Under the version of the Nevada statute effective October 1, 2026, what is the most that may be counted for any one employee of a private employer when totaling the amounts paid to employees for services performed during a workers' compensation policy year?

An amount equal to 12 times the maximum average monthly wage set by the Administrator

An insurer authorized in Nevada has a salaried employee who, without holding a producer license, sells and negotiates property insurance policies to Nevada residents. Which statement correctly describes the employee's position under Nevada law?

The employee must be licensed and may be fined up to $1,000 for each violation

A Nevada auto insurer has accepted that its insured caused a crash. The claimant's vehicle damage is undisputed, but the insurer, as a regular business practice, withholds payment for it until the claimant agrees to a low figure on the injury claim under the same policy. Which listed unfair claims settlement practice best describes this conduct?

Failing to settle promptly under one part of the coverage, where liability is apparent, to influence settlement under another part

Before a Nevada broker places surplus lines insurance, for an insured whose home state is Nevada, with a nonadmitted foreign insurer that is absent from the NAIC Quarterly Listing of Alien Insurers, what does the Nevada Administrative Code require of the broker?

Make a reasonable effort to determine whether that insurer is financially solvent

An applicant for a Nevada motor vehicle physical damage appraiser's license asks how the surety bond requirement works. Which statement is accurate?

It is filed before the license issues and kept in force while licensed, in an amount the Commissioner sets

A person in Nevada performs the functions of a bail solicitor without holding the license required by Nevada's bail chapter. Which statement describes the administrative fine the Commissioner may impose?

Up to $1,000 for each act or violation, after notice and an opportunity to be heard

During an administrative hearing, the Nevada Insurance Commissioner relies on a preliminary report and an examiner's working papers from an examination of an insurer. How does Nevada law say such examination documents are to be treated as evidence?

Given appropriate evidentiary weight, but not accepted as prima facie evidence of their facts

Finding that an unauthorized insurer's conduct harms Nevada policyholders and that emergency action is imperatively required, the Commissioner issues a cease and desist order against it under the statute on remedies for unauthorized insurance. The insurer then requests a hearing. Within what period after the request must the Commissioner hold that hearing?

Within 30 days after the request

Free Nevada Property & Casualty practice questions

10 questions · no signup
Nothing is saved.

Real questions with the answer, the reasoning and the source.

