A claimant gives notice of an Alabama claim to the insurer's producer. What is the effect?Ala. Admin. Code r. 482-1-125-.06(1)
A partial automobile loss in Alabama is settled on a written estimate prepared for the insurer. What must the insurer give the insured?Ala. Admin. Code r. 482-1-125-.08(4)
The Alabama Department of Insurance sends an insurer an inquiry about a claim. How soon must the insurer respond?Ala. Admin. Code r. 482-1-125-.06(2)
An Alabama insured asks for names of repair shops and the insurer gives some. Has the insurer designated a specific repair shop?Ala. Admin. Code r. 482-1-125-.08(6)
An Alabama insured does not cooperate with the insurer. When may the insurer deny an otherwise valid third-party claim for that reason?Ala. Admin. Code r. 482-1-125-.07(8)
An Alabama insurer denies a first party claim on the ground of a specific exclusion. What must the denial include?Ala. Admin. Code r. 482-1-125-.07(1)
An Alabama insurer has accepted liability and agreed on the amount of a claim. If the policy sets no time, how soon must it tender payment?Ala. Admin. Code r. 482-1-125-.07(6)
Show all 105 questions (98 more)
Claim handling standards, continued
An Alabama insurer offers a replacement automobile for a first party total loss. Of what model year must the replacement be?Ala. Admin. Code r. 482-1-125-.08(1)
An Alabama insurer settles a first party automobile total loss in cash. Besides the cost of a comparable automobile, what must the settlement include?Ala. Admin. Code r. 482-1-125-.08(1)
An Alabama insurer's investigation of a first party claim stays open after its first notice that it needs more time. How often must it then tell the claimant why?Ala. Admin. Code r. 482-1-125-.07(2)
An unresolved Alabama first-party claim nears the statute of limitations and the claimant has no lawyer. About how long before expiration must the insurer send written notice?Ala. Admin. Code r. 482-1-125-.07(4)
Besides the current year, for how many preceding years must an Alabama insurer keep claim data available for examination?Ala. Admin. Code r. 482-1-125-.04(a)
How does the Alabama claims rule have an insurer determine actual cash value on residential fire and extended coverage?Ala. Admin. Code r. 482-1-125-.09(2)
How soon must an Alabama insurer acknowledge notice of a first party claim, unless it pays within that time?Ala. Admin. Code r. 482-1-125-.06(1)
In the Alabama claims rule, who is a "first party claimant"?Ala. Admin. Code r. 482-1-125-.03(e)
In the Alabama rule on property and casualty claims, what does "days" mean?Ala. Admin. Code r. 482-1-125-.03(c)
In what form may an Alabama insurer first give the denial of a first party claim?Ala. Admin. Code r. 482-1-125-.07(1)
May an Alabama insurer require an insured to take a polygraph examination?Ala. Admin. Code r. 482-1-125-.07(7)
On an Alabama residential fire claim paid at actual cash value, what must the insurer provide if the insured asks?Ala. Admin. Code r. 482-1-125-.09(2)
Proofs of loss arrive. If the policy sets no other number, how soon must an Alabama insurer advise a first party claimant of acceptance or denial?Ala. Admin. Code r. 482-1-125-.07(1)
Under the Alabama claims rule, may an insurer require a claimant to supply the replacement parts for an automobile repair?Ala. Admin. Code r. 482-1-125-.08(8)
When may an Alabama insurer mark a first party payment check as "final"?Ala. Admin. Code r. 482-1-125-.05(3)
Where may evidence of a violation of the Alabama claims rule be used?Ala. Admin. Code r. 482-1-125-.02
Which kind of claim is the Alabama rule on property and casualty claims not intended to cover?Ala. Admin. Code r. 482-1-125-.02
Independent adjuster licensing 33
A business entity applies for an Alabama resident independent adjuster license. Whom must it designate?Ala. Code 27-9A-6(d)
A former company adjuster may skip the Alabama independent adjuster examination after at least how many years as an adjuster in this state for a licensed insurance company?Ala. Code 27-9A-9(d)
A nonresident's home state independent adjuster license terminates. What happens to the Alabama nonresident license if no new home state license is issued?Ala. Code 27-9A-10(c)
After an Alabama independent adjuster license has been expired how long must the person reapply as a new applicant?Ala. Code 27-9A-7(e)
After deployment to an Alabama state of emergency, how soon must an emergency independent adjuster be registered with the commissioner?Ala. Code 27-9A-5(b)
After its first renewal, how often is an Alabama independent adjuster license renewed?Ala. Code 27-9A-7(b)
After the three-month wait, an individual fails the Alabama independent adjuster examination two more times. How long is the next wait?Ala. Code 27-9A-8(f)
