Key Takeaways
- Effective October 1, 2025, North Carolina eliminated pre-licensing education requirements for P&C insurance
- The combined exam consists of 110 questions (55 Property + 55 Casualty) with a 70% passing score required
- Exams are administered by Pearson VUE at testing centers throughout North Carolina
- Fingerprint fee is $38 for the required background check through NCDOI
- North Carolina auto insurance minimums are 30/60/25 for liability coverage
- North Carolina uses pure contributory negligence - one of only 4 states (plus DC) with this rule
North Carolina Property & Casualty Exam Overview
Welcome to OpenExamPrep's FREE North Carolina Property & Casualty Insurance exam prep guide. This comprehensive resource covers North Carolina-specific regulations, licensing requirements, and state insurance laws you need to know to pass your exam in 2026.
About the North Carolina P&C Exam
The North Carolina Property & Casualty insurance examination is administered by Pearson VUE on behalf of the North Carolina Department of Insurance (NCDOI). The exam tests your knowledge of:
- North Carolina Insurance Code and regulations
- Property insurance principles (homeowners, fire, commercial property)
- Casualty insurance principles (auto, liability, workers' compensation)
- Pure contributory negligence rules
- NC Beach Plan (NCIUA) and coastal insurance
- NC Reinsurance Facility for auto
- Ethics and professional conduct
- Consumer protection laws
Exam Structure
| Exam Component | Details |
|---|---|
| Testing Provider | Pearson VUE |
| Regulatory Authority | North Carolina Department of Insurance (NCDOI) |
| Passing Score | 70% or higher |
| Total Questions | 110 multiple-choice |
| Question Breakdown | 55 Property + 55 Casualty |
| Test Delivery | Computer-based at testing centers |
| Results | Immediate upon completion |
Important: The combined exam tests both Property and Casualty knowledge in one sitting. You must achieve 70% overall to pass.
Exam Options
| Exam Type | Questions | What It Covers |
|---|---|---|
| Property Only | 55 | Homeowners, fire, commercial property, NC Beach Plan |
| Casualty Only | 55 | Auto, liability, workers' comp, NC Reinsurance Facility |
| Combined P&C | 110 | Both property and casualty |
Recommendation: Most candidates take the Combined P&C exam to obtain a full Property & Casualty license in one sitting.
Major Change: Pre-Licensing Requirements Eliminated (October 1, 2025)
Effective October 1, 2025, North Carolina eliminated pre-licensing education requirements for Property & Casualty insurance licenses.
Before October 1, 2025
| License Type | Previous Requirement |
|---|---|
| P&C License | 40 hours pre-licensing education |
| Completion | Required before exam scheduling |
| Certificate | Must submit with application |
After October 1, 2025 (Current)
| License Type | New Requirement |
|---|---|
| P&C License | 0 hours - NO pre-licensing required |
| Completion | N/A |
| Certificate | Not needed |
What This Change Means for You
- Immediate access - Start studying and schedule exam anytime
- Cost savings - No mandatory pre-license course fees ($200-400 saved)
- Flexible timeline - Prepare at your own pace
- Lower barrier to entry - More accessible career path
Note: While pre-licensing is no longer required, the exam content has NOT changed. You still need comprehensive knowledge of P&C insurance and North Carolina law to pass.
North Carolina Insurance Market Context
Why North Carolina Is Unique
North Carolina has distinctive insurance characteristics:
-
Pure Contributory Negligence
- NC is one of only 4 states (plus DC) using pure contributory negligence
- If plaintiff is ANY percentage at fault, they CANNOT recover damages
- Even 1% fault bars recovery entirely
- This is much stricter than comparative negligence in most states
-
Coastal Insurance Challenges
- NC Beach Plan (NCIUA) for coastal properties
- Hurricane and wind coverage issues
- 18 coastal counties with special requirements
- Significant wind/hail exposure
-
Residual Market Programs
- NC Reinsurance Facility for high-risk auto
- All insurers must participate in facility
- Ensures all drivers can obtain coverage
- Clean Risk Program for standard risks
-
Market Characteristics
- Growing population (major metros: Charlotte, Raleigh, Greensboro)
- Diverse risks from mountains to coast
- Strong banking and financial services sector
- Agricultural industry with specialized needs
North Carolina Auto Insurance Requirements
All North Carolina drivers must maintain minimum liability coverage:
| Coverage Type | Minimum Limit |
|---|---|
| Bodily Injury (per person) | $30,000 |
| Bodily Injury (per accident) | $60,000 |
| Property Damage | $25,000 |
Exam Tip: North Carolina's auto minimums are 30/60/25 - higher than many states. This is frequently tested along with the pure contributory negligence rule.
