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AK · Pearson VUE · 80 questions
Alaska Independent Adjuster Practice Test
Alaska licenses independent adjusters, the people who investigate and settle property, casualty and workers' compensation claims for insurers that do not employ them, under AS 21.27 and the Division of Insurance in the Department of Commerce, Community, and Economic Development. Staff adjusters of admitted insurers, appointed producers and surplus lines brokers adjusting for their own insurers are exempt, and Alaska issues no staff or public adjuster license. Residents need six months of qualifying insurance experience in the previous two calendar years, then pass the Pearson VUE adjuster exam, apply through NIPR and file a fingerprint card; newcomers can instead start on a trainee license under a licensed independent adjuster. The license costs $75, renews every two years on your birthday and requires 24 CE hours, including 3 of ethics. Our Alaska adjuster license guide covers nonresident and designated home state rules.
The exam is one 80-question section with a 90-minute limit, and you need a scaled score of 70. It leans on claim practice: 18 questions on insurance terms and concepts such as estoppel, waiver, reservation of rights, subrogation and damages; 21 on Alaska law, including license renewal and discipline, continuing education, the unfair claim settlement regulations in 3 AAC 26, how claims must be paid, record retention and auto liability minimums; and 41 on policies, from personal and commercial auto, homeowners and the CGL to workers' compensation with the Longshore Act and Jones Act, inland marine and equipment breakdown. Our 40 Alaska law questions cover those rules plus trainee and emergency adjuster licensing, the guaranty association and the 2026 ban on depreciating labor, with the statute or regulation behind each answer named in its source.
Exam vendor
Pearson VUE
Exam code
14
Questions
80 scoreable questions
Time limit
1 hour 30 minutes
Passing score
Scaled score of 70
Exam fee
$89
A failed candidate retakes the entire examination and pays the $89 fee again. Online (OnVUE) testing allows four attempts per exam, with waits of 7, 14 and 30 days after the first, second and third failures; any later attempt must be taken at a Pearson VUE test center.
Book at least one day ahead online or by phone (no walk-ins). Change or cancel at least 48 hours before a test center appointment, or 24 hours before an OnVUE session, or the fee is forfeited. Scores are valid for one year (3 AAC 23.070), so apply for the license within a year of passing.
Residents need six months of qualifying insurance work in the previous two calendar years, or an Alaska independent adjuster license held in the previous four calendar years (AS 21.27.830). Without experience, a licensed independent adjuster can employ you on a 12-month trainee license, and you must score 60 or more by month 4 and 70 or more by month 8. Nonresidents licensed as independent adjusters in their home state do not take the Alaska exam.
Alaska Insurance Law for Adjusters: practice questions (part 1 of 2)
State law is the part of the exam that general study guides skip and the part most candidates miss. These 25 questions are written from the statutes and rules cited in each explanation.
0 of 25 answered
Who must be licensed · Recall
Tomas is a salaried claims representative for an admitted insurer and settles auto claims in Anchorage only for his employer's policyholders. Under Alaska law, which license does he need for this work?
Show answer and explanation
Correct answer: C. No license, as he adjusts only for his employer, an admitted insurer
AS 21.97.900 defines an independent adjuster as someone who adjusts losses for an insurer, for a fee or commission, as an independent contractor or a contractor's employee. The Division says staff adjusters who adjust claims for their employer, an admitted insurer, need no independent adjuster license, and Alaska does not issue a staff adjuster license at all. The trainee license is for people working under a licensed independent adjuster.
Rosa holds an Alaska property and casualty producer license and is appointed by Northern Mutual, an admitted insurer. Northern Mutual asks her to investigate and settle a small theft claim for one of its insureds. Under AS 21.27.850, what license does Rosa need for this claim?
Show answer and explanation
Correct answer: A. None beyond her producer license, since Northern Mutual appointed her
AS 21.27.850(1) lets a licensed producer or managing general agent, incidental to acting as a producer, investigate, adjust and report on claims for an admitted insurer that appointed the producer as its agent, without a separate independent adjuster license. Similar exceptions cover surplus lines brokers adjusting for nonadmitted insurers. The exempt filing under AS 21.27.860 is for unlicensed nonresident independent adjusters, and trainee licenses are for people without qualifying experience.