An Alabama apprentice independent adjuster passes the independent adjuster examination. What happens to the apprentice license?Ala. Code 27-9A-11(c)
An Alabama independent adjuster license expired 5 months ago. What fee reinstates it?Ala. Code 27-9A-7(d)
An Alabama independent adjuster license expired 20 days ago. What fee reinstates it back to the expiration date?Ala. Code 27-9A-7(c)
An independent adjuster licensed by examination elsewhere moves to Alabama. To skip the examination, how soon after establishing legal residency must the application come?Ala. Code 27-9A-9(b)
An individual fails the Alabama independent adjuster examination twice for one line. How long is the wait before another attempt?Ala. Code 27-9A-8(f)
Does a person who settles only subrogation claims need an Alabama independent adjuster license?Ala. Code 27-9A-3(b)
Does the instructor of an approved Alabama continuing education course earn credit for teaching it?Ala. Code 27-9A-13(f)
For a business entity applicant, Alabama requires the fingerprints of any individual who owns at least what share of its voting securities?Ala. Code 27-9A-17(b)
For how long is an Alabama apprentice independent adjuster license valid?Ala. Code 27-9A-11(c)
How many active apprentice adjusters may one licensed Alabama independent adjuster supervise at a time?Ala. Code 27-9A-11(c)
How many hours of continuing education must an Alabama independent adjuster complete in each two-year period?Ala. Code 27-9A-13(a)
How many of an Alabama independent adjuster's continuing education hours must be in ethics?Ala. Code 27-9A-13(a)
How many times may an individual hold an Alabama apprentice independent adjuster license?Ala. Code 27-9A-11(c)
How must an Alabama apprentice independent adjuster be paid?Ala. Code 27-9A-11(c)
How old must an individual be for an Alabama resident independent adjuster license?Ala. Code 27-9A-6(a)
How soon must an Alabama independent adjuster inform the commissioner of a change of legal name or address?Ala. Code 27-9A-7(h)
In Alabama, no more than how many individuals who enter portable electronics claims into an automated system may one licensed independent adjuster supervise?Ala. Code 27-9A-3(b)
On whose behalf does an Alabama independent adjuster determine the amount of a claim?Ala. Code 27-9A-3(a)
Unless the commissioner extends it, an Alabama emergency independent adjuster registration stays in force for no more than how long?Ala. Code 27-9A-5(d)
What is the most the Alabama commissioner may charge an insurer for each emergency independent adjuster it registers?Ala. Code 27-9A-5(e)
What is the penalty when an Alabama independent adjuster does not report a change of address on time?Ala. Code 27-9A-7(h)
Where may an Alabama apprentice independent adjuster adjust claims?Ala. Code 27-9A-11(c)
Which Alabama independent adjuster is exempt from continuing education for a biennium?Ala. Code 27-9A-13(b)
Which lines of authority may an Alabama independent adjuster license carry?Ala. Code 27-9A-7(a)
Which person is not an "independent adjuster" under Alabama Code Section 27-9A-3?Ala. Code 27-9A-3(b)
Who files the registration of an Alabama emergency independent adjuster?Ala. Code 27-9A-5(b)
Conduct, records and discipline 14
A claimant has a lawyer. Under Alabama's standards of conduct, when may an independent adjuster deal directly with that claimant?Ala. Code 27-9A-15
A criminal action is taken against an Alabama independent adjuster. The report to the commissioner is due within 30 days of what?Ala. Code 27-9A-16(b)
A person aggrieved by an act of the Alabama commissioner demands a hearing in writing. Unless both sides agree to postpone, how soon after the demand must it be held?Ala. Code 27-2-28(b)
Absent a greater fine elsewhere in the title, what is the most the Alabama commissioner may fine an independent adjuster for each violation, after a hearing?Ala. Code 27-9A-12(d)
The Alabama commissioner refuses to renew an independent adjuster license. How long does the licensee have to make written demand for a hearing?Ala. Code 27-9A-12(b)
An Alabama adjuster appeals the commissioner's order revoking the license. Besides Montgomery County, where may the appeal be taken at the appellant's option?Ala. Code 27-2-32(b)
An Alabama independent adjuster surrenders the license while under investigation. Can the commissioner still impose a penalty?Ala. Code 27-9A-12(e)
Another state's agency takes administrative action against an Alabama independent adjuster. How soon after the final disposition must the adjuster report it to the commissioner?Ala. Code 27-9A-16(a)
