100+ Free Casualty-Only Practice Questions

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Which of the following is NOT one of the four elements a plaintiff must prove to establish negligence?

Duty owed to the plaintiff

Breach of that duty

Intent to cause harm

Damages caused by the breach

to track

2026 Statistics

Key Facts: Casualty-Only Exam

100

Practice Questions

OpenExamPrep bank

70%

Passing Score

State DOI standard

25%

CGL Topic Weight

Pearson VUE outline

$50-75

Exam Fee

Pearson VUE / PSI

AR, LA, MI, MS

Split-License States

NAIC state codes

25-35 hrs

Study Time

Recommended

Casualty-Only is the liability half of a split P&C license, used in Arkansas, Louisiana, Michigan, Mississippi and a few other states. The exam runs ~85-125 questions in 2 hours with a 70% passing score and ~$50-75 fee. CGL (occurrence vs claims-made) is the largest single topic at ~25%, followed by personal auto liability and workers comp. Property topics — homeowners, dwelling, commercial property — are NOT tested.

Sample Casualty-Only Practice Questions

Try these sample questions to test your Casualty-Only exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1Which of the following is NOT one of the four elements a plaintiff must prove to establish negligence?

A.Duty owed to the plaintiff

B.Breach of that duty

C.Intent to cause harm

D.Damages caused by the breach

Explanation: Negligence has four elements: duty, breach, proximate cause, and damages. Intent is NOT required — that would make it an intentional tort. Casualty insurance generally covers negligent (accidental) acts, not intentional ones, which is why the CGL excludes expected or intended injury.

2A driver runs a red light and hits another car. Which type of damages compensates the injured party for medical bills and lost wages?

A.Punitive damages

B.Compensatory (special) damages

C.Nominal damages

D.Liquidated damages

Explanation: Compensatory damages reimburse actual losses. Special (economic) damages cover quantifiable items like medical bills and lost wages; general damages cover pain and suffering. Punitive damages punish egregious conduct and are usually NOT covered by casualty policies.

3Under contributory negligence, a plaintiff who is even 1% at fault recovers:

A.Their full damages minus 1%

B.Nothing

C.Half of their damages

D.Only economic damages

Explanation: Pure contributory negligence (still used in AL, MD, NC, VA, and DC) bars any recovery if the plaintiff was even partially at fault. Most states use comparative negligence instead, which reduces the recovery proportionally.

4Modified comparative negligence (50% bar rule) prevents a plaintiff from recovering when the plaintiff is:

A.1% or more at fault

B.25% or more at fault

C.50% or more at fault

D.100% at fault

Explanation: Under the 50% bar rule, a plaintiff who is 50% or more at fault recovers nothing; if less than 50% at fault, the recovery is reduced proportionally. Some states use a 51% bar rule (barred only if MORE than 50% at fault).

5An employee is hurt during a recreational softball game the company sponsors voluntarily on weekends. Which defense most strongly limits the employer's tort liability?

A.Assumption of risk

B.Sovereign immunity

C.Last clear chance

D.Res ipsa loquitur

Explanation: Assumption of risk applies when a person voluntarily and knowingly engages in an activity with obvious risks (like a softball game). Last clear chance is a plaintiff's doctrine. Res ipsa loquitur is an evidentiary inference of negligence. Sovereign immunity protects governments.

6Strict liability differs from negligence in that the plaintiff does NOT have to prove:

A.That damages occurred

B.Causation

C.Fault or negligence

D.Their identity

Explanation: Strict liability (also called absolute liability) imposes responsibility WITHOUT proof of fault. It applies to abnormally dangerous activities (e.g., blasting, keeping wild animals) and most products liability claims. The plaintiff must still prove damages and causation.

7Which statement best describes the difference between a tort and a crime?

A.A tort is a civil wrong; a crime is a public wrong against the state

B.A tort always involves intent; a crime never does

C.Crimes are settled by money damages; torts are settled by jail

D.There is no legal difference

Explanation: A tort is a civil wrong remedied by money damages, while a crime is an offense against society prosecuted by the state. The same act (e.g., assault) can be both a tort and a crime, but casualty insurance only addresses the tort/civil-damages side.

8An invitee, a licensee, and a trespasser are on the same property. To whom does the property owner owe the HIGHEST duty of care?

A.Trespasser

B.Licensee

C.Invitee

D.All three are owed the same duty

Explanation: Traditional premises liability creates three classes: invitee (highest duty — inspect and warn of unknown hazards), licensee (warn of known dangers), and trespasser (lowest duty — refrain from willful harm). An invitee enters for the owner's business benefit, like a customer in a store.

9Vicarious liability most commonly arises in which relationship?

A.Buyer and seller in an arm's-length sale

B.Employer and employee acting within the scope of employment

C.Two unrelated drivers in a collision

D.Independent contractor and homeowner

Explanation: Under respondeat superior, an employer is vicariously liable for an employee's negligent acts committed within the scope of employment. This is why CGL covers liability arising from employee acts. Generally, you are NOT vicariously liable for an independent contractor.

10Which of the following is generally considered an INTENTIONAL tort and therefore excluded by most liability policies?

A.A slip and fall caused by a wet floor

B.A driver running a stop sign

C.Battery committed by the insured

D.A defective product injuring a user

Explanation: Battery (harmful or offensive contact) is an intentional tort. CGL Coverage A excludes bodily injury or property damage 'expected or intended.' The slip-and-fall, traffic violation, and product defect are negligence or strict liability — covered claims.

