Illinois property and casualty practice exam
Free property and casualty practice for the Illinois producer exam: 367 general questions plus 16 Illinois state law questions, each with an explanation.
Licensing facts checked on
Loading practice test... If it does not open, reload this page.
Studying for Life and Health? Illinois life and health practice exam
Getting your Illinois property and casualty license
Illinois splits each line into a General exam and a State exam through Pearson VUE, so property and casualty mean four exams in all. Each line needs 20 hours of pre-licensing, 7.5 of them in a classroom.
- Exam provider
- Pearson VUE. Each line has a separate General exam and State exam.
- Exam length
- Property: 75-minute General exam plus 50-minute State exam. Casualty: 75-minute General exam plus 55-minute State exam.
- Questions
- Property: 50 General + 30 Illinois scored questions. Casualty: 50 General + 37 Illinois scored questions. Each exam adds 5 pretest questions.
- Passing score
- 70 (scaled)
- Exam fee
- $92 per exam. Booking the General and State exams for the same line on one order gets a $92 discount.
- Pre-licensing education
- 20 hours per line of authority, with 7.5 of those hours in a classroom
- Test day
- Bring proof that you finished pre-licensing. You cannot sit for the exam without it.
- Exam timing
- Pass the General and State exams within 90 days of each other
- Retakes
- Wait 24 hours before booking a retake at a test center
How to plan your retake
Retake rules by state - Continuing education
- 24 hours per renewal, including 3 hours of classroom or webinar ethics, done at least 10 business days before renewal
Official links
- Illinois Department of Insurance - official state insurance department
- IDOI, How to Become a Resident Producer - exam provider information
Licensing facts checked on , against official sources. Fees and rules change, so confirm with the Illinois Department of Insurance and your exam's candidate handbook before you register.
Illinois state law questions
Every Illinois question with its answer, explanation, and the law it comes from.
Licensing and CE
2 questions
1. How much continuing education must an Illinois resident producer complete for each license renewal?
- 15 hours, including 1 hour of ethics
- 20 hours, including 2 hours of ethics
- 24 hours, including 3 hours of ethics taken in a classroom or webinar
- 30 hours, including 3 hours of ethics
Show answer
Illinois requires 24 hours of CE, and 3 of those hours must be ethics taken in a classroom or webinar. The ethics hours cannot be self-study.
2. An Illinois producer must be compliant with continuing education at least how long before the license renewal date?
- 10 business days before the renewal date
- On the renewal date itself
- 30 days before the renewal date
- 90 days before the renewal date
Show answer
Illinois requires producers to be CE compliant at least 10 business days before the renewal date. Finishing on the renewal date itself is too late.
Auto Insurance
3 questions
1. What are the minimum auto liability limits required in Illinois?
- $15,000 per person, $30,000 per accident, and $5,000 property damage
- $25,000 per person, $50,000 per accident, and $10,000 property damage
- $30,000 per person, $60,000 per accident, and $25,000 property damage
- $25,000 per person, $50,000 per accident, and $20,000 property damage
Show answer
Illinois requires at least $25,000 per person and $50,000 per accident for bodily injury, plus $20,000 for property damage. The $20,000 property damage figure is what sets Illinois apart from states that use $10,000 or $25,000.
2. What are Illinois' minimum limits for uninsured motorist bodily injury coverage?
- $15,000 per person and $30,000 per accident
- $25,000 per person and $50,000 per accident
- $50,000 per person and $100,000 per accident
- Uninsured motorist coverage is optional in Illinois
Show answer
Uninsured motorist bodily injury is a required coverage in Illinois, with minimums of $25,000 per person and $50,000 per accident. Those match the state's bodily injury liability minimums.
3. When does Illinois require an auto policy to include underinsured motorist coverage?
- Always, at $5,000
- Only for commercial vehicles
- When the insured buys uninsured motorist bodily injury limits higher than the minimum
- Never; it is always optional
Show answer
Illinois requires underinsured motorist coverage when the insured buys uninsured motorist bodily injury limits above the minimum. It pays the difference between the insured's UIM limits and the at-fault driver's lower liability limits.
