Evergreen Insurance Prep

Washington Property & Casualty Insurance License, Practice Exams

Washington Property & Casualty producer licensing (PSI). National P&C insurance knowledge plus Washington insurance law (mandatory UM/UIM & PIP auto, surplus lines, rates, property and fire/arson), authored from public-domain statutes.
Content last updated 3 August 2026

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Each module is scored separately here so you know exactly where you stand. To pass the real Washington exam you need 70%.

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The free sample gives you about 20 questions per module. The full bank contains every question — general insurance plus state law — with written, statute-cited explanations. $49, one time, lifetime access on up to 3 devices — every state and line we add later included.

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Frequently asked questions

How is the Washington producer licensing exam structured?

Washington licenses Property and Casualty producers through PSI as separate 100-question exams (150 minutes, 70% to pass), with a combined Property & Casualty exam also offered. This bank covers the national property & casualty material plus Washington law - mandatory UM/UIM and PIP auto coverage (RCW 48.22), surplus lines and unauthorized insurers, rate regulation, the guaranty association, and property/fire-arson rules.

What score do I need to pass?

You need 70%. Revise each module to that level in Revision Mode, then run the full exam simulation in Exam Mode before your test date.

Are these real exam questions?

No vendor publishes the live exam. Every question here is original, written to the official content outline and grounded in public-domain sources — including the Washington Insurance Code (RCW Title 48) for the state-law questions, with the statute section cited in each explanation.

How many practice questions are included?

The full Washington bank contains 998 questions (general insurance plus Washington law), with written, source-cited explanations. The free sample gives you about 20 questions per module.

What does access cost?

$49, one time, for lifetime access — and it includes every state and line we add later, at no extra charge. No subscription.

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Yes. One purchase works on up to 3 of your devices, for example your laptop, phone and tablet, so you can practise wherever you are. Your progress is saved on each device.

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Sample Washington Property & Casualty Insurance License practice questions

A selection of free questions with answers and explanations. Use the interactive modules above for timed, scored drills.

How does Business Income coverage typically appear in a standard BOP compared to a CPP?

  1. It is only available to manufacturers
  2. It is excluded from the BOP
  3. It must always be added by endorsement in the BOP
  4. It is included automatically in the BOP without a separate limit ✓

Why: The BOP generally includes business income and extra expense automatically (often for up to 12 months) without requiring a separately scheduled dollar limit, unlike the CPP.

A condominium unit-owner wants to insure improvements and betterments they installed (cabinets, flooring) plus personal property and liability. The proper form is:

  1. HO-8
  2. HO-4
  3. HO-6 ✓
  4. HO-3

Why: HO-6 is the condominium unit-owners form, covering personal property, owner-installed improvements/betterments, and Section II liability.

Under a value reporting form, what happens if the insured underreports values at the last report before a loss?

  1. The insurer pays the full limit unless an exception clearly applies for the coverage that is in force
  2. Coverage is voided entirely
  3. The honesty/full reporting clause limits recovery to the proportion reported ✓
  4. The deductible is waived

Why: The full reporting (honesty) clause penalizes underreporting by limiting recovery to the ratio of the value last reported to the actual value.

Show more sample questions with answers & explanations

A producer asks whether a hospital cooperative that self-insures its liability risks is an "insurer" under the code. Under RCW 48.01.050, two or more hospitals organized as a mutual corporation to self-insure liability through a contributing trust fund are:

  1. insurers that must obtain a certificate of authority
  2. surplus line insurers subject to broker placement rules
  3. not an "insurer" under the code ✓
  4. foreign insurers regardless of where they are organized

Why: RCW 48.01.050 expressly provides that two or more hospitals that join and organize as a mutual corporation to insure or self-insure against liability claims through a contributing trust fund are not an insurer under the code.

Identity theft / identity fraud expense coverage on a Homeowners policy generally provides:

  1. Liability for the thief's actions
  2. Reimbursement for stolen physical property only under the policy's terms
  3. Expenses to restore the insured's identity and credit after fraud ✓
  4. Earthquake protection

Why: The identity theft endorsement reimburses expenses (such as legal fees, lost wages, and notary costs) incurred to restore the insured's identity and credit standing.

Theft coverage under the standard Dwelling Policy is:

  1. Provided only for liability claims
  2. Automatically included in all forms
  3. Only available on DP-1
  4. Not included unless added by endorsement ✓

Why: The Dwelling Policy does not include theft coverage by default; it must be added by a theft coverage endorsement.

Under RCW 48.32.060, member insurers must be notified of an assessment not later than:

  1. ten days before it is due
  2. thirty days before it is due ✓
  3. sixty days before it is due
  4. ninety days before it is due

Why: RCW 48.32.060(1)(c)(i) requires that each member insurer be notified of the assessment not later than thirty days before it is due.

Under the law of agency, the acts of the producer (agent) are generally considered to be the acts of the:

  1. Reinsurer
  2. Insured
  3. State insurance department
  4. Insurer ✓

Why: An agent represents the insurer; under the law of agency, the agent's actions within authority are treated as those of the insurer (principal).

