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North Carolina Property & Casualty Insurance — Requirements & Free Practice

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Licenses, application pathways and examination requirements

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Casualty Agent

Individual producer licence for casualty authority. Brokering is a capacity of the producer, not a separately issued broker licence after July 7, 2022.

Licensing authority: North Carolina Department of Insurance · Application information

Resident ce reinstatement after four months
North Carolina Casualty Agent Insurance Examination
Obsolete Prelicensing Instruction
The CE webpage still says applicants must complete pre-licensing and pass the state exam. Its pre-licensing demand is superseded by G.S. 58-33-30(d) and the October 9, 2025 repeal memorandum.
Timing
Failure to satisfy CE reinstatement requirements within four months requires passing the appropriate licensing examination.
Resident ce reinstatement within four months
No examination is required for this applicant pathway.
Timing
Complete deficient CE and pay the $75 administrative reinstatement fee within four months after the prior compliance year ends.

Official no-examination sources

Effective from 2026-09-22.

Disciplinary continuance or renewal
North Carolina Casualty Agent Insurance Examination
Discretion
After a finding that the licensee violated Chapter 58, the Commissioner may require the written licensing examination as a condition of continuance or renewal. Failure results in revocation; no licence is issued until the individual passes.
Nonresident license continuance
No examination is required for this applicant pathway.
Continuing Education
Home-state CE satisfies North Carolina CE on a reciprocal basis.
Good Standing
Maintain home-state licence in good standing; North Carolina recertifies nonresident producer status through home-state status review.

Official no-examination sources

Effective from 2026-09-22.

Nonresident reciprocity
No examination is required for this applicant pathway.
Application
Submit the prescribed request, applicable fees and the home-state application or a completed Uniform Application.
Home State License
Hold a resident license in good standing for the requested authority in a home state that grants reciprocal nonresident licenses.
Other Examinations
Examinations required for a license in another jurisdiction are applicant background conditions, not North Carolina examination requirements.

Official no-examination sources

Effective from 2026-09-22.

Nonresident reinstatement after home license restoration
No examination is required for this applicant pathway.
Eligibility
Remain otherwise entitled to reciprocal licensure.
Timing
The North Carolina licence lapses 30 days after loss of home-state good standing; within 30 days after lapse provide satisfactory proof that the home-state licence was reinstated or reissued.

Official no-examination sources

Effective from 2026-09-22.

Nonresident reinstatement after relocation
No examination is required for this applicant pathway.
Eligibility
Remain otherwise entitled to reciprocal licensure; if these restoration conditions fail, submit a new application.
Relocation
Obtain a new home-state licence after relocating and file a change of address with the Commissioner within 60 days after issuance of the new home-state licence.

Official no-examination sources

Effective from 2026-09-22.

Resident continuing licensure
No examination is required for this applicant pathway.
Continuing Education
Complete the biennial 24-hour CE requirement, including required ethics and flood education, subject to the Board rule’s stated exemptions and extensions.
Retired Or Disability Exemption
Military deployment or annually physician-certified long-term disability may support a CE waiver for up to one year. An exemption granted before October 1, 2010 continues only with age 65 or older, 25 years continuously licensed, and either a specified professional designation or annual certification of inactive agency practice under 11 NCAC 06A .0802(j). These are conditions of the existing licence.

Official no-examination sources

Effective from 2026-09-22.

Resident initial examination
North Carolina Casualty Agent Insurance Examination
Application
Submit the Uniform Application through NIPR, pay applicable fees, and make truthful disclosures; the Department must find no disqualifying act under G.S. 58-33-46.
Appointment
An insurer appointment is required before placing its policies, except where statute expressly provides otherwise.
Fingerprints
Resident applicants furnish electronic fingerprints and required releases and criminal-history fee under 11 NCAC 06A .0418; the application is incomplete until the criminal-history information is received.
Minimum Age
At least 18 years of age.
Prelicensing Education
G.S. 58-33-30(d) and the October 9, 2025 NCDOI memorandum remove mandatory prelicensing instruction for producer applications submitted on or after October 1, 2025.
Resident relicensure after surrender or termination
North Carolina Casualty Agent Insurance Examination
Application
Submit the Uniform Application through NIPR, pay applicable fees, and make truthful disclosures; the Department must find no disqualifying act under G.S. 58-33-46.
Education
G.S. 58-33-30(d) and the October 9, 2025 NCDOI memorandum remove mandatory prelicensing instruction for producer applications submitted on or after October 1, 2025.
Fingerprints
Resident applicants furnish electronic fingerprints and required releases and criminal-history fee under 11 NCAC 06A .0418; the application is incomplete until the criminal-history information is received.
Prior License
After surrender or termination and expiration of eligibility for an examination waiver, meet the legal requirements for previously unlicensed applicants.
Resident reinstatement without examination
No examination is required for this applicant pathway.
Application
Submit reinstatement request and applicable fees; meet all remaining licensing qualifications.
Lapse
License lapsed for less than one year.
Status
For Property, Casualty and Personal Lines, the licence must have a status other than Inactive or Expired; CE expiry is handled by the separate CE reinstatement routes.

