Free Michigan Claims Adjuster Practice Exam Online

Correct answer: A. A person may not adjust loss or damage under a policy of insurance, advertise, solicit business, or hold themselves out to the public as an adjuster unless licensed as an adjuster

Correct. MCL 500.1222 sets the general licensing requirement for anyone adjusting losses, advertising as an adjuster, or holding out to the public as one.

• B: Incorrect. Insurer employees adjusting their own company's policies are exempt from separate adjuster licensure, but that exemption is a specific carve-out, not the general rule stated in the statute.
• C: Incorrect. Attorneys admitted to practice in Michigan are one of several exemption categories, not the sole class permitted to adjust losses.
• D: Incorrect. A producer license does not by itself confer adjusting authority; specific claim authority must be granted by an insurer under a separate statutory exemption.

Correct answer: B. A licensed insurance producer to whom claim authority has been granted by an insurer

Correct. MCL 500.1222 exempts a licensed insurance producer who has been granted claim authority by an insurer from needing a separate adjuster license.

• A: Incorrect. An outsourcing company with no licensed staff performing adjusting functions is not an exempt category under the statute.
• C: Incorrect. Notary status has no bearing on the adjuster licensing exemptions listed in MCL 500.1222.
• D: Incorrect. Pursuing subrogation collections is a different function from adjusting a loss and is not one of the statute's listed exemptions.

Correct answer: C. No, an employee or manager of an authorized insurer adjusting loss under a policy issued by that insurer is exempt from separate adjuster licensure

Correct. MCL 500.1222 exempts an employee or manager of an authorized insurer who adjusts losses under policies issued by that same insurer.

• A: Incorrect. Michigan explicitly exempts this category of staff adjuster from separate licensure; it is not a universal licensing mandate.
• B: Incorrect. A real estate license has no relevance to this insurance-specific exemption.
• D: Incorrect. The exemption is not time-limited to a first year of employment; it applies as long as the employee is adjusting the insurer's own policies.

Correct answer: D. The individual is under the supervision of one or more licensed independent adjusters or an individual who is exempt from licensure

Correct. MCL 500.1222 exempts data-entry/claim-information personnel only when they work under the supervision of a licensed independent adjuster or another exempt individual.

• A: Incorrect. Michigan's exemption is tied to supervision, not to a weekly hours threshold.
• B: Incorrect. A background check is not the statutory condition creating this exemption.
• C: Incorrect. The exemption is conditional on supervision, not automatic in every case.

Correct answer: A. A person admitted to the practice of law in Michigan

Correct. MCL 500.1222 lists a person admitted to the practice of law in Michigan as one of the exempt categories.

• B: Incorrect. A real estate broker's license does not create an adjuster licensing exemption under the statute.
• C: Incorrect. Funeral director licensure is not one of the exemption categories in MCL 500.1222.
• D: Incorrect. A CPA credential does not, on its own, exempt someone from adjuster licensure under this statute.