1.Under the version of the Nevada statute effective October 1, 2026, what is the most that may be counted for any one employee of a private employer when totaling the amounts paid to employees for services performed during a workers' compensation policy year?
Answer: C. An amount equal to 12 times the maximum average monthly wage set by the Administrator
NRS 616B.222(1)(b), effective October 1, 2026, caps the amount counted for an employee of a non-public employer at 12 times the maximum average monthly wage, which the Administrator sets on or before January 1 each year. The $36,000 figure applies under paragraph (a) to employees of the State and its agencies and political subdivisions, not to a private employer's workers. The maximum average monthly wage is 150 percent of the state average weekly wage multiplied by 4.33, so 150 percent of the weekly wage alone is incomplete, and the section sets a maximum rather than counting unlimited actual pay.
Source
Nev. Rev. Stat. Sec. 616B.222(1)(b) (Determination of total amount paid to employees for services performed during policy year; effective October 1, 2026)
Choose an answer to see the explanation.
2.An insurer authorized in Nevada has a salaried employee who, without holding a producer license, sells and negotiates property insurance policies to Nevada residents. Which statement correctly describes the employee's position under Nevada law?
Answer: D. The employee must be licensed and may be fined up to $1,000 for each violation
Nevada prohibits selling, soliciting or negotiating insurance for any class without a license for that class. An insurer itself is exempt from producer licensing, but the statute states that this exemption does not reach the insurer's officers, directors, employees, subsidiaries or affiliates who sell, solicit or negotiate insurance, so the employee is not covered by it. A person who must be licensed and transacts insurance without a license faces an administrative fine of not more than $1,000 for each violation, so the fine applies per violation rather than once. Nothing in the provision ties the licensing requirement to whether a commission is paid.
Source
Nev. Rev. Stat. Sec. 683A.201(3) (License required; exemption for insurers; administrative fine), read with subsection 2
Choose an answer to see the explanation.
3.A Nevada auto insurer has accepted that its insured caused a crash. The claimant's vehicle damage is undisputed, but the insurer, as a regular business practice, withholds payment for it until the claimant agrees to a low figure on the injury claim under the same policy. Which listed unfair claims settlement practice best describes this conduct?
Answer: D. Failing to settle promptly under one part of the coverage, where liability is apparent, to influence settlement under another part
The unfair claims settlement practices list includes holding up a prompt settlement under one portion of the coverage, once liability is apparent, in order to influence settlement under other portions. Here the property damage portion is clear and is being used as leverage on the injury portion. Requiring a preliminary report followed by a formal proof of loss carrying substantially the same information is a different listed practice, and nothing here involves duplicate paperwork. Lowball offers that force insureds to litigate and advertising a habit of appealing arbitration awards are also separate listed practices, and neither is present.
Source
Nev. Rev. Stat. Sec. 686A.310(1)(l) (Unfair practices in settling claims)
Choose an answer to see the explanation.
4.Before a Nevada broker places surplus lines insurance, for an insured whose home state is Nevada, with a nonadmitted foreign insurer that is absent from the NAIC Quarterly Listing of Alien Insurers, what does the Nevada Administrative Code require of the broker?
Answer: D. Make a reasonable effort to determine whether that insurer is financially solvent
Under Nev. Admin. Code Sec. 685A.205(1), a broker placing surplus lines insurance for a Nevada home-state insured with a foreign or alien insurer that is not admitted and not on the NAIC Quarterly Listing of Alien Insurers must first make a reasonable effort to determine that insurer's financial solvency. The rule does not call for advance written approval of the insurer by the Commissioner. Under subsection 2, the broker submits the insurer's latest financial statement or supplemental information when the Commissioner requests it, which may be before or after placement, rather than automatically on every placement. The rule places the duty on the broker and says nothing about a signed acknowledgment from the insured.
Source
Nev. Admin. Code Sec. 685A.205(1) (Duties of brokers); Nev. Admin. Code Sec. 685A.205(2)
Choose an answer to see the explanation.
5.An applicant for a Nevada motor vehicle physical damage appraiser's license asks how the surety bond requirement works. Which statement is accurate?
Answer: C. It is filed before the license issues and kept in force while licensed, in an amount the Commissioner sets
NRS 684B.030 requires an applicant for a motor vehicle physical damage appraiser's license to file a surety bond with the Commissioner before the license issues and to keep it in force for as long as the license is held. The bond must comply with NRS 679B.175, and the Commissioner determines its amount. A replacement bond must satisfy every requirement that applied to the initial bond. Filing after issuance reverses the required order, letting the bond lapse ignores the continuing requirement, and a replacement held to a lesser standard contradicts the replacement rule.
Source
Nev. Rev. Stat. Sec. 684B.030 (Bond: Requirement; amount; replacement)
Choose an answer to see the explanation.
6.A person in Nevada performs the functions of a bail solicitor without holding the license required by Nevada's bail chapter. Which statement describes the administrative fine the Commissioner may impose?
Answer: C. Up to $1,000 for each act or violation, after notice and an opportunity to be heard
Nevada's bail chapter bars a person in this state from acting as a bail agent, bail enforcement agent or bail solicitor, or performing the functions of one, unless the person is qualified and licensed under that chapter. For a violation, the Commissioner may impose an administrative fine of up to $1,000 for each act or violation, but only after notice and an opportunity to be heard. The cap applies to each act, not to the whole course of conduct, and the hearing opportunity comes first, so a fine imposed with no hearing does not match the statute. The statute sets no $5,000 figure and does not make a criminal conviction a condition of the fine.
Source
Nev. Rev. Stat. Sec. 697.090(1) (License required to act as bail agent, general agent, bail enforcement agent or bail solicitor; administrative fine)
Choose an answer to see the explanation.
7.A Nevada producer places a large commercial fire risk with a stock property insurer whose surplus to policyholders is $40,000,000. Under Nevada's retention limit, what is the most the insurer may keep on that one subject of insurance, after deducting reinsurance it has ceded as authorized?
Answer: B. $4,000,000
Nevada caps the risk an insurer may retain on any one subject of insurance at 10 percent of its surplus to policyholders, and authorized reinsurance ceded is deducted when measuring what is retained. Ten percent of $40,000,000 is $4,000,000. The $2,000,000 figure reflects 5 percent, the $8,000,000 figure reflects 20 percent, and the $10,000,000 figure reflects 25 percent, so each misstates the 10 percent cap. The stem names a stock insurer because the statute makes an exception for domestic mutual insurers.
Source
Nev. Rev. Stat. Sec. 681A.100(1) (Amount of risk that insurer may retain)
Choose an answer to see the explanation.
8.During an administrative hearing, the Nevada Insurance Commissioner relies on a preliminary report and an examiner's working papers from an examination of an insurer. How does Nevada law say such examination documents are to be treated as evidence?
Answer: C. Given appropriate evidentiary weight, but not accepted as prima facie evidence of their facts
Nev. Rev. Stat. Sec. 679B.250(8)(b) preserves the Commissioner's authority, during a hearing or legal action, to use a final or preliminary examination report, an examiner's working papers or other information developed in an examination, and to make it public if a court so orders. The same paragraph says those documents receive the evidentiary weight appropriate to them and are barred from being accepted as prima facie evidence of the facts they contain. That rules out treating them as automatic proof of the recorded facts, and it rules out treating them as conclusive. They are also not excluded, because the statute expressly allows the Commissioner to use them at the hearing.
Source
Nev. Rev. Stat. Sec. 679B.250(8)(b) (Conduct of examination; access to records; corrections; penalty)
Choose an answer to see the explanation.
9.A Nevada insurer receives a properly executed proof of loss on a claim. Under Nevada's unfair claim settlement provisions, within what period must the insurer tell the claimant whether the claim is accepted or denied?
Answer: A. 30 working days
Once a properly executed proof of loss is in hand, the insurer must tell the claimant whether the claim is accepted or denied within 30 working days. The period runs from receipt of the proof of loss, not from a lawsuit or from the date of the loss, and the provision does not leave the timing to the insurer's discretion.
Source
Nev. Admin. Code Sec. 686A.675(1) (Standards applicable to all insurers)
Choose an answer to see the explanation.
10.Finding that an unauthorized insurer's conduct harms Nevada policyholders and that emergency action is imperatively required, the Commissioner issues a cease and desist order against it under the statute on remedies for unauthorized insurance. The insurer then requests a hearing. Within what period after the request must the Commissioner hold that hearing?
Answer: B. Within 30 days after the request
Nev. Rev. Stat. Sec. 685B.035(1)(c) allows the Commissioner to issue a cease and desist order against an insurer engaged in unauthorized insurance when its conduct is injurious to the public or policyholders and emergency action is imperatively required. When the Commissioner issues such an order, the hearing must be held within 30 days after the insurer requests it. The 60-day period is the general deadline for a hearing on an aggrieved person's application, and 20 days is the general minimum notice period for a hearing, so neither is the period for this emergency order. A 45-day period does not appear in this provision.
Source
Nev. Rev. Stat. Sec. 685B.035(1)(c) (Remedies available to Commissioner)
Choose an answer to see the explanation.