Official no-examination sources

Effective from 2026-09-22.

Resident licensure by prior credentials
No examination is required for this applicant pathway.
Application
Submit resident application, fees and required electronic fingerprints.
Implementation Timing
The October 2025 handbook says to cancel the former home-state license within 90 days of the application and treats an older cancellation as requiring the appropriate North Carolina examination; its narrower instruction is recorded for applicants alongside G.S. 58-33-32(g).
Prior License Evidence
Currently licensed; or apply within 90 days after cancellation with certification of good standing at cancellation; or the NAIC producer database indicates the applicant is or was licensed in good standing.
Residency Timing
A producer moving to North Carolina must apply within 90 days after establishing legal residence.
Same Lines
Previously licensed in the home state for the same lines of authority requested.

Official no-examination sources

Effective from 2026-09-22.

Resident reissuance after revocation
North Carolina Casualty Agent Insurance Examination
Prior Revocation
No individual whose licence was revoked is issued another licence without complying with all Article 33 requirements; satisfy the Department that the ground for disqualification has been resolved.
Waivers
A separately established statutory examination exemption applies only if its applicant conditions are met.

Personal Lines Agent

Individual producer licence for personal lines authority. Brokering is a capacity of the producer, not a separately issued broker licence after July 7, 2022.

Licensing authority: North Carolina Department of Insurance · Application information

Resident ce reinstatement after four months
North Carolina Personal Lines Agent Examination
Obsolete Prelicensing Instruction
The CE webpage still says applicants must complete pre-licensing and pass the state exam. Its pre-licensing demand is superseded by G.S. 58-33-30(d) and the October 9, 2025 repeal memorandum.
Timing
Failure to satisfy CE reinstatement requirements within four months requires passing the appropriate licensing examination.
Resident ce reinstatement within four months
No examination is required for this applicant pathway.
Timing
Complete deficient CE and pay the $75 administrative reinstatement fee within four months after the prior compliance year ends.

Official no-examination sources

Effective from 2026-09-22.

Disciplinary continuance or renewal
North Carolina Personal Lines Agent Examination
Discretion
After a finding that the licensee violated Chapter 58, the Commissioner may require the written licensing examination as a condition of continuance or renewal. Failure results in revocation; no licence is issued until the individual passes.
Nonresident license continuance
No examination is required for this applicant pathway.
Continuing Education
Home-state CE satisfies North Carolina CE on a reciprocal basis.
Good Standing
Maintain home-state licence in good standing; North Carolina recertifies nonresident producer status through home-state status review.

Official no-examination sources

Effective from 2026-09-22.

Nonresident reciprocity
No examination is required for this applicant pathway.
Application
Submit the prescribed request, applicable fees and the home-state application or a completed Uniform Application.
Home State License
Hold a resident license in good standing for the requested authority in a home state that grants reciprocal nonresident licenses.
Other Examinations
Examinations required for a license in another jurisdiction are applicant background conditions, not North Carolina examination requirements.

Official no-examination sources

Effective from 2026-09-22.

Nonresident reinstatement after home license restoration
No examination is required for this applicant pathway.
Eligibility
Remain otherwise entitled to reciprocal licensure.
Timing
The North Carolina licence lapses 30 days after loss of home-state good standing; within 30 days after lapse provide satisfactory proof that the home-state licence was reinstated or reissued.

Official no-examination sources

Effective from 2026-09-22.