Additional Auto Coverage Notes
- Uninsured Motorist (UM): Must be offered; written rejection required to decline
- Underinsured Motorist (UIM): Must be offered with UM
- Medical Payments: Optional coverage
- NC Reinsurance Facility: Safety net for high-risk drivers
License Application Process
Step-by-Step Process
-
Study and Prepare (No pre-license course required as of 10/1/25)
- Complete this FREE study guide
- Review national P&C concepts
- Master NC-specific laws (contributory negligence, Beach Plan)
- Take practice quizzes
-
Schedule and Pass the Exam
- Register with Pearson VUE online
- Pay exam fee
- Choose testing center location
- Pass with 70%+ score
- Receive immediate results
-
Complete Fingerprinting
- Required for background check
- $38 fingerprint fee payable to NCDOI
- Schedule through approved vendor
- State and FBI background check processed
-
Apply for License
- Submit application through NIPR or directly to NCDOI
- Pay license application fee
- Provide all required documentation
- Include exam pass documentation and fingerprint receipt
-
Receive License
- NCDOI review takes 2-4 weeks
- License issued upon approval
- Valid for 2 years
- Begin selling P&C insurance in North Carolina
Exam Retake Policy
| Situation | Policy |
|---|---|
| Failed Exam | Wait 24 hours before retaking |
| Retake Fee | Pay full exam fee |
| No Limit | North Carolina has no limit on retake attempts |
| Study Recommendation | Review weak areas before retaking |
Total Costs Summary
| Item | Cost |
|---|---|
| Pre-License Education | $0 (eliminated 10/1/25) |
| Exam Fee | ~$50-75 |
| Fingerprinting Fee | $38 |
| License Application Fee | ~$50 |
| TOTAL (Estimated) | $138-163 |
Cost Savings: The elimination of pre-licensing education (effective 10/1/25) saves candidates $200-400, making North Carolina one of the more affordable states for P&C licensing.
License Maintenance
| Requirement | Details |
|---|---|
| License Term | 2 years |
| CE Hours | 24 hours every 2 years |
| Ethics Hours | Included in 24 total |
| Renewal Fee | Varies |
| Late Renewal | Additional penalty fees apply |
Continuing Education Details
- 24 hours required every 2-year license period
- Ethics hours included in total requirement
- Must be completed before license expiration
- From NCDOI-approved CE providers
- Online and classroom options available
North Carolina-Specific Insurance Programs
NC Beach Plan (NCIUA)
The North Carolina Insurance Underwriting Association (NCIUA), known as the "NC Beach Plan":
| Feature | Details |
|---|---|
| Purpose | Property insurance for coastal high-risk areas |
| Coverage Area | 18 coastal counties |
| Primary Coverage | Wind and hail damage |
| Type | Insurer of last resort |
| Funding | Assessments on all property insurers |
Exam Tip: Know that the NC Beach Plan covers wind/hail in 18 coastal counties as an insurer of last resort. This is heavily tested.