Which statement best describes how Alaska licenses public adjusters, who handle claims on behalf of insureds rather than insurers?
Show answer and explanation
Correct answer: D. Alaska issues no such license, but the work may be the practice of law
The Division states that Alaska does not issue a public adjuster license and its insurance code does not require one. The Division has no authority to authorize or prohibit public adjusting except where unfair claim settlement practices under AS 21.36.125 are involved, and it warns that public adjusting may be the unauthorized practice of law, citing an Alaska Supreme Court decision. No bond or endorsement exists.
Ana worked full time for eight months in 2025 as an underwriter employed by an insurer and has never held an adjuster license. In 2026 she applies for an Alaska resident independent adjuster license. Under AS 21.27.830, does her work history meet the experience requirement?
Show answer and explanation
Correct answer: B. Yes, insurer underwriting work counts toward the six months needed
AS 21.27.830(1) requires at least six months of active working experience within the previous two calendar years as a trainee adjuster, producer, managing general agent, reinsurance intermediary, surplus lines broker, independent adjuster, or an underwriter or claims employee of an insurer. Ana's eight months as an insurer's underwriter qualifies. Alaska has no prelicensing course, and an Alaska independent adjuster license held within the previous four calendar years also satisfies the rule.
Malik passed the Alaska adjuster licensing examination on March 10, 2025, but did not apply for his license until April 20, 2026. Under 3 AAC 23.070, what is the status of his passing score?
Show answer and explanation
Correct answer: B. It has expired, so he must retake the required examination
Under 3 AAC 23.070, an examination score is valid for one year after the examination date for an applicant who has not completed the application process and obtained a license. After that year, the applicant must retake the required examination. Malik applied more than 13 months after testing, so his score has lapsed. The Pearson VUE Alaska handbook also says scores must be less than one year old when the candidate applies.
Under AS 21.27.840, the director must revoke a trainee independent adjuster license unless the trainee meets which deadlines, counted from the license's effective date?
Show answer and explanation
Correct answer: D. Law requirement by month 4, claims requirement by month 8, all others by month 12
AS 21.27.840(c) requires a trainee to meet the examination requirement on Alaska insurance laws and regulations within four months, the requirement on handling loss claims and licensee duties within eight months, and all other independent adjuster requirements within 12 months. The Pearson VUE handbook says the trainee submits a score of 60 or more at four months and 70 or more at eight months. A trainee license cannot exceed 12 months or be renewed.
Priya holds an Alaska trainee independent adjuster license and works for a licensed independent adjuster in Fairbanks. She is assigned a water loss at an insured's home across town. Under AS 21.27.840, which statement about her role is correct?
Show answer and explanation
Correct answer: A. A licensed adjuster must go with her, and her closing is tentative
AS 21.27.840(g) limits a trainee to a factual investigation and a tentative closing of a loss, subject to review and final determination by the employing licensed independent adjuster, with the file showing that supervision. Under subsection (h), a trainee may not work a loss away from the place of business unless a licensed independent adjuster physically accompanies her. No dollar threshold or test result removes these limits, and the employer answers for her actions.
Derek lives in Texas and holds a Texas all-lines adjuster license in good standing. He applies through NIPR for an Alaska nonresident independent adjuster license. Under AS 21.27.270(h), which statement is correct?
Show answer and explanation
Correct answer: C. He is exempt from the Alaska examination and experience requirements
AS 21.27.270(h), as amended effective January 1, 2026, says a nonresident applicant who is licensed as an independent adjuster and in good standing in the home state does not have to meet the examination requirement of AS 21.27.060 or the experience requirement of AS 21.27.830. Derek applies through NIPR and pays the fee. Designating Alaska as a home state is a different route that requires meeting resident requirements, including the examination and fingerprints.
Marcus lives in Pennsylvania, which does not license independent adjusters, and wants Alaska to be his designated home state for adjuster licensing. Under AS 21.27.270(j) and Division guidance, what must he do?