Nonresident reinstatement after relocation
No examination is required for this applicant pathway.
Eligibility
Remain otherwise entitled to reciprocal licensure; if these restoration conditions fail, submit a new application.
Relocation
Obtain a new home-state licence after relocating and file a change of address with the Commissioner within 60 days after issuance of the new home-state licence.

Official no-examination sources

Effective from 2026-09-22.

Resident continuing licensure
No examination is required for this applicant pathway.
Continuing Education
Complete the biennial 24-hour CE requirement, including required ethics and flood education, subject to the Board rule’s stated exemptions and extensions.
Retired Or Disability Exemption
Military deployment or annually physician-certified long-term disability may support a CE waiver for up to one year. An exemption granted before October 1, 2010 continues only with age 65 or older, 25 years continuously licensed, and either a specified professional designation or annual certification of inactive agency practice under 11 NCAC 06A .0802(j). These are conditions of the existing licence.

Official no-examination sources

Effective from 2026-09-22.

Resident initial examination
North Carolina Personal Lines Agent Examination
Application
Submit the Uniform Application through NIPR, pay applicable fees, and make truthful disclosures; the Department must find no disqualifying act under G.S. 58-33-46.
Appointment
An insurer appointment is required before placing its policies, except where statute expressly provides otherwise.
Coverage
Noncommercial property and casualty coverage for individuals and families; this is its own published Personal Lines Agent examination.
Fingerprints
Resident applicants furnish electronic fingerprints and required releases and criminal-history fee under 11 NCAC 06A .0418; the application is incomplete until the criminal-history information is received.
Minimum Age
At least 18 years of age.
Prelicensing Education
G.S. 58-33-30(d) and the October 9, 2025 NCDOI memorandum remove mandatory prelicensing instruction for producer applications submitted on or after October 1, 2025.
Resident relicensure after surrender or termination
North Carolina Personal Lines Agent Examination
Application
Submit the Uniform Application through NIPR, pay applicable fees, and make truthful disclosures; the Department must find no disqualifying act under G.S. 58-33-46.
Education
G.S. 58-33-30(d) and the October 9, 2025 NCDOI memorandum remove mandatory prelicensing instruction for producer applications submitted on or after October 1, 2025.
Fingerprints
Resident applicants furnish electronic fingerprints and required releases and criminal-history fee under 11 NCAC 06A .0418; the application is incomplete until the criminal-history information is received.
Prior License
After surrender or termination and expiration of eligibility for an examination waiver, meet the legal requirements for previously unlicensed applicants.
Resident reinstatement without examination
No examination is required for this applicant pathway.
Application
Submit reinstatement request and applicable fees; meet all remaining licensing qualifications.
Lapse
License lapsed for less than one year.
Status
For Property, Casualty and Personal Lines, the licence must have a status other than Inactive or Expired; CE expiry is handled by the separate CE reinstatement routes.

Official no-examination sources

Effective from 2026-09-22.

Resident licensure by prior credentials
No examination is required for this applicant pathway.
Application
Submit resident application, fees and required electronic fingerprints.
Implementation Timing
The October 2025 handbook says to cancel the former home-state license within 90 days of the application and treats an older cancellation as requiring the appropriate North Carolina examination; its narrower instruction is recorded for applicants alongside G.S. 58-33-32(g).
Prior License Evidence
Currently licensed; or apply within 90 days after cancellation with certification of good standing at cancellation; or the NAIC producer database indicates the applicant is or was licensed in good standing.
Residency Timing
A producer moving to North Carolina must apply within 90 days after establishing legal residence.
Same Lines
Previously licensed in the home state for the same lines of authority requested.

Official no-examination sources

Effective from 2026-09-22.

Resident reissuance after revocation
North Carolina Personal Lines Agent Examination
Prior Revocation
No individual whose licence was revoked is issued another licence without complying with all Article 33 requirements; satisfy the Department that the ground for disqualification has been resolved.
Waivers
A separately established statutory examination exemption applies only if its applicant conditions are met.

