North Dakota property and casualty practice exam
Free property and casualty practice for the North Dakota producer exam: 367 general questions plus 27 North Dakota state law questions, each with an explanation.
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Studying for Life and Health? North Dakota life and health practice exam
Getting your North Dakota property and casualty license
North Dakota's property and casualty exams are given by PSI at test centers and cost $67 each. A passing score is valid for one year, and you can retest as many times as you need.
- Exam provider
- PSI, at a test center. Remote exams ended April 24, 2026.
- Exam fee
- $67 per exam
- Exam format
- Property and casualty are separate exams of 110 questions each. You need 77 correct (70 percent).
- Passing score
- 70 percent
- Retakes
- No limit on attempts, but you cannot book a new exam on the same day you test
How to plan your retake
Retake rules by state - Score valid for
- One year
- Fingerprints
- Required for all resident applicants
Official links
- North Dakota Insurance and Securities Department - official state insurance department
- PSI, North Dakota Insurance and Securities Department Candidate Information Bulletin (Sep 2026) - exam provider information
Licensing facts checked on , against official sources. Fees and rules change, so confirm with the North Dakota Insurance and Securities Department and your exam's candidate handbook before you register.
North Dakota state law questions
Every North Dakota question with its answer, explanation, and the law it comes from.
No-Fault Auto
9 questions
1. North Dakota basic no-fault benefits cover economic loss up to what total per person for one accident?
- $10,000
- $20,000
- $50,000
- $30,000
Show answer
NDCC 26.1-41-01 caps basic no-fault benefits at $30,000 for all economic loss from one accident.
2. North Dakota basic no-fault work loss benefits are limited to how much per week?
- $100
- $250
- $150
- $500
Show answer
NDCC 26.1-41-01 caps work loss and survivors' income loss at $150 per week, prorated for shorter periods.
3. North Dakota basic no-fault benefits pay funeral, cremation, and burial expenses up to:
- $1,500
- $3,500
- $2,500
- $5,000
Show answer
NDCC 26.1-41-01 sets this limit within the overall $30,000 basic benefit cap.
4. Replacement services loss under North Dakota basic no-fault is payable up to how much per day?
- $5
- $25
- $15
- $50
Show answer
NDCC 26.1-41-01 limits replacement services loss to $15 per day.
5. How much additional optional excess no-fault benefit can be offered in North Dakota once basic benefits are exhausted?
- Up to $20,000
- Up to $50,000
- Up to $150,000
- Up to $80,000
Show answer
NDCC 26.1-41-04 caps total no-fault benefits at $80,000 per person per accident, so with $30,000 in basic benefits the optional excess layer can add up to $50,000.
6. Under the North Dakota no-fault law, a serious injury can be shown by medical expenses over:
- $2,500
- $1,000
- $5,000
- $10,000
Show answer
A secured person is exempt from noneconomic damages claims unless the injury is serious, and medical expenses above $2,500 meet that test.
7. Which of these is part of North Dakota's definition of a serious injury for tort purposes?
- Disability lasting more than 14 days
- Disability lasting more than 30 days
- Disability lasting more than 60 days
- Disability lasting more than 90 days
Show answer
NDCC 26.1-41-01 also lists death, dismemberment, and serious and permanent disfigurement.
8. A North Dakota vehicle owner with no required security is in an accident. What is the owner's exposure for no-fault benefits?
- Liable only if at fault
- Liable only for medical expenses
- Not liable if the vehicle was parked
- Absolutely liable for basic no-fault benefits
Show answer
NDCC 26.1-41-02 also allows registration to be revoked or suspended until security is provided.
9. North Dakota allows no-fault coverage to be suspended on request if the vehicle will not be driven on public roads for at least:
- 7 consecutive days
- 30 consecutive days
- 14 consecutive days
- 90 consecutive days
Show answer
An owner can request a pro rata suspension or credit when the vehicle will stay off public roads for at least 30 consecutive days; the owner must notify the insurer to reinstate coverage.
Cancellation and Nonrenewal
5 questions
1. Under NDCC 26.1-40-03, how many days of written notice must a North Dakota insurer give before cancelling an auto policy for a reason other than nonpayment?
- 10 days
- 15 days
- 20 days
- 30 days
Show answer
The notice must be mailed or delivered to the named insured's address shown in the policy.
2. How many days of notice does a North Dakota insurer owe before cancelling an auto policy for nonpayment of premium?
- 10 days
- 5 days
- 20 days
- 30 days
Show answer
NDCC 26.1-40-04 shortens the notice to 10 days for nonpayment, and the notice must state the reason.
