California Workers' Compensation Law — California Insurance Law — Property & Casualty Practice Test

This California Insurance Law — Property & Casualty California Workers' Compensation Law practice set has 40 practice questions based on the official exam materials, each with an instant explanation.

Sample questions

Three questions from the California Workers' Compensation 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 employer (except the state) must:

   • Secure the payment of workers' compensation for its employees — Correct answer
   • Provide health insurance to all employees
   • Post a cash bond with the county
   • Carry only general liability insurance

   Explanation: Every employer except the state shall secure the payment of workers' compensation in one or more authorized ways. (Cal. Lab. Code §3700)

   Handbook: California Workers' Compensation Law — Compulsory Coverage

2. One way a California employer may secure workers' compensation is by:

   • Being insured by an insurer authorized to write compensation insurance in the state — Correct answer
   • Asking employees to buy their own coverage
   • Paying claims only after a lawsuit
   • Relying on federal Medicare

   Explanation: An employer may secure compensation by being insured against liability by one or more insurers authorized to write compensation insurance in this state. (Cal. Lab. Code §3700(a))

   Handbook: California Workers' Compensation Law — Ways to Secure Coverage

3. A qualified California employer may also secure workers' compensation by:

   • Obtaining a certificate of consent to self-insure from the Director of Industrial Relations — Correct answer
   • Simply promising to pay
   • Buying a personal umbrella policy
   • Registering with the DMV

   Explanation: An employer may self-insure by securing a certificate of consent to self-insure from the Director of Industrial Relations upon proof of ability to pay compensation. (Cal. Lab. Code §3700(b))

   Handbook: California Workers' Compensation Law — Self-Insurance