North Carolina Casualty Agent Insurance Examination

Examination outline
  • I. TERMS AND CONCEPTS
    • A. Risk
    • B. Hazard
    • C. Peril
    • D. Economic Loss
    • E. Indemnity
    • F. Deductible
    • G. Misrepresentation, breach of warranty, concealment
    • H. Negligence, liability, and supplementary payments
    • I. Bodily injury, property damage, personal injury
    • J. Accident/Occurrence
    • K. Deposit premium/audit
    • L. Liability limits: single, split, aggregate
    • M. Certificate of insurance
    • N. Binder
    • O. Endorsement
    • P. Liberalization clause
    • Q. First named insured
    • R. Monoline vs. package policies
    • S. Major classes of policy provisions
    • S. Major classes of policy provisions / 1. Declarations
    • S. Major classes of policy provisions / 2. Definitions
    • S. Major classes of policy provisions / 3. Insuring agreements
    • S. Major classes of policy provisions / 4. Exclusions/Waiver
    • S. Major classes of policy provisions / 5. Conditions
    • T. Insurance
    • U. Application
    • V. Subrogation
    • W. Adhesion
    • X. Unilateral
    • Y. Consent to Rate
  • II. PERSONAL INSURANCE COVERAGES
    • A. Personal Auto Policy (North Carolina Rate Bureau Form)
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 1. General nature and eligibility
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 2. Definitions
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 2. Definitions / a. Named insured
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 2. Definitions / b. An insured
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 2. Definitions / c. Covered automobile
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 2. Definitions / c. Covered automobile / (1) Non-owned
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 2. Definitions / c. Covered automobile / (2) Temporary substitute
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.)
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / a. Liability
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / b. Medical payments
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / c. Uninsured motorists/underinsured motorists
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / d. Damage to your auto (physical damage)
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / e. Insured’s duties
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / f. General provisions
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / g. Cancelation provision
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / g. Cancelation provision / 1) Pro rata
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 3. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions and other items of the coverage listed below.) / g. Cancelation provision / 2) Short rate
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 4. Other coverages available
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 4. Other coverages available / a. Towing and labor Ref: NC 03 03
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 4. Other coverages available / b. Extended transportation expenses Ref: NC 03 02
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 4. Other coverages available / c. Extended non-owned coverage Ref: NC 03 06
    • A. Personal Auto Policy (North Carolina Rate Bureau Form) / 4. Other coverages available / d. Coverage for Damage to Your Auto Ref: NC 03 15
    • B. Personal umbrella liability
    • B. Personal umbrella liability / 1. General nature
    • B. Personal umbrella liability / 2. Underlying coverages
    • B. Personal umbrella liability / 3. Self-Insured retention
    • C. Watercraft/yacht
    • C. Watercraft/yacht / 1. Liability (protection and indemnity) coverage
    • C. Watercraft/yacht / 2. Hull coverage
  • III. COMMERCIAL INSURANCE COVERAGES
    • A. General liability insurance
    • A. General liability insurance / 1. Basic hazards
    • A. General liability insurance / 1. Basic hazards / a. Premises and operations
    • A. General liability insurance / 1. Basic hazards / b. Products and completed operations
    • A. General liability insurance / 2. Commercial general liability forms
