New Jersey Property & Casualty Insurance License Practice Exam
New Jersey tests Property, Casualty and Personal Lines on separate PSI exams, with 20 hours of pre-licensing per line. PSI states a minimum of 70% to pass. Includes the auto minimum limits that rose to 35/70/25 on January 1, 2026.
NJ Property & Casualty — Study by Topic
NJ has separate Property and Casualty exams. Drill individual domains or take a timed practice exam for either line.
Life Insurance
Term, whole life, universal life, annuities, riders, policy provisions, nonforfeiture, beneficiaries, underwriting.
Accident & Health
Individual and group health, disability income, LTC, managed care, Medicare, COBRA, ACA, NJ SEHBP.
NJ State Law
Commissioner of DOBI, N.J.S.A. Title 17, producer licensing, unfair practices, guaranty association, fraud, privacy.
Full NJ Property Exam
Timed practice exam on property insurance and New Jersey law. PSI states a minimum of 70% to pass the real exam.
🌟 Full NJ Casualty Exam
Timed practice exam on casualty insurance and New Jersey law. PSI states a minimum of 70% to pass the real exam.
About the New Jersey Property & Casualty Insurance Exam
The New Jersey producer licensing exams are administered by PSI Services LLC for the New Jersey Department of Banking and Insurance (DOBI). New Jersey tests one exam for each line of authority, so Property, Casualty and Personal Lines are separate exams, and the Department's FAQ says you must pass the exam for the specific line you want. Before you can sit for an exam you must complete 20 hours of prelicensing education per line (40 hours for combined Property and Casualty) from a Department-approved provider, or obtain a waiver (N.J.A.C. 11:17-3.4(c)). Exams are offered at PSI test centers or by remote proctoring.
PSI's New Jersey page states that you need a minimum of 70% to pass. The candidate bulletin does not publish the number of scored questions or the time limit, and says 5 to 19 unscored pretest questions may be included. Your PSI score report is valid for one year. The Department charges $150 for a two-year major-line license, and resident producers must complete 24 CE credits (3 in ethics) each term.
New Jersey Property & Casualty Insurance Exam Topic Breakdown
| Section | Questions / Weight | Key Topics |
|---|---|---|
| NJ — Regulatory content (every line) | Not published | State regulatory jurisdiction, the Commissioner's powers and regulatory methods, producer licensing, trade practices, standards of conduct and ethics, doing business as a licensed producer, and insurance fraud detection and prevention |
| Property: general property concepts | Not published | Property insurance concepts, flood insurance and the National Flood Insurance Program (NFIP) |
| NJ — Property law | Not published | New Jersey property insurance law |
| Casualty: general casualty concepts | Not published | Casualty insurance concepts (the regulation also lists health concepts in the casualty course) |
| NJ — Casualty law | Not published | New Jersey casualty insurance law (the regulation also lists health law in the casualty course) |
| Personal Lines: P&C principles | Not published | Property and casualty principles and individual health coverage principles for personal lines |
| NJ — Personal lines law | Not published | New Jersey personal lines law |
PSI's New Jersey candidate bulletin links a content outline but does not publish scored-question counts or topic weights, so none are shown. These rows follow the prelicensing course content that N.J.A.C. 11:17-3.4(b) and (c) require for each line. PSI says 5 to 19 unscored pretest questions may be added to an exam.
What Makes the New Jersey Property & Casualty Exam Different
Separate exams for each line. New Jersey gives one exam per line of authority: Property, Casualty and Personal Lines each carry a 20-hour prelicensing course, and Property plus Casualty together is 40 hours (N.J.A.C. 11:17-3.4(c)). PSI's bulletin says Property, Casualty and Personal Lines candidates must bring a prelicensing completion certificate (or a DOBI waiver) to the exam, and retake candidates must bring the certificate or their failing score report.