3. NDCC 26.1-40-05 requires written notice of nonrenewal of an auto policy at least how many days before expiration?
- 10 days
- 20 days
- 30 days
- 60 days
Show answer
Reasons must accompany the notice or be provided on written request.
4. The North Dakota auto cancellation chapter does not protect a policy that has been in effect fewer than how many days when the notice is mailed?
- 60 days
- 10 days
- 30 days
- 90 days
Show answer
NDCC 26.1-40-01 excludes such a policy from the definition of policy, unless it is a renewal.
5. How long must a North Dakota insurer retain proof of an auto cancellation or nonrenewal notice?
- 30 days
- Six months
- One year
- Five years
Show answer
NDCC 26.1-40-07 sets the retention period and lists a USPS certificate of mailing as sufficient proof.
Residual Markets
4 questions
1. When a North Dakota auto policy is cancelled for a reason other than nonpayment, the insurer must tell the insured about possible eligibility for:
- The guaranty association
- The assigned risk plan or automobile insurance plan
- The unsatisfied judgment fund
- A state-run auto fund
Show answer
NDCC 26.1-40-06 requires this notice to accompany the cancellation or nonrenewal notice.
2. A North Dakota applicant for the Property Insurance Placement Facility must have been refused coverage in writing by at least how many standard carriers?
- Five
- Two
- Three
- Ten
Show answer
NDCC 26.1-52-07 bases the refusals on underwriting, claims, or credit history.
3. Which risks may the North Dakota Property Insurance Placement Facility not cover?
- Homeowners risks
- Fire risks
- Allied lines risks
- Automobile or commercial risks
Show answer
NDCC 26.1-52-05 limits the facility to basic property or homeowners coverage on standard policy forms.
4. How often does the North Dakota Commissioner examine the Property Insurance Placement Facility?
- Every three years
- Every year
- Every two years
- Every five years
Show answer
NDCC 26.1-52-10 also requires the facility's annual reports by April 1 each year.
Auto Insurance
3 questions
1. In North Dakota, underinsured motorist coverage must be provided at limits equal to:
- The limits of collision coverage
- The minimum liability limits only
- Twice the liability limits
- The limits of uninsured motorist coverage
Show answer
NDCC 26.1-40-15.3 ties UIM limits to the UM limits on the policy.
2. North Dakota's required minimum auto coverages include which bodily injury liability limits?
- $15,000 per person and $30,000 per accident
- $25,000 per person and $50,000 per accident
- $30,000 per person and $60,000 per accident
- $50,000 per person and $100,000 per accident
Show answer
The North Dakota Insurance Department lists $25,000 and $50,000 bodily injury, $25,000 property damage, matching UM and UIM, and $30,000 basic no-fault.
3. Under the North Dakota Insurance Department's auto guidance, a vehicle is a total loss when damage exceeds what share of its retail value?
- 50 percent
- 60 percent
- 75 percent
- 90 percent
Show answer
The department's page also notes that a branded title applies when damage exceeds $10,000 or 25 percent of the vehicle's value.
Guaranty Association
4 questions
1. What is the per-claim limit on North Dakota guaranty association payments for covered claims other than unearned premium?
- $100,000
- $250,000
- $500,000
- $300,000
Show answer
The association pays up to $300,000 per claim for covered claims other than unearned premium, subject to the insolvent insurer's obligation under the policy.
2. The North Dakota guaranty association pays a covered claim for return of unearned premium up to what amount per policy?
- $10,000
- $2,500
- $25,000
- $50,000
Show answer
The $10,000 cap applies per policy to a covered claim for return of unearned premium; other covered claims have a separate $300,000 per-claim cap.
3. How does the North Dakota guaranty association chapter treat workers compensation insurance claims?
- They are paid in full without a cap
- They are excluded from covered claims
- They are paid up to $300,000
- They are paid up to $100,000
Show answer
NDCC 26.1-42.1-02 excludes Workforce Safety and Insurance, including any contract indemnifying an employer.
4. A first-party claim by an insured is excluded from North Dakota covered claims if the insured's net worth exceeds:
- $5 million
- $25 million
- $50 million
- $10 million
Show answer
NDCC 26.1-42.1-02 measures net worth on December 31 of the year after the insurer becomes insolvent.
Licensing and CE
2 questions
1. How many hours of approved continuing education must a North Dakota resident producer complete each two-year compliance period?
- 12 hours, including 2 hours of ethics
- 20 hours, including 3 hours of ethics
- 24 hours, with no ethics requirement
- 24 hours, including 3 hours of ethics
Show answer
The North Dakota Insurance Department applies this to resident producers licensed for lines such as casualty and property.
2. How many hours over the minimum, taken in the last 12 months of a reporting period, can a North Dakota producer carry toward the next period?