Residual Markets
2 questions
1. To apply through the Illinois Automobile Insurance Plan, a driver must NOT:
- Owe an outstanding premium for prior insurance during the past 36 months
- Have been turned down by other insurers
- Have a valid license or be eligible for one
- Have a vehicle that is safe to drive
Show answer
The Illinois Automobile Insurance Plan serves drivers who cannot get coverage elsewhere. To qualify, the driver must have been turned down by other insurers, have a valid license or be eligible for one, have a safe vehicle, and not owe premium for prior insurance during the past 36 months.
2. Which insurers must participate in the Illinois FAIR Plan?
- All life insurers licensed in Illinois
- Insurers that directly write basic property insurance or a property component of multi-peril policies, other than local district, county, and township mutuals
- Only insurers that volunteer
- Only surplus lines insurers
Show answer
Participation in the Illinois FAIR Plan is required of insurers that directly write basic property insurance or the property part of multi-peril policies. Local district, county, and township mutual companies are excluded.
Cancellation and Nonrenewal
5 questions
1. For a cancellation for any reason other than nonpayment, an Illinois insurer must mail notice to the named insured at least:
- 10 days before the effective date
- 45 days before the effective date
- 60 days before the effective date
- 30 days before the effective date
Show answer
Illinois requires cancellation notice to be mailed at least 30 days before the effective date, with a specific explanation of the reasons. Nonpayment is the exception, with a shorter 10-day notice.
2. When an Illinois insurer cancels for nonpayment of premium, the notice must be mailed at least:
- 5 days before the effective date
- 10 days before the effective date
- 15 days before the effective date
- 30 days before the effective date
Show answer
For nonpayment, Illinois requires the cancellation notice to be mailed at least 10 days before it takes effect, to the insured's last known mailing address. Other cancellations need 30 days' notice.
3. How much advance notice must an Illinois insurer give before nonrenewing a covered personal policy?
- At least 10 days
- At least 45 but not more than 60 days
- At least 30 days
- At least 90 days
Show answer
Illinois requires at least 30 days' advance notice of the insurer's intention not to renew, and the nonrenewal cannot take effect until 30 days after the proof-of-mailing date. The 45-to-60-day window is New York's auto rule, not Illinois'.
4. On a covered Illinois policy, how much written notice must the insurer give before changing deductibles or coverage at renewal?
- 60 days
- 10 days
- 30 days
- 45 days
Show answer
Illinois requires written notice at least 60 days before the renewal or anniversary date when the insurer changes deductibles or coverage. That is longer than the 30-day nonrenewal notice.
5. How long a grace period does Illinois law require auto insurers to give for a late premium?
- 10 days
- 30 days
- 31 days
- None; Illinois law does not require insurers to offer a grace period
Show answer
Illinois law does not require insurers to offer a grace period, though some insurers choose to. A policy that ends because premiums were not paid is considered lapsed.
Guaranty Association
2 questions
1. For insolvency orders entered on or after January 1, 2023, the Illinois Insurance Guaranty Fund pays no more than how much on a claim other than workers compensation?
- $100,000
- $500,000
- $300,000
- $1,000,000
Show answer
For orders entered on or after January 1, 2023, the Illinois Insurance Guaranty Fund's obligation is capped at $500,000 per claim, and never more than the policy's face amount. Workers compensation claims are not subject to this cap. The older $300,000 limit applied to earlier orders.
2. For insolvency orders entered on or after January 1, 2023, the Illinois Insurance Guaranty Fund pays unearned premium claims up to:
- $10,000 per policy, after a $100 deduction
- $300,000 per policy
- $50,000 per policy, with no deduction
- $500,000 per policy
Show answer
For orders on or after January 1, 2023, the Illinois Insurance Guaranty Fund pays unearned premium claims up to $50,000 per policy, with no deduction. The $10,000 limit and the $100 deduction applied only to older orders.
Workers Compensation
2 questions
1. For knowingly failing to provide workers compensation coverage, the Illinois Workers' Compensation Commission may assess a civil penalty of:
- Up to $500 per day, with a minimum penalty of $10,000
- Up to $100 per day, with no minimum
- A flat $1,000
- Up to $5,000 per month
Show answer
Illinois can assess up to $500 for each day an employer knowingly fails to provide coverage, with a minimum penalty of $10,000. The Commission can also issue a stop-work order that is lifted only on proof of insurance.