Auto liability minimums rose on January 1, 2026. Under P.L.2022, c.87, minimum liability limits were $25,000 per person, $50,000 per accident and $25,000 property damage for policies issued or renewed on or after January 1, 2023. For new and renewal policies from January 1, 2026 they are $35,000 / $70,000 / $25,000. The act does not apply to the basic automobile insurance policy (N.J.S.A. 39:6A-3.1), and insurers must notify the named insured when limits are raised at renewal (DOBI Bulletin 25-06).
Flood insurance is built in. The Property course must cover flood insurance and the NFIP, and a resident producer with property or personal lines authority who writes flood insurance must complete a one-time 3-credit flood course by the first renewal, counted within the 24 CE credits (N.J.A.C. 11:17-3.4(c) and 11:17-3.6(a)(1)).
Waivers, temporary authority and fingerprints. The Department may waive the course for property, casualty and personal lines designations (AAI, ARM, CIC, CPCU), and no course or exam is required for the same lines if you hold a current license in good standing in another state or apply within 90 days of cancelling it (N.J.A.C. 11:17-3.4(e) and (g)). PSI says passing candidates may receive 60-day temporary work authority under a licensed producer, and individual applicants must complete Live Scan fingerprinting before applying online.
Sample New Jersey Property & Casualty Insurance Exam Questions
1. Beginning January 1, 2026, what are New Jersey's minimum liability limits for new and renewal private passenger auto policies?
2. A New Jersey resident producer with property authority sells flood insurance. What flood-related continuing education requirement applies at the first renewal?
3. A New Jersey producer earns more than the required 24 continuing education credits in a term, including extra ethics credits. What may carry over to the next term?
Study Tips for the New Jersey Property & Casualty Exam
PSI does not publish question counts or a time limit for the New Jersey exams, so ignore any site that quotes exact numbers and read the current PSI candidate information bulletin before you register. Plan for a minimum of 70%.
Study the subjects the Department requires every prelicensing course to cover: the Commissioner's powers, producer licensing, trade practices and ethics, and fraud. Then learn the general property concepts (including flood insurance and the NFIP) and casualty concepts, with the New Jersey law for each.
Know the two phases of the auto liability minimums ($25,000/$50,000/$25,000 from 2023 and $35,000/$70,000/$25,000 from January 1, 2026) and that the basic policy is outside the act.
Also licensing in life or health? See our New Jersey Life & Health practice exam. National content is in our property and casualty practice exam, and our insurance license exam study guide covers exam strategy.
How to Get Your New Jersey Property & Casualty Insurance License
There are four steps to get your New Jersey insurance producer license for the Property and Casualty lines.
Steps to Get Your New Jersey Property & Casualty Insurance License
| Step | What to Do |
|---|---|
| 1. Prelicensing Education | Complete 20 hours for each line (40 hours for Property and Casualty together) with a Department-approved provider, or apply to DOBI for a waiver before you register for the exam. Courses must cover New Jersey insurance regulation as well as the line itself. |
| 2. Register and Schedule | Create a PSI account under your exact legal name, bring one current government-issued photo ID and your prelicensing certificate or DOBI waiver, and choose a test center or remote proctoring. Cancel at least 2 days ahead to keep your fee. |
| 3. Pass the Exam | PSI states a minimum of 70% to pass. You cannot retest on the same day you test, and your PSI score report is valid for one year. |
| 4. Fingerprint, Apply and Maintain | Complete Live Scan fingerprinting, then apply online (the Department points applicants to NIPR). The license fee is $150 for two years. To renew, complete 24 CE credits including 3 in ethics, plus the one-time flood course if you write flood insurance. |
New Jersey Property & Casualty Insurance License Requirements at a Glance
| Requirement | Detail |
|---|---|
| Lines of authority | Property; Casualty; Personal Lines; each has its own exam |
| Pre-license education | 20 hours per line, 40 hours for Property and Casualty together (N.J.A.C. 11:17-3.4(c)) |
| Exam | One PSI exam per line; scored-question count not published |
| Time limit | Not published in the PSI bulletin |
| Passing score | Minimum of 70% (PSI) |
| Auto liability minimums | $35,000 / $70,000 bodily injury and $25,000 property damage from January 1, 2026 (P.L.2022, c.87) |
| Fingerprints | Live Scan fingerprinting before applying online |
| Score validity | PSI score reports are valid for one year |
| License fee and term | $150 for a two-year major-line license (DOBI) |
| Continuing education | 24 credits per term, 3 in ethics; up to 12 may carry over once, but ethics credits cannot (N.J.A.C. 11:17-3.6) |
| Delivery | PSI test center or remote proctoring |
| Licensing authority | New Jersey Department of Banking and Insurance |
Verified against the New Jersey DOBI producer licensing and FAQ pages, N.J.A.C. 11:17-3.4 and 11:17-3.6, DOBI Bulletin 25-06 and the PSI candidate information bulletin. Fees and requirements change; confirm current figures with the Department and PSI before you apply.
