California Automobile Insurance Law — California Insurance Law — Property & Casualty Practice Test

This California Insurance Law — Property & Casualty California Automobile Insurance Law practice set has 44 practice questions based on the official exam materials, each with an instant explanation.

Sample questions

Three questions from the California Automobile Insurance Law bank with the correct answer and an explanation. The practice quiz above draws 30 questions at random from the same bank.

1. In California, every automobile bodily injury liability policy must include uninsured motorist (UM) coverage unless:

   • The named insured deletes it by a written agreement with the insurer — Correct answer
   • UM coverage can never be removed from a California auto policy
   • The insurer decides on its own not to include it
   • The vehicle is more than 10 years old

   Explanation: California requires UM coverage in every auto bodily injury liability policy issued or delivered in the state, but the insurer and any named insured may delete it by an agreement in writing. (Cal. Ins. Code §11580.2(a)(1))

   Handbook: California Automobile Insurance Law — Uninsured Motorist Coverage

2. How may a California insured reject or waive the uninsured motorist coverage that would otherwise be included?

   • By a written agreement with the insurer — Correct answer
   • By a verbal request to the agent
   • Automatically, whenever the premium is unpaid
   • Only by cancelling the entire policy

   Explanation: UM coverage is included by law unless the insured deletes it; the deletion or reduction must be made by agreement in writing. (Cal. Ins. Code §11580.2(a)(1))

   Handbook: California Automobile Insurance Law — Rejecting UM Coverage

3. Uninsured motorist (UM) bodily injury coverage protects an insured against:

   • Injuries caused by an at-fault driver who has no insurance — Correct answer
   • Damage the insured negligently causes to another person
   • Ordinary wear and tear on the insured's vehicle
   • Losses from the insured's own mechanical breakdown

   Explanation: UM coverage pays what the insured is legally entitled to recover for bodily injury or wrongful death from the owner or operator of an uninsured motor vehicle. (Cal. Ins. Code §11580.2(a)(1))

   Handbook: California Automobile Insurance Law — What UM Coverage Protects