- Up to 12 hours
- Up to 3 hours
- Up to 6 hours
- No hours may be carried
Show answer
Ethics hours carry over only as regular hours, not as ethics hours.
Key North Dakota terms
29 plain-English cards on North Dakota insurance law, from the North Dakota flashcard deck.
Licensing and CE
- North Dakota P&C CE requirement
- 24 hours of approved CE each two-year period, including 3 hours of ethics.
- North Dakota CE carryforward
- Up to 12 hours taken in the last 12 months of a reporting period can count toward the next period.
- North Dakota P&C exam format
- Property and casualty are separate exams of 110 questions each. A passing score needs 77 correct, or 70 percent.
- North Dakota score validity and fingerprints
- A passing score is valid for one year. Fingerprints are required for all resident applicants.
No-Fault Auto
- North Dakota basic no-fault total
- Basic no-fault benefits cover economic loss up to $30,000 per person for one accident.
- North Dakota no-fault work loss
- Limited to $150 per week.
- North Dakota no-fault funeral benefit
- Funeral, cremation and burial expenses up to $3,500.
- North Dakota replacement services loss
- Payable up to $15 per day.
- North Dakota optional excess no-fault
- Up to an additional $50,000 may be offered once basic benefits are exhausted.
- North Dakota serious injury, expenses
- A serious injury can be shown by medical expenses over $2,500.
- North Dakota serious injury, disability
- Disability lasting more than 60 days is part of the definition of serious injury for tort purposes.
- North Dakota owner without security
- An owner with no required security is absolutely liable for basic no-fault benefits.
- North Dakota no-fault suspension
- No-fault coverage may be suspended on request if the vehicle will not be driven on public roads for 30 consecutive days.
Auto Insurance
- North Dakota minimum bodily injury limits
- $25,000 per person and $50,000 per accident.
- North Dakota UIM level
- Underinsured motorist coverage must be provided at limits equal to the uninsured motorist limits.
- North Dakota total loss threshold
- A vehicle is a total loss when damage exceeds 75 percent of its retail value, under Insurance Department guidance.
Cancellation and Nonrenewal
- North Dakota auto cancellation notice
- 20 days written notice for a reason other than nonpayment (NDCC 26.1-40-03).
- North Dakota nonpayment cancellation notice
- 10 days notice before cancelling for nonpayment of premium.
- North Dakota auto nonrenewal notice
- Written notice at least 30 days before expiration (NDCC 26.1-40-05).
- North Dakota 60-day policy exclusion
- The auto cancellation chapter does not protect a policy in effect fewer than 60 days when the notice is mailed.
- North Dakota notice proof retention
- An insurer must keep proof of a cancellation or nonrenewal notice for one year.
Residual Markets
- North Dakota assigned risk notice
- A cancellation for a reason other than nonpayment must tell the insured about possible eligibility for the assigned risk plan or automobile insurance plan.
- North Dakota placement facility eligibility
- An applicant for the Property Insurance Placement Facility must have been refused in writing by at least five standard carriers.
- North Dakota placement facility exclusions
- The facility may not cover automobile or commercial risks.
- North Dakota placement facility examination
- The Commissioner examines the facility every three years.
Guaranty Association
- North Dakota guaranty association limit
- Pays up to $300,000 per covered claim other than unearned premium.
- North Dakota guaranty unearned premium
- Up to $10,000 per policy for return of unearned premium.
- North Dakota guaranty workers comp claims
- Workers compensation claims are excluded from covered claims.
- North Dakota net worth exclusion
- A first-party claim is excluded if the insured's net worth exceeds $10 million.
Keep studying
The general topics make up most of the exam.
North Dakota exam questions
Can I take the North Dakota insurance exam online?
No. Remote proctored exams ended April 24, 2026. Exams are given in person at PSI test centers.Source: PSI, North Dakota Insurance and Securities Department Candidate Information Bulletin (Sep 2026)
How many times can I retake the North Dakota exam?
As many times as you need, but not twice on the same day.Source: PSI, North Dakota Insurance and Securities Department Candidate Information Bulletin (Sep 2026)
How long is a North Dakota passing score good for?
One year.Source: PSI, North Dakota Insurance and Securities Department Candidate Information Bulletin (Sep 2026)
How much of the North Dakota property and casualty exam is state law?
State law is usually around 20 to 30 percent of a state's producer exam. Check the North Dakota candidate handbook from your testing provider for the exact content outline.
What does the North Dakota 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: No-Fault Auto, Cancellation and Nonrenewal, Residual Markets, Auto Insurance, Guaranty Association, Licensing and CE.
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 North Dakota state law questions.