Show answer and explanation
Correct answer: D. Pass Alaska's adjuster exam, apply on NIPR and submit fingerprints
AS 21.27.270(j) requires a nonresident who designates Alaska as home state to qualify under AS 21.27.020, which includes passing the examination, and to apply under AS 21.27.040. The Division lists the steps: pass the independent adjuster exam, apply through NIPR and submit a fingerprint card. Under AS 21.27.020(f)(5), such an adjuster must also meet Alaska continuing education, unlike other nonresidents. The exempt form is for a single loss or catastrophe.
Keisha, a Georgia resident with a Georgia independent adjuster license in good standing, is sent to adjust one commercial fire loss in Ketchikan. She holds no Alaska license and has adjusted no other Alaska loss this calendar year. Under AS 21.27.860, what must she do?
Show answer and explanation
Correct answer: B. Advise the director in writing within 10 days after starting work
AS 21.27.860(a) lets a nonresident independent adjuster who is licensed and in good standing in the resident state adjust a single loss in Alaska per calendar year, or losses from a catastrophe the director declares, without an Alaska license. Within 10 days after starting the investigation, the adjuster must advise the director in writing of her name, firm, addresses, home state and license number. The Division takes this filing on NIPR as an Exempt Independent Adjuster license, effective 90 days.
A workers' compensation insurer based in Oregon begins insuring Alaska employers. Under AS 23.30.030(4), which claims arrangement meets Alaska's requirement for handling these claims?
Show answer and explanation
Correct answer: C. Licensed Alaska resident adjusters with authority to settle in Alaska
AS 23.30.030(4) requires a workers' compensation insurer to provide claims facilities through its own staffed adjusting facilities in Alaska or through independent, licensed, resident adjusters with power to effect settlement within the state. The Division confirms that workers' compensation claims may be adjusted under the casualty authority of an independent adjuster license. An out-of-state office, single-loss filings or an agent for service of process do not satisfy the statute.
Hannah, an Alaska resident independent adjuster, was born on June 14, 1990. Under the Division's renewal cycle described in the Pearson VUE Alaska handbook, when does her individual license renew?
Show answer and explanation
Correct answer: A. On June 14 of each even-numbered year
AS 21.27.380(a) has licenses renew biennially on a date the director sets. For individuals, that date is the licensee's birthday: every even-numbered year for people born in an even year, and every odd-numbered year for people born in an odd year. Hannah was born in 1990, so she renews on June 14 of even years. A license running two years from issuance describes firm licenses, not individual ones.
Which statement about an Alaska independent adjuster license that is not renewed by its renewal date is correct under AS 21.27.380?
Show answer and explanation
Correct answer: A. It expires, and it cannot be renewed once expired for two years or more
Under AS 21.27.380(b), a license not renewed on or before the renewal date expires, and the person may not act as an independent adjuster while it is expired. The director may reinstate it for renewal fees plus a delayed renewal penalty, but reinstatement does not excuse penalties for working unlicensed, and a license expired two years or longer may not be renewed. The licensee, not the director, is responsible for knowing the expiration date.
Luis forgot to renew his Alaska independent adjuster license and applies to reinstate it 45 days after it lapsed. The biennial license fee is $75. Ignoring NIPR transaction fees, what does he pay the Division under 3 AAC 31?
Show answer and explanation
Correct answer: C. $175
3 AAC 31.020 sets the biennial independent adjuster license fee at $75, and 3 AAC 31.060(a)(5) adds a delayed renewal penalty of $100 when payment is overdue by 1 to 60 days, or $200 when overdue by more than 60 days. At 45 days, Luis owes $75 + $100 = $175. The $275 total would apply after 60 days. The Division also requires new fingerprints and a new examination when a resident license has been expired more than a year.
An Alaska resident adjuster earns more continuing education credit hours than required during a two-year license period. Under AS 21.27.020(f), how many excess hours may carry over to the next period?
Show answer and explanation
Correct answer: B. Up to 8 hours
AS 21.27.020(f) requires at least 24 approved credit hours each two-year license period and lets a licensee carry over a maximum of eight excess hours to the next period. Under 3 AAC 23.100(b), at least three of the 24 hours must cover insurance ethics, and the requirement applies once a licensee has held a license for a full two-year period. Hours not listed for carry-over on the prior renewal cannot be claimed later (3 AAC 23.140).
