individual PI license?
A) $200
B) $400
C) $500
D) $600
Correct answer: B
Rationale: The application and licensing fee for an individual private investigator license in New
York is $400 .
Question 8
, What is the cost of a Corporate PI license?
A) $400
B) $500
C) $600
D) $750
Correct answer: B
Rationale: A corporate private investigator license costs $500 .
Question 9
Is a PI required to be bonded in New York?
A) Yes
B) No
C) Only for certain investigations
D) Only if employing others
Correct answer: A
Rationale: New York law mandates that all licensed private investigators maintain a surety bond
.
Question 10
Is a PI required to carry liability insurance?
A) Yes
B) No
C) Only if employing more than 5 people
D) Only for surveillance work
Correct answer: B
Rationale: Unlike the surety bond requirement, New York does NOT mandate that private
investigators carry general liability insurance .