The other 409 questions are $29.

Lifetime access, the full timed simulator, drills on the areas that cost you marks, and a readiness score that tells you when to book. One payment, nothing recurring, nothing else to buy.

Take the free scored exam See what access includes

The scored exam is free, 20 questions in 30 minutes, and needs an account. These 10 do not.

1.Under the version of the Nevada statute effective October 1, 2026, what is the most that may be counted for any one employee of a private employer when totaling the amounts paid to employees for services performed during a workers' compensation policy year?

2.An insurer authorized in Nevada has a salaried employee who, without holding a producer license, sells and negotiates property insurance policies to Nevada residents. Which statement correctly describes the employee's position under Nevada law?

4.Before a Nevada broker places surplus lines insurance, for an insured whose home state is Nevada, with a nonadmitted foreign insurer that is absent from the NAIC Quarterly Listing of Alien Insurers, what does the Nevada Administrative Code require of the broker?

5.An applicant for a Nevada motor vehicle physical damage appraiser's license asks how the surety bond requirement works. Which statement is accurate?

6.A person in Nevada performs the functions of a bail solicitor without holding the license required by Nevada's bail chapter. Which statement describes the administrative fine the Commissioner may impose?

7.A Nevada producer places a large commercial fire risk with a stock property insurer whose surplus to policyholders is $40,000,000. Under Nevada's retention limit, what is the most the insurer may keep on that one subject of insurance, after deducting reinsurance it has ceded as authorized?

8.During an administrative hearing, the Nevada Insurance Commissioner relies on a preliminary report and an examiner's working papers from an examination of an insurer. How does Nevada law say such examination documents are to be treated as evidence?

9.A Nevada insurer receives a properly executed proof of loss on a claim. Under Nevada's unfair claim settlement provisions, within what period must the insurer tell the claimant whether the claim is accepted or denied?

The other 409 questions are $29.