Jordan, who has held an Alaska adjuster license for a full two-year period, completed 26 approved hours: 3 in ethics, 12 in claims and insurance law, and 11 in management, marketing and sales training. Under 3 AAC 23.105, how many more approved hours does Jordan need?
Show answer and explanation
Correct answer: D. 1 hour
3 AAC 23.105(b) allows no more than eight credit hours in management, marketing and sales training per two-year license period. Only 8 of Jordan's 11 hours in that area count, so the creditable total is 3 + 12 + 8 = 23 hours. AS 21.27.020(f) and 3 AAC 23.100(b) require 24 hours, including at least 3 in ethics, so Jordan needs 1 more hour in a qualifying subject area.
Ivan, an Alaska resident adjuster, is charged by complaint with a misdemeanor in Washington state. His trial is set for six months later. Under AS 21.27.025, when must he report the prosecution to the director?
Show answer and explanation
Correct answer: C. Within 30 days after the date the criminal complaint is filed
AS 21.27.025(a) requires a licensee to report in writing any criminal prosecution in Alaska or another jurisdiction within 30 days after the complaint, indictment, information or citation is filed, with copies of the charging and calendaring documents. Waiting for a conviction or the renewal is too late, and the duty is not limited to felonies. Failing to notify is grounds for discipline, and 3 AAC 31.060 adds late fees of $50, $100 or $200.
After a hearing, the director decides to suspend an independent adjuster's license for violating the insurance code. Under AS 21.27.420 and 21.27.430, which statement is correct?
Show answer and explanation
Correct answer: D. It takes effect 10 days after issue and lasts 12 months at most
AS 21.27.420(a) says that after a hearing, an order suspending or revoking a license takes effect 10 days after the date it is issued. AS 21.27.430(a) requires a suspension order to state the suspension period, which may not exceed 12 months, while a revocation order states how long the person may not seek a license. Summary suspension without a prior hearing is a separate emergency procedure under AS 21.27.420(d).
When Tara applies to renew her Alaska adjuster license, the Division finds her name on the child support agency's list of obligors not in substantial compliance. She is otherwise eligible. Under AS 25.27.244, what must the Division do?
Show answer and explanation
Correct answer: B. Issue a 150-day temporary license that cannot be extended
AS 25.27.244 applies to insurance licenses under AS 21.27. When an otherwise eligible applicant is on the agency's list, the licensing entity serves notice and issues a temporary license valid for 150 days, which may not be extended. A full license is issued only after the child support agency sends a release. Alaska's adjuster content outline lists this statute with the license denial and nonrenewal rules. The 90-day temporary license is a different AS 21.27.390 license.
Gabriel, who wants to become an Alaska independent adjuster, was convicted of felony embezzlement 12 years ago. Under AS 21.36.355, what must happen before he engages in the business of insurance?
Show answer and explanation
Correct answer: A. He must get prior written consent from the director or home regulator
AS 21.36.355, which tracks 18 U.S.C. 1033 and 1034, bars a person convicted of a felony involving dishonesty or breach of trust from the business of insurance without prior written consent from the director or the home state regulator. Failing to seek consent violates the chapter, and others in insurance may not knowingly let him participate. The statute has no age cutoff, and 3 AAC 31.060(a)(19) sets a $300 fee for a consent application.
Under AS 21.27.350, how long must an independent adjuster keep the records of a completed claim adjustment open for the director's inspection, unless the director orders a longer period?
Show answer and explanation
Correct answer: B. Five years after the transaction is completed
AS 21.27.350(c) requires records of a transaction to be kept open for the director's examination for five years after the transaction is completed (10 years for reinsurance transactions), unless the director orders a longer period. AS 21.27.870 adds that an independent adjuster must keep an organized, complete record of each investigation or adjustment, plus a statement of the fee, commission or other compensation received or to be received for it.
File documentation and director inquiries · Recall
The director sends an independent adjuster an inquiry about a claim she handled. Under 3 AAC 26.030, how quickly must she respond, and what must the response include?