The characteristic that requires certain acts, such as paying premium and providing proof of loss, before the insurer must pay a claim is that insurance is a contract of:

  1. Aleatory nature
  2. Conditional nature ✓
  3. Indemnity
  4. Adhesion

Why: Insurance is a conditional contract because both parties must meet certain conditions before the contract can be enforced.

Under PAP Part B, a family member struck by a car while walking across the street is:

  1. Covered only if the striking vehicle is uninsured unless an exception clearly applies for the coverage that is in force
  2. Not covered because they were not in a vehicle
  3. Covered, since family members are insureds for medical payments as pedestrians struck by an auto ✓
  4. Covered only under Part A

Why: Part B covers the named insured and family members as pedestrians when struck by a motor vehicle, in addition to occupants of the covered auto.

Under a Homeowners policy, the 'residence premises' definition primarily refers to:

  1. Any property the insured owns anywhere in that particular circumstance
  2. Rental property of the insured
  3. The dwelling where the insured resides as shown in the declarations ✓
  4. Vacant land

Why: Residence premises is the one- to four-family dwelling where the insured resides, as shown in the Declarations, including grounds and related structures.

Under RCW 48.32.020, the guaranty association chapter applies to all kinds of direct insurance EXCEPT:

  1. automobile liability and homeowners insurance for each policy period the coverage remains in force
  2. life, title, surety, disability, credit, mortgage guaranty, workers' compensation, and ocean marine ✓
  3. commercial general liability and commercial property before the transaction may lawfully proceed
  4. personal and commercial automobile physical damage after notice and an opportunity for a hearing

Why: RCW 48.32.020 provides that the chapter applies to all kinds of direct insurance except life, title, surety, disability, credit, mortgage guaranty, workers' compensation, and ocean marine.

The Peak Season endorsement is most useful for an insured whose:

  1. Personal property (inventory) increases significantly during certain periods ✓
  2. Auto fleet expands
  3. Liability exposure decreases in winter unless an exception clearly applies for the coverage that is in force
  4. Building value never changes

Why: Peak Season provides additional limits on business personal property during seasonal periods of higher inventory, such as a retailer before the holidays.

Under RCW 48.18.480, what discrimination is expressly NOT prohibited?

  1. Charging higher private passenger auto premiums based only on the vehicle's garaging ZIP code
  2. Charging higher auto premiums based on a driver's ZIP code alone
  3. Fair discrimination by a life insurer between individuals having unequal expectation of life ✓
  4. Varying homeowners rates based solely on the insured's marital status

Why: RCW 48.18.480 provides that the prohibition does not bar fair discrimination by a life insurer as between individuals having unequal expectation of life.

Under RCW 48.32.080, if a member insurer fails to pay an assessment when due, the commissioner may, as an alternative to suspension or revocation, levy a fine that shall not exceed:

  1. one percent of the unpaid assessment per month
  2. five percent of the unpaid assessment per month, but not less than $100 per month ✓
  3. ten percent of the unpaid assessment per month
  4. a flat $1,000 regardless of the amount unpaid for each policy period the coverage remains in force

Why: RCW 48.32.080(2)(b) authorizes the commissioner, as an alternative to license action, to levy a fine on a member insurer that fails to pay an assessment when due, not exceeding five percent of the unpaid assessment per month, but no less than $100 per month.

Under RCW 48.22.030, a "phantom vehicle" claim (no physical contact) requires, among other conditions, that the accident be reported to the appropriate law enforcement agency within:

  1. 24 hours of the accident
  2. 48 hours of the accident
  3. 72 hours of the accident ✓
  4. five days of the accident

Why: RCW 48.22.030(8)(b) requires, for a phantom vehicle claim, that the accident be reported to the appropriate law enforcement agency within seventy-two hours of the accident, and that the facts be corroborated by competent evidence other than the claimant's testimony.

Under RCW 48.22.005, PIP medical and hospital benefits are payable for reasonable and necessary expenses incurred within:

  1. one year from the date of the accident
  2. two years from the date of the accident
  3. three years from the date of the accident ✓
  4. five years from the date of the accident

Why: RCW 48.22.005(7) defines medical and hospital benefits as payments for reasonable and necessary expenses incurred within three years from the date of the automobile accident.

A business that performs incidental contracts and also assumes a railroad's liability in a sidetrack agreement has the assumed liability covered under the CGL because:

  1. It is a Coverage B offense unless an exception clearly applies for the coverage that is in force according to the insurer's rules
  2. A sidetrack agreement is an 'insured contract' excepted from the contractual liability exclusion ✓
  3. Pollution is excepted
  4. All contracts are covered

Why: Sidetrack agreements are listed insured contracts, so liability assumed under them is excepted from the contractual liability exclusion.

