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The AK-IADJ exam has 80 questions and runs 1 hours 30 minutes.
These 10 free AK-IADJ questions are organized by exam domain, so you can see how each part of the Alaska Independent Adjuster Exam blueprint is tested. Reveal the answer and explanation under each question.
A liability file shows $18,000 already paid and a $42,000 outstanding loss reserve. The adjuster's written authority permits a further settlement of up to $25,000. New evidence supports settling the remaining claim for $35,000. A colleague says the reserve already authorizes that offer. How should the adjuster interpret these figures?
Correct answer: D - The reserve estimates unpaid loss; the proposed offer still requires increased settlement authority.
A commercial building has a replacement value of $600,000; its land is worth another $150,000. Building insurance is $360,000, with an 80% coinsurance requirement measured against the building's replacement value. A covered partial loss is valued at $80,000. The policy applies the coinsurance reduction before subtracting the $2,000 deductible, with no other settlement adjustment. How much is payable?
Correct answer: B - $58,000
At the close of an Alaska property-loss appraisal, the insurer's appraiser and the impartial umpire agree on the amount of the loss. The homeowner's appraiser disagrees. Coverage is accepted, and no issue remains except valuation. Under Alaska's appraisal procedure, how should this result be treated?
Correct answer: B - Use the agreed amount; one appraiser and the umpire can establish the loss value.
An Alaska homeowner's fire claim includes an undisputed $8,600 contents loss and a disputed building-loss amount. Acceptable proof of the contents loss arrived 24 working days ago. An examiner proposes withholding the contents payment until the homeowner signs a release of the entire fire claim. Which instruction should replace that proposal?
Correct answer: A - Pay contents within 30 working days of proof, without releasing the building claim.
Before renewal, an Alaska resident adjuster checks a full two-year continuing-education record: 26 approved hours, consisting of 22 current-cycle general hours and four approved carryover hours earned as ethics in the previous cycle. No exemption applies. The adjuster has taken no ethics course during the current cycle. What remains necessary?
Correct answer: A - Complete at least three current-cycle ethics hours; carried ethics count as general credit.
A driver swerves to avoid a moose and strikes a guardrail without touching the animal. Repairs to the insured vehicle cost $6,400. The policy has a $1,000 collision deductible and a $250 other-than-collision deductible; its animal-loss provision requires contact with an animal. The applicable limit is sufficient, and no other adjustment applies. What is the physical-damage payment?
Correct answer: C - $5,400
Inspection of a kitchen leak reveals a corroded supply line that ruptured suddenly, with no evidence of earlier leakage. Escaping water damaged previously sound cabinets. The homeowners policy excludes deterioration of the failed part but covers resulting sudden water damage. Which portion belongs in the covered-damage estimate?
Correct answer: B - The water-damaged cabinets, but not the corroded supply line.
Following a compensable Alaska work injury, a mechanic is medically stable, has an accepted 12% whole-person permanent impairment rating, and has returned to the same job at full pay. What does the rating establish for benefit evaluation?
Correct answer: D - It measures permanent functional impairment; an impairment award may remain payable despite full wages.
A carrier's covered truck overturns while hauling a customer's commercial oven, damaging both the oven and a roadside fence. The carrier is liable for both losses. Its commercial auto liability form excludes property transported by the insured; no other exclusion applies. A separate inland marine cargo form covers accidental damage to this shipment. Where should the two losses be allocated?
Correct answer: C - Auto liability for the fence; cargo coverage for the oven under its separate property form.
During a wind-loss inspection, an adjuster notices a water-laden ceiling visibly sagging above a room where occupants are carrying out belongings. The policy requires reasonable steps to protect property after a loss. Which direction takes priority?
Correct answer: A - Clear the affected area and obtain qualified help before salvage or inspection continues.
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