NC Reinsurance Facility
The North Carolina Reinsurance Facility for auto insurance:
| Feature | Details |
|---|---|
| Purpose | Auto insurance for high-risk drivers |
| Participation | All auto insurers must participate |
| Clean Risk Program | For standard-risk drivers |
| Ceded Policies | Reinsured through facility |
| Ensures Access | All NC drivers can obtain coverage |
Pure Contributory Negligence
North Carolina is one of only 4 states (plus DC) using pure contributory negligence:
| Aspect | Description |
|---|---|
| Standard | ANY fault by plaintiff bars recovery |
| Threshold | Even 1% plaintiff fault = no damages |
| Compared to | Most states use comparative negligence |
| Impact | Significantly affects liability claims |
| Other States | Alabama, Maryland, Virginia, DC |
Exam Tip: Contributory negligence questions are almost guaranteed on the NC exam. Remember: ANY plaintiff fault = NO recovery.
North Carolina Department of Insurance Contact
| Resource | Details |
|---|---|
| Website | ncdoi.gov |
| Address | 1201 Mail Service Center<br/>Raleigh, NC 27699-1201 |
| Consumer Services | (855) 408-1212 |
| Agent Services | (919) 807-6800 |
| Commissioner | Elected by voters |
| Pearson VUE Registration | pearsonvue.com |
What This Guide Covers
This FREE study guide focuses on North Carolina state-specific content for the P&C exam:
Chapter 1: North Carolina Insurance Regulation & Licensing
- North Carolina Department of Insurance (NCDOI) structure
- Commissioner authority (elected position)
- Producer licensing requirements and CE
- Prohibited practices and penalties
Chapter 2: North Carolina Property Insurance Laws
- Homeowners insurance requirements
- NC Beach Plan (NCIUA) for coastal areas
- Hurricane and wind coverage
- Claims handling timeframes
Chapter 3: North Carolina Casualty Insurance Laws
- Auto insurance minimums (30/60/25)
- Pure contributory negligence rules
- NC Reinsurance Facility
- Uninsured/underinsured motorist requirements
- Workers' compensation regulations
Chapter 4: Ethics & Consumer Protection
- Unfair trade practices
- Claims handling requirements
- NC Guaranty Association
- Producer conduct standards
national Property & Casualty exam prepFree exam prep with practice questions & AI tutor
Study Tips for Success
Key Numbers to Memorize
| Topic | Number |
|---|---|
| Pre-license hours | 0 hours (eliminated 10/1/25) |
| Total exam questions | 110 (55 Property + 55 Casualty) |
| Passing score | 70% |
| Fingerprint fee | $38 |
| License term | 2 years |
| CE hours per renewal | 24 |
| Auto minimum liability | 30/60/25 |
| Coastal counties (Beach Plan) | 18 |
| Contributory negligence states | 4 (plus DC) |
North Carolina-Specific Topics to Master
- Pure Contributory Negligence Rule
- 30/60/25 Auto Liability Minimums
- NC Beach Plan (NCIUA) - 18 Coastal Counties
- NC Reinsurance Facility for Auto
- Pre-Licensing Elimination (10/1/25)
- $38 Fingerprint Fee
- Elected Insurance Commissioner
Next Steps
Ready to begin? Here's your action plan:
- Complete this FREE study guide - Read all 4 chapters
- Study national P&C concepts - See our Property & Casualty exam prep
- Take chapter quizzes - Test your knowledge
- Master contributory negligence - Critical for NC exam
- Register with Pearson VUE - Schedule your exam
- Pass exam - With 70%+ score
- Complete fingerprinting - $38 fee
- Apply for license - Through NIPR or NCDOI
Remember: North Carolina eliminated pre-licensing requirements effective October 1, 2025, making it more accessible to enter the insurance industry. However, the exam is still comprehensive - prepare thoroughly!
Let's get started with Chapter 1: North Carolina Insurance Regulation & Licensing!
As of October 1, 2025, how many hours of pre-licensing education does North Carolina require for a P&C license?
What are North Carolina's minimum auto liability insurance limits?
What is the fingerprint fee required for North Carolina P&C license applicants?
How many questions are on the combined North Carolina P&C exam?
What type of negligence system does North Carolina use?
What is the NC Beach Plan (NCIUA) and how many counties does it cover?