About the Casualty-Only Exam

The Casualty-Only insurance license covers liability lines — personal auto liability, commercial general liability (CGL), workers compensation, commercial auto, professional liability/E&O, umbrella, and surety bonds — and is offered in states (AR, LA, MI, MS) that issue Property and Casualty as separate licenses. Property coverage is excluded.

Questions

100 scored questions

Time Limit

2 hours

Passing Score

70%

Exam Fee

$50-75 (State Insurance Commissioner / Pearson VUE or PSI)

Casualty-Only Exam Content Outline

10%

General Casualty & Liability Principles

Negligence elements, tort law, compensatory vs punitive damages, contributory vs comparative negligence, statutory and assumption-of-risk defenses

15%

Personal Auto Liability

Personal Auto Policy (PAP) Coverage A bodily injury and property damage, split limits (e.g., 100/300/100) vs combined single limit (CSL), Uninsured/Underinsured Motorist (UM/UIM) — required in many states

25%

Commercial General Liability (CGL)

Coverage A bodily injury and property damage, Coverage B personal and advertising injury, Coverage C medical payments, occurrence vs claims-made (retroactive date, basic and supplemental ERPs, tail vs nose coverage), products-completed operations hazard, premises liability, additional insured endorsements (CG 20 10 ongoing operations, CG 20 37 completed operations)

15%

Workers Compensation

The four WC benefits (medical, indemnity/lost wages, vocational rehabilitation, death), AOE/COE doctrine (arising out of employment / course of employment), exclusive remedy doctrine, experience modifier (mod factor), NCCI classification codes, employers liability (Part Two)

10%

Commercial Auto

Business Auto Coverage Form (BACF) symbols 1 through 9, hired and non-owned auto, garagekeepers coverage, trailer interchange (CA 99 03), drive-other-car (DOC) endorsements

10%

Professional Liability / E&O / D&O

Errors and Omissions (E&O) on claims-made trigger, retroactive date, extended reporting periods, Directors and Officers (D&O) Sides A, B, and C, employment practices liability (EPLI)

Umbrella & Excess Liability

Drop-down umbrella vs follow-form excess, self-insured retention (SIR), schedule of underlying insurance, coverage gaps

Surety & Fidelity Bonds

Three-party surety relationship (principal, obligee, surety), bid bonds, performance bonds, payment bonds, license and permit bonds, fidelity bonds (employee dishonesty)

Regulations & Ethics

Producer licensing, unfair claims settlement practices, fiduciary duties, prohibited acts, state insurance code

How to Pass the Casualty-Only Exam

What You Need to Know

Passing score: 70%
Exam length: 100 questions
Time limit: 2 hours
Exam fee: $50-75

Keys to Passing

Complete 500+ practice questions
Score 80%+ consistently before scheduling
Focus on highest-weighted sections
Use our AI tutor for tough concepts

Casualty-Only Study Tips from Top Performers

1Memorize the CGL coverage map cold: Coverage A = bodily injury and property damage (occurrence), Coverage B = personal and advertising injury, Coverage C = medical payments (no fault, no suit required)

2Drill occurrence vs claims-made until reflexive — know retroactive date, basic ERP, supplemental ERP (tail), and prior-acts coverage (nose) for switching policies

3Learn the BACF symbols 1 through 9 — symbol 1 (any auto) is broadest, symbol 7 (specifically described) is narrowest, symbols 8 and 9 cover hired and non-owned

4Know the four workers comp benefits (medical, indemnity, vocational rehab, death), the AOE/COE test, and that exclusive remedy bars the employee from suing the employer

5Memorize the surety three-party relationship: principal performs, obligee is protected, surety guarantees — and the bid/performance/payment bond sequence on a construction project

Frequently Asked Questions

How is Casualty-Only different from a full Property and Casualty license?

Casualty-Only covers liability lines only — personal auto liability, CGL, workers comp, commercial auto liability, professional liability, umbrella, and surety bonds. It excludes all property coverage (homeowners, dwelling, commercial property, inland marine). A full P&C license adds the property side. Producers in states like Arkansas, Louisiana, Michigan, and Mississippi can hold Casualty-Only, Property-Only, or both.

Who issues the Casualty-Only license?

Each state's insurance department (DOI) issues the license. The exam is administered by Pearson VUE or PSI under contract with the state. National content follows a standardized casualty content outline; many states add a state-specific section on local laws and regulations.

What does Casualty-Only insurance actually cover?

Casualty-Only authorizes you to sell and service liability-based products: personal and commercial auto liability, commercial general liability (CGL), workers compensation, professional liability/E&O, directors and officers (D&O), employment practices liability, umbrella and excess liability, and surety/fidelity bonds. It does NOT authorize selling homeowners, dwelling fire, commercial property, or inland marine insurance.

How many questions are on the Casualty-Only exam?

Most states use ~85-125 questions on the casualty exam, depending on whether the state combines national and state-law portions. The pass score is 70% and you have 2 hours. Our practice bank delivers 100 questions weighted to match the typical content outline so you can score yourself against the live exam.

What is the difference between occurrence and claims-made on a CGL?

An occurrence form covers bodily injury or property damage that happens during the policy period, no matter when the claim is reported — even years later. A claims-made form covers claims first made during the policy period (or any extended reporting period), provided the injury occurred on or after the retroactive date. CGL Coverages A and C are typically occurrence; CGL Coverage B and most professional liability policies are claims-made. Tail coverage (nose/prior-acts) protects the gap when switching forms.

What career paths does Casualty-Only open up?

Casualty-Only is common for commercial lines specialists, workers comp brokers, surety/bond producers, and claims adjusters who focus on liability. Most agents add the Property line within their first 1-2 years to access homeowners and commercial property, earning a full P&C license. Average commercial lines producer income is $60K-$110K plus commission.