Show answer and explanation
Correct answer: A. Within 10 days, with all responsive claim documents
3 AAC 26.030(b) requires anyone who participates in investigating, adjusting, negotiating or settling a claim to respond to the director's inquiry about it no later than 10 days after the inquiry. The response must include all responsive documentation in the person's possession, custody or control, including records held by others acting for that person. Under subsection (c), the director may assess up to $2,500 per violation or $25,000 for a general business practice.
Lucia, a nonresident independent adjuster licensed in her home state, is working losses from a director-declared catastrophe in Alaska under the AS 21.27.860 exemption, without an Alaska license. Do Alaska's unfair claim settlement regulations in 3 AAC 26 apply to her?
Show answer and explanation
Correct answer: D. Yes, they apply to every person who takes part in adjusting a claim
3 AAC 26.020 makes the standards in 3 AAC 26.010 to 26.300 apply to all persons transacting a business of insurance who take part in investigating, adjusting, negotiating or settling a claim under any type of insurance. The Division's adjuster guidance confirms that an unlicensed adjuster working a declared catastrophe must comply with the unfair claims regulations. Holding or lacking an Alaska license does not change the standards.
On a Monday, an adjuster receives notice of a first-party homeowners claim. No holidays fall in the next three weeks, and the claim will not be paid right away. Under 3 AAC 26.040, what is the last day to send the written acknowledgment?
Show answer and explanation
Correct answer: C. Monday, two weeks after notice
3 AAC 26.040(a)(1) requires written acknowledgment within 10 working days after notice, naming the person handling the claim with address, phone number, firm name and file number. Working days exclude Saturdays, Sundays and federal and Alaska holidays (3 AAC 26.300). Counting Tuesday as day 1, day 10 is the Monday two weeks later. Thursday of the next week is 10 calendar days, and Monday three weeks later would be 15 working days.
An adjuster cannot complete a claim investigation within 30 working days after notice despite due diligence, and no suit has been filed. Under 3 AAC 26.050, what must the adjuster do?
Show answer and explanation
Correct answer: D. Send written reasons and time needed by working day 30
3 AAC 26.050 requires prompt investigation and completion within 30 working days unless that cannot reasonably be done with due diligence. When more time is needed, the claimant must get written notice, no later than the 30th working day after notice of the claim, stating the need and reasons for more time and how much additional time is required. A phone call does not satisfy the rule, and denying a claim to buy time would violate AS 21.36.125.
The vendor's published outline lists these content areas. See the official candidate handbook for the full topic list.
Content area
Share of exam
I. General Insurance Terms and Concepts
18 questions (22.5%)
II. Alaska Laws, Rules, and Regulations Pertaining to Adjusters
21 questions (26.25%)
III. Types of Insurance Policies and Coverages
41 questions (51.25%)
Outline titled "Alaska Specific Adjuster Content Outline" in the Pearson VUE Alaska Insurance Supplement, Examination Content Outlines (publication 122203), effective March 3, 2025; counts are of the 80 scoreable questions.
Study by topic
Each topic test is a separate page with its own score breakdown, so you can drill the areas where you are weakest.
Alaska law is 21 of the 80 questions. The outline points to license renewal and discipline (AS 21.27.380 to 21.27.430), continuing education (24 hours every two years with 3 of ethics, at most 8 carried over and at most 8 in management, marketing and sales), the claim regulations in 3 AAC 26, payment by check payable at an Alaska bank or by electronic transfer, five-year record retention under AS 21.27.350 and the 50/100/25 auto liability minimums.
Count the claim clock in working days. Acknowledge claims within 10 working days, answer other claimant communications within 15, finish the investigation within 30 or send written reasons, accept or deny within 15 working days after proof of loss with written updates every 45, pay undisputed amounts within 30, warn unrepresented claimants 60 calendar days before a deadline runs, and answer the director's claim inquiries within 10 days.
Know the settlement standards. Total loss offers include taxes and fees, a comparable vehicle may have up to 4,000 miles or 10 percent more mileage (whichever is greater), betterment and depreciation must be itemized, a claimant has 60 days after payment to report that no comparable vehicle can be bought, and replacement cost claims must give a reasonably uniform appearance when materials do not match. Since January 1, 2026, labor may not be depreciated under residential property policies.