    • A. General liability insurance / 2. Commercial general liability forms / a. Common policy conditions
    • A. General liability insurance / 2. Commercial general liability forms / b. Coverage A: bodily injury and property damage liability
    • A. General liability insurance / 2. Commercial general liability forms / b. Coverage A: bodily injury and property damage liability / (1) Occurrence
    • A. General liability insurance / 2. Commercial general liability forms / b. Coverage A: bodily injury and property damage liability / (2) Claims made
    • A. General liability insurance / 2. Commercial general liability forms / c. Coverage B: personal injury and advertising injury
    • A. General liability insurance / 2. Commercial general liability forms / d. Coverage C: medical payments
    • A. General liability insurance / 2. Commercial general liability forms / e. Supplementary payments
    • A. General liability insurance / 2. Commercial general liability forms / f. Who is an insured?
    • A. General liability insurance / 2. Commercial general liability forms / g. Limits
    • A. General liability insurance / 2. Commercial general liability forms / h. Definitions
    • B. Commercial automobile insurance
    • B. Commercial automobile insurance / 1. Business auto coverage form
    • B. Commercial automobile insurance / 1. Business auto coverage form / a. Types of autos
    • B. Commercial automobile insurance / 1. Business auto coverage form / a. Types of autos / (1) Owned
    • B. Commercial automobile insurance / 1. Business auto coverage form / a. Types of autos / (2) Hired
    • B. Commercial automobile insurance / 1. Business auto coverage form / a. Types of autos / (3) Non-owned
    • B. Commercial automobile insurance / 1. Business auto coverage form / b. Standard coverages
    • B. Commercial automobile insurance / 1. Business auto coverage form / b. Standard coverages / (1) Liability
    • B. Commercial automobile insurance / 1. Business auto coverage form / b. Standard coverages / (2) Physical damage
    • B. Commercial automobile insurance / 1. Business auto coverage form / b. Standard coverages / (3) Medical payments
    • B. Commercial automobile insurance / 1. Business auto coverage form / b. Standard coverages / (4) Uninsured motorists/underinsured motorists
    • B. Commercial automobile insurance / 2. Garage liability coverage form and garage- keepers insurance (The candidate needs to understand to general needs of Garage liability.)
    • C. Workers’ Compensation and Employers Liability insurance
    • C. Workers’ Compensation and Employers Liability insurance / 1. Basic coverages provided
    • C. Workers’ Compensation and Employers Liability insurance / 1. Basic coverages provided / a. Insuring agreements
    • C. Workers’ Compensation and Employers Liability insurance / 1. Basic coverages provided / b. Limitations and exclusions
    • C. Workers’ Compensation and Employers Liability insurance / 2. Other states insurance
    • C. Workers’ Compensation and Employers Liability insurance / 3. Insured’s duties if injury occurs
    • C. Workers’ Compensation and Employers Liability insurance / 4. Premium determination
    • C. Workers’ Compensation and Employers Liability insurance / 4. Assigned risk plan
    • C. Workers’ Compensation and Employers Liability insurance / 5. Definitions-Disabilities
    • C. Workers’ Compensation and Employers Liability insurance / 5. Definitions-Disabilities / a. total permanent
    • C. Workers’ Compensation and Employers Liability insurance / 5. Definitions-Disabilities / b. temporary total
    • C. Workers’ Compensation and Employers Liability insurance / 5. Definitions-Disabilities / c. temporary partial
    • C. Workers’ Compensation and Employers Liability insurance / 5. Definitions-Disabilities / d. permanent partial
    • D. Other coverages
    • D. Other coverages / 1. Surety bonds
    • D. Other coverages / 1. Surety bonds / a. Parties to the contract of surety
    • D. Other coverages / 1. Surety bonds / b. Promise of the surety
    • D. Other coverages / 1. Surety bonds / c. Types of surety bonds