Before acquiring an interest in salvage, what must an Alabama independent adjuster first receive?Ala. Code 27-9A-15
When dealing with a claimant, how must an Alabama independent adjuster identify himself or herself?Ala. Code 27-9A-15
Which act during the licensing examination is a cause for discipline under Alabama Code Section 27-9A-12?Ala. Code 27-9A-12(a)
Which activity do Alabama's standards of conduct forbid an independent adjuster?Ala. Code 27-9A-15
Which is a cause for discipline of an Alabama independent adjuster under Section 27-9A-12?Ala. Code 27-9A-12(a)
Which record must an Alabama independent adjuster maintain under Section 27-9A-14?Ala. Code 27-9A-14
Unfair trade practices and insurance fraud 17
A claimant gets a payment by an Alabama insurer's mistake and, knowingly and with intent to defraud, refuses to return it. What is that under Section 27-12A-2?Ala. Code 27-12A-2
A person reports suspected insurance fraud in Alabama. When does the immunity from civil liability for the report not apply?Ala. Code 27-12A-22(b)
A prosecution for Alabama insurance fraud may not begin more than how many years after the alleged violation was detected?Ala. Code 27-12A-6(a)
After a hearing, the Alabama commissioner finds that a person engaged in a practice the Trade Practices Law defines as unfair. What does the commissioner issue?Ala. Code 27-12-18(d)
The Alabama commissioner serves a statement of charges under the Trade Practices Law. The hearing may not be set for less than how many days after service?Ala. Code 27-12-18(a)
An Alabama claim form carried no fraud warning. Is that a defense in a prosecution for insurance fraud?Ala. Code 27-12A-20(b)
An Alabama insurer has a reasonable belief that insurance fraud has been committed. What does Section 27-12A-21 require of it?Ala. Code 27-12A-21(a)
An Alabama insurer willfully makes a false annual statement. The fine is not less than $500 and not more than what amount?Ala. Code 27-12-7(c)
As part of a damage claim, a contractor knowingly bills an Alabama insurer more than its usual and customary charge, intending to defraud. Which act of insurance fraud is that?Ala. Code 27-12A-2
By what name may Chapter 12 of Title 27 of the Code of Alabama be referred to?Ala. Code 27-12-1(b)
In Alabama, insurance fraud is in the first degree when the loss or potential loss exceeds what amount?Ala. Code 27-12A-3(a)
In Alabama, knowingly transacting the business of insurance without a required license is what class of crime?Ala. Code 27-12A-5(b)
Making misleading, incomplete comparisons of policies to induce a policyholder to lapse or surrender a policy is which practice in the Alabama Trade Practices Law?Ala. Code 27-12-6
Under Alabama Code Section 27-12-24, an insurer's refusal, without just cause, to pay or settle claims is unlawful when it happens how often?Ala. Code 27-12-24
What class of crime is insurance fraud in the first degree in Alabama?Ala. Code 27-12A-3(b)
What class of crime is insurance fraud in the second degree in Alabama?Ala. Code 27-12A-4(b)
Which is evidence of a general business practice of refusing to pay claims under Alabama Code Section 27-12-24?Ala. Code 27-12-24
Auto liability law, guaranty fund and wind mitigation 17
A claimant against the Alabama Insurance Guaranty Association also has another policy covering the same loss. What must the claimant do first?Ala. Code 27-42-12(a)
A vehicle registered in another state is driven in Alabama. To what must its liability coverage conform?Ala. Code 32-7A-4(b)
The Alabama Insurance Guaranty Association pays covered claims that arise within how many days after the order of liquidation, if the policy does not end sooner?Ala. Code 27-42-8
Alabama's wind mitigation adjustment for a new building applies only to policies that provide which coverage?Ala. Code 27-31D-1
An Alabama owner retrofits a home to a Fortified Home standard to resist hurricane wind. What must insurers provide under Section 27-31D-2?Ala. Code 27-31D-2
Apart from workers' compensation and unearned premium, what is the most the Alabama Insurance Guaranty Association pays per claim on a covered claim, if the policy limit is not lower?Ala. Code 27-42-8
The effective and expiration dates on an Alabama insurance card may cover a period of no more than how long?Ala. Code 32-7A-6(b)
How much of a covered workers' compensation claim does the Alabama Insurance Guaranty Association pay?Ala. Code 27-42-8
In Alabama, proof of purchase of a vehicle plus a valid insurance card for the vehicle it replaced is evidence of insurance if the purchase was within the previous how many days?Ala. Code 32-7A-6(a)