Learn the Section I vocabulary. The outline names the terms it tests, including loss payee, named insured, claimant, tortfeasor, estoppel, waiver, reservation of rights, guarantor, proximate cause, insurable interest, coinsurance, binder, salvage, occurrence and appraisal, plus pair and set, loss reserves, comparative negligence, special, general and punitive damages, and what makes a valid reservation of rights or non-waiver agreement. Our insurance basics and claims handling tests drill these.
Do not skip workers' compensation and maritime law. Section III covers the Alaska Workers' Compensation Act (AS 23.30), the Longshore and Harbor Workers' Compensation Act and the Jones Act, along with commercial auto exclusions, the CGL, professional liability, rescission and inland marine and equipment breakdown exclusions. Some outline references are older forms (the Family Auto Policy and the 1990 CGL), so focus on concepts rather than form numbers.
Budget your time. 90 minutes for 80 questions is about 67 seconds each. Policies and coverages make up 41 questions, more than half the total, so take our timed 80-question Alaska practice exams until you score 80% or better.
Getting licensed in Alaska
Anyone adjusting claims on behalf of an insurer that is not their employer needs an Alaska Independent Adjuster license (AS 21.27.830). Applicants need 6 months' active working experience in the previous 2 calendar years (claims, producer, underwriting and similar roles count), or a Trainee Independent Adjuster license. Staff adjusters of admitted insurers, appointed producers/MGAs and surplus lines brokers are exempt; Alaska issues no staff or public adjuster license.
License fee: $75
License term: 2 years; renews on the licensee's birthday every odd year (odd birth year) or every even year (even birth year)
Continuing education: 24 hours including 3 hours of ethics every 2 years (each renewal)
How many questions are on the Alaska adjuster exam?
The Pearson VUE Alaska Adjuster exam (code 14) is a single section of 80 scoreable questions with a 90-minute limit. The content outline assigns 18 questions to general insurance terms and concepts, 21 to Alaska laws, rules and regulations for adjusters, and 41 to types of insurance policies and coverages. You can test at a Pearson VUE center in Alaska or online through OnVUE.
What score do you need to pass?
A scaled score of 70. Pearson VUE converts raw scores to scaled scores, so 70 is not the same as 70 percent correct. Passing candidates get a report that shows only a pass, and failing candidates see a numeric score. A passing score is valid for one year, so apply for your license within that time.
Can I retake the Alaska adjuster exam if I fail?
Yes. You retake the whole exam and pay the $89 fee again. For online OnVUE testing, Pearson VUE allows four attempts per exam, with waits of 7 days after the first failure, 14 days after the second and 30 days after the third; any further attempts must be at a test center. Reservations must be made at least a day ahead, and walk-ins are not accepted.
Do I need experience to get an Alaska adjuster license?
Residents need six months of active work in the previous two calendar years as an insurer's underwriter or claims employee, a producer, managing general agent, surplus lines broker, reinsurance intermediary, independent adjuster or trainee, or an Alaska independent adjuster license held within the previous four calendar years. Without that, a licensed independent adjuster can employ you on a trainee license, which lasts at most 12 months and cannot be renewed.
Does Alaska accept my adjuster license from another state?
Usually. Since January 1, 2026, AS 21.27.270(h) lets a nonresident licensed as an independent adjuster in good standing in the home state skip the Alaska exam and experience requirement and apply through NIPR. If your home state does not license adjusters, Alaska accepts a designated home state license only from states it considers substantially similar, such as Texas and Florida, or you can designate Alaska and meet the resident requirements.
How much does an Alaska adjuster license cost?
Plan on $89 for the Pearson VUE exam and $75 for the two-year license, the same for residents, nonresidents and trainees. Residents also submit a fingerprint card and pay the background check fee shown on the Division's fee schedule, and NIPR adds a transaction fee. Filing on paper when electronic filing is available costs $50 more, and reinstating a lapsed license adds a $100 or $200 delayed renewal penalty.