Our free New Jersey Property & Casualty practice exam covers general and New Jersey content. You can also try the national property and casualty practice exam or the insurance license exam study guide.
Interested in where this license leads? See our guide to insurance careers — including salary ranges, how to break in, and what the career looks like day to day.
Frequently Asked Questions — New Jersey Property & Casualty Insurance Exam
Who administers the New Jersey insurance producer exams?
PSI Services LLC administers the exams for the New Jersey Department of Banking and Insurance. You can test at a PSI test center or by remote proctoring.
Are Property and Casualty separate exams in New Jersey?
Yes. New Jersey gives one exam for each line of authority, and prelicensing is 20 hours per line (40 hours for Property and Casualty together). Personal Lines is its own line with a 20-hour course.
What is the passing score for the New Jersey Property and Casualty exams?
PSI states that you need a minimum of 70% to pass. The candidate bulletin does not publish the number of scored questions or the time limit.
What are New Jersey's minimum auto liability limits?
For new and renewal policies from January 1, 2026, the minimums are $35,000 per person, $70,000 per accident and $25,000 property damage. From 2023 to 2025 they were $25,000/$50,000/$25,000. The basic automobile insurance policy is excluded from the act (DOBI Bulletin 25-06).
Are fingerprints required for a New Jersey producer license?
Yes. Individual applicants must complete Live Scan fingerprinting before applying online, because the application cannot be processed until the criminal history review is complete.
Can any designation waive the prelicensing course?
Yes. The Department may waive the property, casualty and personal lines course for AAI, ARM, CIC and CPCU, and you must apply for the waiver before you register for the exam. Waivers expire 90 days after issue.
What are the continuing education requirements?
Resident producers complete 24 credits per licensing term, including 3 in ethics. Up to 12 credits above the requirement may carry over once, but ethics credits cannot. Producers who write flood insurance also complete a one-time 3-credit flood course.
How long is my passing score valid?
PSI score reports are valid for one year.
Practice Exam Questions — New Jersey Property & Casualty
5 state-specific questions based on official sources. Correct answer highlighted in green.
How many hours of prelicensing education does New Jersey require for the Property line?
- 10 hours
- 20 hours
- 40 hours
- None for residents
Which designations can the Department use to waive the property, casualty and personal lines prelicensing course?
- AAI, ARM, CIC and CPCU
- CLU, ChFC, CFP and LUTCF
- RHU, REBC and HIA
- None; New Jersey does not allow designation waivers
What is the license fee and term for a New Jersey major-line producer license?
- $75 for one year
- $150 for two years
- $190 for three years
- $250 for four years
When must an individual applicant complete Live Scan fingerprinting?
- Before applying online
- On the day of the exam
- Within 30 days after licensing
- Fingerprints are not required
How long is a PSI score report for a New Jersey producer exam valid?
- 30 days
- 90 days
- One year
- Two years