Operating a motor vehicle in Alabama without liability insurance, a bond or a deposit of cash is what class of offense?Ala. Code 32-7A-16(a)
What is the minimum liability limit in Alabama for bodily injury to or death of one person in one accident?Ala. Code 32-7-6(c)
What is the minimum liability limit in Alabama for bodily injury to or death of two or more persons in one accident?Ala. Code 32-7-6(c)
What is the minimum liability limit in Alabama for destruction of the property of others in one accident?Ala. Code 32-7-6(c)
What is the most the Alabama Insurance Guaranty Association pays per policy on a covered claim for the return of unearned premium?Ala. Code 27-42-8
Which item is not required on a temporary Alabama insurance card?Ala. Code 32-7A-6(d)
Which vehicle is outside Alabama's Mandatory Liability Insurance Act?Ala. Code 32-7A-5(a)
Who certifies that an Alabama property conforms to Fortified Home requirements for the wind mitigation discount?Ala. Code 27-31D-2
How this list was compiled: Code of Alabama 1975, Title 27, Chapter 9A (independent adjusters), Chapter 12 (Trade Practices Law), Chapter 12A (insurance fraud), Chapter 31D (wind mitigation discounts) and Chapter 42 (Alabama Insurance Guaranty Association), Sections 27-2-28 and 27-2-32, Section 32-7-6 and Title 32, Chapter 7A (Mandatory Liability Insurance Act), read on October 15, 2026 in the Code as the Alabama Legislature publishes it (https://alison.legislature.state.al.us/code-of-alabama); and Alabama Administrative Code Chapter 482-1-125, Standards for Property/Casualty Insurance Claims, read the same day on the Legislature's Administrative Code site (https://admincode.legislature.state.al.us/administrative-code/482-1-125). The topics follow Chapter 6, Adjuster Regulation and Law, of the Independent Adjuster Examination Content Outline, which the Alabama Department of Insurance posts at https://aldoi.gov/Licensing/ExamOutlines.aspx (the outline: https://aldoi.gov/PDF/Licensing/2015AdjusterExamOutline.pdf). Each question names its section and links to it. Licence: Own work. Every question, wrong choice and explanation was written for this site from the text of the law. Nothing comes from a testing vendor, a prep course or an exam question pool.
How it works
This unofficial Alabama insurance adjuster practice test covers the independent adjuster exam's law part: 105 of our own questions from the Code of Alabama and the claims regulation, each naming its section. Not affiliated with the Alabama Department of Insurance.
Read the full guide
Alabama adjuster license study guide: where the law sits
Chapter 6 of the Department's independent adjuster outline, Adjuster Regulation and Law, is 19 questions on the combined exam and 19 on the property and casualty exam. The other chapters follow a prelicensing course book, not public law, and are not asked here.
What the law part covers
Licensing and conduct under the independent adjuster chapter of the Code, the claims standards of Administrative Code chapter 482-1-125, the Trade Practices Law, insurance fraud, auto liability limits, the guaranty association and wind mitigation discounts. Federal privacy and credit reporting law, also on the outline, is left out.
Acknowledge a first party claim in 15 days, decide within 30 days of proofs of loss, pay within 30 days of agreement (Rules 482-1-125-.06, 482-1-125-.07).
An apprentice license lasts 12 months, cannot be renewed and can be held once in a lifetime (Section 27-9A-11).
Minimum auto liability limits are $25,000 for one person, $50,000 for two or more and $25,000 for property (Section 32-7-6).
Questions and answers
How many questions are on the Alabama adjuster exam?
The Department's outline gives 150 questions in 180 minutes for the combined exam with workers' compensation and crop, and 125 questions in 150 minutes for the property and casualty exam. Workers' compensation and crop alone are 100 questions each.
What score passes the Alabama adjuster exam?
The outline sets a minimum number correct: 105 of 150 on the combined exam and 88 of 125 on the property and casualty exam, about 70 percent on each.
Is this Alabama adjuster practice test free?
Yes. All 105 questions are open, and your answers stay in your browser. The questions were written for this page from the Code and the regulation; none comes from the state exam, and the Alabama Department of Insurance did not write or review them.
Who needs an independent adjuster license in Alabama?
Under Section 27-9A-4, nobody may act as an independent adjuster in Alabama without the license. Section 27-9A-3 leaves out, among others, a salaried employee of an insurer and a person who settles only reinsurance or subrogation claims.