Under RCW 48.19.060, the commissioner may extend the thirty-day rate-filing waiting period by an additional period not to exceed:

  1. five days
  2. fifteen days ✓
  3. thirty days
  4. forty-five days

Why: RCW 48.19.060(2)(a) allows the commissioner to extend the waiting period by an additional period not to exceed fifteen days by giving notice within the waiting period that additional time is needed to consider the filing.

An insured with 50/100/25 split limits injures one person for $80,000. How much does the policy pay for that injured person?

  1. $25,000
  2. $80,000
  3. $100,000
  4. $50,000 ✓

Why: The per-person bodily injury limit is $50,000, so the most payable for one injured person is $50,000 regardless of the per-accident limit.

A producer who handles premium funds belonging to the insurer and the insured holds those funds in a:

  1. Fiduciary capacity ✓
  2. Personal capacity
  3. Reciprocal capacity
  4. Speculative capacity

Why: A producer holding others' money, such as premiums, acts in a fiduciary capacity and must handle those funds with trust and care.

Under RCW 48.18.290, for which type of policy may the cancellation notice be as short as five days before the effective date?

  1. a private passenger automobile policy canceled for underwriting reasons
  2. a fire insurance policy canceled under the arson-fraud provisions of RCW 48.53.040 ✓
  3. a commercial general liability policy canceled midterm
  4. a medical malpractice policy canceled for a risk factor

Why: RCW 48.18.290(1)(d) provides that if an insurer cancels a fire insurance policy under RCW 48.53.040 (the arson-fraud reduction provisions), it must deliver or mail the cancellation notice at least five days before the effective date.

Under RCW 48.15.020, an insurer that is not authorized by the commissioner:

  1. may solicit business if it later obtains a certificate of authority
  2. may not solicit or transact insurance business in this state except as provided in the chapter ✓
  3. may transact business only through a licensed producer
  4. may transact only commercial lines business for each policy period the coverage remains in force

Why: RCW 48.15.020(1) provides that an insurer not authorized by the commissioner may not solicit insurance business in this state or transact insurance business in this state, except as provided in the surplus lines chapter.

Under RCW 48.15.020, each violation of the prohibition against representing an unauthorized insurer is punishable by a fine of not more than:

  1. $5,000
  2. $10,000
  3. $25,000 ✓
  4. $50,000

Why: RCW 48.15.020(3) provides that each violation constitutes a separate offense punishable by a fine of not more than $25,000, and may result in suspension or revocation of a license.

A reciprocal insurer is best described as:

  1. An insurer owned by the federal government unless an exception clearly applies for the coverage that is in force
  2. A corporation owned by stockholders
  3. An unincorporated group of subscribers who insure one another, managed by an attorney-in-fact ✓
  4. A foreign insurer writing surplus lines

Why: A reciprocal or interinsurance exchange is an unincorporated association of subscribers who exchange insurance among themselves, administered by an attorney-in-fact.

An insurer knowingly accepts a late premium payment without objection on several occasions, then later tries to deny a claim because a payment was late. The insurer is most likely prevented from doing so by:

  1. Waiver and estoppel ✓
  2. Insurable interest
  3. Indemnity
  4. Subrogation

Why: By repeatedly accepting late payments (waiver), the insurer may be estopped from later denying coverage based on the very right it gave up.

Under RCW 48.30.133, a producer may give a person a gift for the referral of insurance business only if the gift does not exceed, per person in any consecutive twelve-month period:

  1. $25 in value
  2. $50 in value
  3. $100 in value ✓
  4. $500 in value

Why: RCW 48.30.133(1) permits a producer to give prizes, goods, gift cards, or merchandise not exceeding $100 in value per person in any consecutive twelve-month period for the referral of insurance business, if not conditioned on the referred person obtaining insurance.

The 'other insurance' condition in a property policy generally provides that the policy will pay:

  1. The full loss regardless of other coverage according to the insurer's rules
  2. Its pro-rata share when other valid insurance exists on the same property ✓
  3. Nothing if any other policy exists
  4. Double the loss

Why: When more than one policy covers the same loss, the other insurance condition typically calls for pro-rata sharing based on each policy's limits.

Under RCW 48.30A.015, a violation of the trafficking-in-insurance-claims provisions is, for a single violation:

  1. a class C felony
  2. a class B felony
  3. a gross misdemeanor ✓
  4. a civil infraction

Why: RCW 48.30A.015(4)(a) provides that trafficking in insurance claims is a gross misdemeanor for a single violation, and each subsequent violation is a class C felony.

Under RCW 48.18.220, when a producer receipts premium money at the time of binding coverage, the receipt must state that it is a binder, a brief description of the coverage bound, and:

  1. the effective date of the underlying policy
  2. the identity of the insurer in which the coverage is bound ✓
  3. the producer's license number
  4. the commissioner's approval of the form

Why: RCW 48.18.220 requires that a receipt for premium received when binding coverage state that it is a binder, give a brief description of the coverage bound, and identify the insurer in which the coverage is bound. This does not apply to life and disability insurances.