2. In Illinois, an employer who knowingly fails to provide workers compensation coverage is guilty of:
- No crime, only a civil fine
- A Class C misdemeanor
- A Class X felony
- A Class 4 felony
Show answer
Knowingly failing to provide coverage is a Class 4 felony in Illinois, and each day is a separate offense. Negligently failing to provide coverage is a Class A misdemeanor.
Key Illinois terms
15 plain-English cards on Illinois insurance law, from the Illinois flashcard deck.
Licensing and CE
- Illinois P&C prelicensing
- 20 hours per line of authority, with 7.5 hours in a classroom. Proof of completion is required to sit for the exam.
- Illinois General and State exams
- Each line has a separate General exam and State exam, both given by Pearson VUE. Both must be passed within 90 days of each other.
- Illinois CE requirement
- 24 hours per renewal, including 3 hours of ethics taken in a classroom or webinar, not self-study.
- Illinois CE deadline
- Producers must be CE compliant at least 10 business days before the license renewal date.
Auto Insurance
- Illinois auto liability minimums
- 25/50/20: $25,000 per person and $50,000 per accident bodily injury, $20,000 property damage.
- Illinois uninsured motorist requirement
- Uninsured motorist bodily injury is required, with minimums of $25,000 per person and $50,000 per accident.
- Illinois underinsured motorist rule
- Underinsured motorist coverage is required when the insured buys uninsured motorist limits above the minimum.
Residual Markets
- Illinois Automobile Insurance Plan
- Auto coverage for drivers turned down elsewhere. Not available to a driver who owes premium for prior insurance in the past 36 months.
- Illinois FAIR Plan
- Basic property insurance for owners who cannot get it normally. Insurers writing basic property or the property part of package policies must participate.
Cancellation and Nonrenewal
- Illinois cancellation notice
- 30 days before the effective date with the specific reasons; 10 days for nonpayment of premium.
- Illinois nonrenewal notice
- At least 30 days advance notice of the insurer's intent not to renew a covered personal policy.
- Illinois coverage change notice
- At least 60 days written notice before the renewal or anniversary date when the insurer changes deductibles or coverage.
- Illinois grace period
- State law does not require auto insurers to offer a grace period for late premium.
Guaranty Association
- Illinois Insurance Guaranty Fund
- For insolvencies ordered on or after January 1, 2023, pays up to $500,000 per claim and up to $50,000 per policy for unearned premium.
Workers Compensation
- Illinois uninsured employer penalty
- Up to $500 per day for knowingly failing to provide workers comp, with a $10,000 minimum. Knowing failure is a Class 4 felony.
Keep studying
The general topics make up most of the exam.
Illinois exam questions
How many exams do I take for property and casualty in Illinois?
Each line of authority has a General exam and a State exam, so property and casualty together means four exams. The General and State exams for a line must be passed within 90 days of each other.Source: IDOI, How to Become a Resident Producer
How much does the Illinois insurance exam cost?
$92 per exam. If you book the General and State exams for the same line on one order, you get a $92 discount.Source: IDOI, Producer Licensing Exam Changes FAQ
How many pre-licensing hours does Illinois require?
20 hours for each line of authority, and 7.5 of those hours must be in a classroom setting. Bring your proof of completion to the test center.Source: IDOI, How to Become a Resident Producer
How much of the Illinois property and casualty exam is state law?
State law is usually around 20 to 30 percent of a state's producer exam. Check the Illinois candidate handbook from your testing provider for the exact content outline.
What does the Illinois state law section cover?
Common areas include licensing and continuing education, auto liability minimums, cancellation and nonrenewal notice rules, and the guaranty fund. This page covers: Licensing and CE, Auto Insurance, Residual Markets, Cancellation and Nonrenewal, Guaranty Association, Workers Compensation.
Where do these state questions come from?
Each state question is written from the state's statutes, regulations, or insurance department guidance, and the source is linked under the answer so you can read it yourself.
Do I still need the general questions?
Yes. Most of the exam is general property and casualty knowledge. The full exam option here mixes 367 general questions with the Illinois state law questions.