    • D. Other coverages / 2. Fidelity Bonds
    • D. Other coverages / 2. Fidelity Bonds / a. Parties
    • D. Other coverages / 2. Fidelity Bonds / b. Types
    • D. Other coverages / 2. Fidelity Bonds / b. Types / (1) Individual Bond
    • D. Other coverages / 2. Fidelity Bonds / b. Types / (2) Name Schedule Bond
    • D. Other coverages / 2. Fidelity Bonds / b. Types / (3) Position Schedule Bond
    • D. Other coverages / 2. Fidelity Bonds / b. Types / (4) Commercial Blanket Bond
    • D. Other coverages / 2. Fidelity Bonds / b. Types / (5) Blanket Position Bond
    • D. Other coverages / 3. Commercial umbrella liability
    • D. Other coverages / 3. Commercial umbrella liability / a. General nature
    • D. Other coverages / 3. Commercial umbrella liability / b. Underlying coverages
    • D. Other coverages / 3. Commercial umbrella liability / c. Self-insured retention
    • E. Crime coverage forms
    • E. Crime coverage forms / 1. Loss Sustained vs. Discovery Form
    • E. Crime coverage forms / 2. Employee Theft
    • E. Crime coverage forms / 3. Forgery or Alteration
    • E. Crime coverage forms / 4. Computer and Funds Transfer Fraud
    • E. Crime coverage forms / 5. Major crime definitions
    • E. Crime coverage forms / 5. Major crime definitions / a. Employee dishonesty
    • E. Crime coverage forms / 5. Major crime definitions / b. Burglary
    • E. Crime coverage forms / 5. Major crime definitions / c. Safe Burglary
    • E. Crime coverage forms / 5. Major crime definitions / d. Robbery
    • E. Crime coverage forms / 5. Major crime definitions / e. Theft
    • F. Package policies
    • F. Package policies / 1. Commercial package policy
    • F. Package policies / 1. Commercial package policy / a. General nature
    • F. Package policies / 1. Commercial package policy / b. Eligibility for package modification
    • F. Package policies / 2. Businessowner’s policy
    • F. Package policies / 2. Businessowner’s policy / a. General nature
    • F. Package policies / 2. Businessowner’s policy / b. Standard and special coverage forms
    • F. Package policies / 2. Businessowner’s policy / c. Optional section I coverages
    • F. Package policies / 2. Businessowner’s policy / d. Liability coverage
  • IV. NORTH CAROLINA STATUTES AND REGULATIONS PERTINENT TO CASUALTY INSURANCE
    • A. Contract of Insurance Ref: Article 1 (G.S. 58-1-10)
    • B. Commissioner of Insurance Ref: Article 2 (G.S. 58-2-5, 40, 50, 60, 65, 69, 70, 75, 155, 160, 161, 162, 163, 180, 185, 195, 200); 11 NCAC, Chapter 19, Section .0103
    • C. General Regulations for Insurance Ref: Article 3 (G.S. 58-3-10, 25, 30, 40, 115, 120, 130, 145)
    • D. Licensing of Agents, Limited Representatives and Adjusters Ref: Article 33 (G.S. 58-33-1, 5, 10, 15, 17, 20, 26, 30, 31, 32, 40, 46, 50, 56, 60, 66, 75, 80, 82, 83, 85, 90, 95, 100, 105, 110, 120, 125, 130, 132, 135); 11 NCAC, Chapter 4, Section .0423
    • E. Insurance Information & Privacy Protection Act Ref: Article 39 (G.S. 58-39-5 through 58-39-120)
    • F. Unauthorized Insurers Ref: Article 28
    • G. Unfair Trade Practices Ref: Article 63 (G.S. 58-63-15, 20, 50)
    • H. False Pretenses and Cheats Ref: Article 19 (G.S. 14-100)
    • I. Continuing Education Ref: 11NCAC, Chapter 6A, Section .0800
    • J. North Carolina Rate Bureau Ref: Article 36 (G.S. 58-36-1, 15, 20, 25, 30, 45, 55, 65, 75)
    • K. North Carolina Motor Vehicle Reinsurance Facility Ref: Article 37 (G.S. 58-37-1,5, 25, 30, 35, 50, 55, 60)
    • L. Post Assessment Insurance Guaranty Association Ref: Article 48 (G.S. 58-48-5, 10, 25, 35)
    • M. Motor Vehicle Liability Policy Defined Ref: (G.S. 20-279.21); 11 NCAC, Chap. 4, Section .0415
    • N. Cancellation or Nonrenewal of Motor Vehicle Policy Ref: (G.S. 20-310)
    • O. Workers’ Compensation Law Ref: Condensed from Chapter 97, General Statutes of North Carolina and produced as a bulletin titled “Information about the North Carolina Workers’ Compensation Act,” published annually by the North Carolina Industrial Commission.
    • P. Consumer Division Ref: II NCAC, Chapter 4, Subsections .0120, .0121, .0122, .0415, .0423, .0429
Examination sources

North Carolina Personal Lines Agent Examination

Provider
Pearson VUE
Format
Four-option multiple-choice; general and state-specific content scored together
Exam questions
80 scored questions; up to 16 additional unscored pretest questions
Time limit
1 hour, 45 minutes
Passing score
Scaled score of 70 on the 0–100 reporting scale
Exam fee
$45.00 per examination attempt
Examination outline
  • I. TERMS AND CONCEPTS .............................................. 11
    • A. Risk
    • B. Hazard
    • C. Peril
    • D. Economic Loss
    • E. Indemnity
    • F. Insurable Interest
    • G. Deductible
    • H. Direct loss vs. Indirect loss (loss of use)
    • I. Named peril vs. Open peril
    • J. Specific vs. blanket coverage
    • K. Property loss valuation
    • K.1. Actual Cash Value
    • K.2. Replacement cost
    • K.3. Functional replacement cost
    • K.4. Salvage value
    • L. Mortgagee/loss payee
    • M. Misrepresentation, breach of warranty, concealment
    • N. Negligence, liability, and supplementary payments
    • O. Bodily injury, property damage, personal injury
    • P. Accident/Occurrence
    • Q. Liability Limits: single and split
    • R. Certificate of Insurance
    • S. Binder
    • T. Endorsement
    • U. Liberalization clause
    • V. Major classes of policy provisions
    • V.1. Declarations
    • V.2. Definitions
    • V.3. Insuring agreements
    • V.4. Exclusions/Waiver
    • V.5. Conditions
    • W. Insurance
    • X. Application
    • Y. Subrogation
    • Z. Adhesion
    • AA. Consent to Rate
  • II. PERSONAL INSURANCE COVERAGES...................... 30
    • A. Standard Fire Policy ............................................... 5
    • A.1. Perils and losses covered and excluded
    • A.2. Inception/expiration
    • A.3. Limitations on amount payable
    • A.3.a. Policy limit
    • A.3.b. Actual Cash Value
    • A.3.c. Cost to repair or replace
    • A.3.d. Pro rata liability
    • A.3.e. Interest of the insured
    • A.4. Insurer’s options in the loss settlement
    • A.5. Concealment, misrepresentations, fraud
    • A.6. Requirements in the event of loss
    • A.7. Appraisal
    • A.8. Subrogation
    • A.9. Suit against the company
    • A.10. Abandonment
    • A.11. Waiver
    • B. Basic (DP-1), Broad (DP-2), and Special (DP-3) dwelling property forms ......................................... 4 (The candidate should be able to compare the major features of these forms.)
    • B.1. General nature and eligibility
    • B.2. Coverage items and other coverages
    • B.3. Property excluded
    • B.4. Perils covered and excluded
    • B.5. Other conditions and provisions (e.g., loss settlement subrogation)
    • B.6. Personal Liability and Theft Coverages
    • C. Homeowner’s policies (including amendatory endorsements) ........................................................ 15 Ref: This section is based on the North Carolina Rate Bureau Forms as adapted from the HO-2011 program of the Insurance Services Offices.
    • C.1. Eligibility and forms available
    • C.2. Definitions
    • C.3. Section I (The candidate should be able to analyze and compare the several Homeowners policies with respect to the following items.)
    • C.3.a. Coverage items and additional coverages
    • C.3.b. Property limited or excluded
    • C.3.c. Perils covered and excluded
    • C.3.d. Relationship among amounts of insurance
    • C.3.e. Loss settlement
    • C.3.f. Other conditions
    • C.4. Section II
    • C.4.a. Liability insuring agreement and exclusions
    • C.4.b. Medical payments insuring agreement and exclusions
    • C.4.c. Additional coverages
    • C.4.d. Section II conditions
    • C.5. Conditions applicable to Sections I and II
    • C.6. Frequently Used Homeowner endorsements
    • C.6.a. Scheduled personal property (personal articles floater) Ref: HO-04-61
    • C.6.b. Personal injury Ref: HO-32-82
    • C.6.c. Personal property replacement cost Ref: HO-04-90
    • C.6.d. Permitted incidental occupancies Ref: HO-04-42
    • C.6.e. Watercraft Ref: HO-24-75
    • C.6.f. Water Back Up and Sump Discharge or Overflow Ref: HO-04-84
    • C.6.g. Refrigerated property coverage Ref: HO-04-98
    • C.7. North Carolina amendatory endorsements (mandatory)
    • C.7.a. Special provisions HO-32-32
    • C.7.b. Home day care business liability exclusions and limited property coverage HO-32-96
    • D. Other personal policies .......................................... 1
    • D.1. Mobile Homeowners Policy
    • E. Flood Insurance ...................................................... 3 (The candidate is not responsible for differences in the Flood Program’s treatment of personal exposures and commercial exposures.)
    • E.1. National Flood Insurance Program
    • E.1.a. Background and purpose
    • E.1.k. Programs
    • E.1.k.4) Emergency
    • E.1.k.5) Regular
    • E.1.k.6) Who needs flood insurance
    • E.1.l. Flood maps and zone determinations
    • E.1.m. Policies available
    • E.1.n. Definitions
    • E.1.o. General rules
    • E.1.p. Rating
    • E.1.q. Claims handling process
    • E.1.r. Write your own company
    • E.3. Excess flood insurance
    • E.4. Private flood insurance
    • F. Watercraft/yacht ...................................................... 1
    • F.1. Hull coverage
    • F.2. Liability (protection and indemnity) coverage
    • G. Personal umbrella liability ..................................... 1
    • G.1. General nature
    • G.2. Underlying coverages
    • G.3. Self-Insured retention
  • III. PERSONAL AUTO POLICY (NORTH CAROLINA RATE BUREAU FORM) ................................................. 15
    • A. General nature and eligibility
    • B. Definitions
    • B.1. Named insured
    • B.2. An insured
    • B.3. Covered automobile
    • B.3.a. Non-owned
    • B.3.b. Temporary substitute
    • C. Standard coverages, parts A through D (The candidate should have knowledge of the insuring agreement, exclusions, and other items of the coverage listed below.)
    • C.1. Liability
    • C.2. Medical payments
    • C.3. Uninsured motorists/underinsured motorists
    • C.4. Damage to your auto (physical damage)
    • C.5. Insured’s duties
    • C.6. General provisions
    • D. Other coverages available
    • D.1. Towing and labor Ref: NC 03 03
    • D.2. Extended transportation expenses Ref: NC 03 02
    • D.3. Extended non-owned coverage Ref: NC 03 06
    • D.4. Coverage for Damage to Your Auto Ref: NC 03 15
  • IV. NORTH CAROLINA STATUTES AND REGULATIONS PERTINENT TO PERSONAL LINES ............................. 24
    • A. Contract of Insurance Ref: Article 1 (G.S. 58-1-10)
    • B. Commissioner of Insurance Ref: Article 2 (G.S. 58-2-5, 40, 50, 60, 65, 69, 70, 75, 155, 160, 161, 162, 163, 180, 185, 195, 200); 11 NCAC, Chapter 19, Section .0103
    • C. General Regulations for Insurance Ref: Article 3 (G.S. 58-3-10, 15, 25, 40, 115, 120, 130, 135, 140, 145)
    • D. Licensing of Agents, Limited Representatives, and Adjusters Ref: Article 33 (G.S. 58-33-1, 5, 10, 17, 20, 26, 31, 32, 40, 46, 50, 56, 60, 66, 70, 75, 76, 80, 82, 83, 85, 95, 100, 105, 110, 115, 120, 125, 130, 132, 135); 11 NCAC, Chapter 4, Section .0423
    • E. Insurance Information & Privacy Protection Act Ref: Article 39 (G.S. 58-39-5 through 58-39-120)
    • F. Regulation of Credit Insurance Ref: Article 57 (G.S. 58-57-65)
    • G. Unfair Trade Practices Ref: Article 63 (G.S. 58-63-15, 20, 50)
    • H. False Pretenses and Cheats Ref: Article 19 (G.S. 14-100)
    • I. Continuing Education Ref: 11NCAC, Chapter 6A, Section .0800; 11 NCAC, Chapter 4, Section .0423
    • J. North Carolina Rate Bureau Ref: Article 36 (G.S. 58-36-1, 15, 20, 25, 30, 45, 55, 65, 75, 80)
    • K. North Carolina Motor Vehicle Reinsurance Facility Ref: Article 37 (G.S. 58-37-1,5, 25, 30, 35, 50, 55, 60)
    • L. General Regulations of Business Ref: Article 43 (G.S. 58-43-5, 10)
    • M. Fire Insurance Policies Ref: Article 44 (G.S. 58-44-1, 5, 30)
    • N. Essential Property Insurance for Beach Area Property Ref: Article 45 (G.S. 58-45-1, 5, 10, 15, 35)
    • O. Fair Access to Insurance Requirements Ref: Article 46 (G.S. 58-46-1, 5, 10, 15)
    • P. Post Assessment Insurance Guaranty Association Ref: Article 48 (G.S. 58-48-5, 10, 25, 35)
    • Q. Motor Vehicle Liability Policy Defined Ref: (G.S. 20-279.21); 11 NCAC, Chap. 4, Section .0415
    • R. Cancellation or Nonrenewal of Motor Vehicle Policy Ref: (G.S. 20-310)
    • S. Consumer Division Ref: II NCAC, Chapter 4, Subsections .0120, .0121, .0122, .0415, .0423, .0429
Examination sources