10 exam-style questions with answers and explanations, straight from our 1,030-question bank. Tap an answer to check yourself. When you're ready, take the scored version in the free practice test.
The HI-ADJ exam has 90 questions and runs 1 hours 45 minutes.
These 10 free HI-ADJ questions are organized by exam domain, so you can see how each part of the Hawaii Adjuster Exam blueprint is tested. Reveal the answer and explanation under each question.
Domain 1: Types of Policies, Bonds, and Related Terms
Question 1
Wind tears an opening in a house's roof, and rain entering through that opening damages an upstairs ceiling. Later, coastal storm surge enters through ground-floor doors and damages the flooring. An engineer separates the damage caused by each source. The HO-3 policy covers wind and rain entering through a wind-created opening, but excludes storm surge. No other provision changes those terms. Which coverage determination follows from these findings?
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Correct answer: A - Cover the roof and upstairs ceiling; exclude the downstairs flooring.
Question 2
Three months after a plumbing contractor finishes a faucet installation and the customer puts it into use, a defective connection leaks and ruins the customer's cabinets. The claim seeks payment for the cabinets, not for replacing the defective connection. The contractor's occurrence-based commercial general liability policy covers the resulting property damage. For purposes of classifying this exposure, the loss belongs to:
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Correct answer: C - Products-completed operations.
Domain 2: Insurance Terms and Related Concepts
Question 3
Covered building repairs totaling $80,000 are complete and qualify for replacement-cost settlement. The building is insured for $360,000 with 80% coinsurance and a $2,000 deductible. At the time of loss, the building's replacement cost was $600,000 and the land was worth $150,000. Coinsurance uses the building's replacement cost; the deductible applies after the coinsurance reduction. With no waiver, prior payment, or other adjustment, what should the insurer pay?
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Correct answer: B - $58,000
Question 4
A warehouse occupancy report records 24% of the building in customary use for 75 consecutive days; the remainder is empty, and no construction or renovation is underway. The owner's policy defines vacancy as less than 31% qualifying use. After more than 60 days of vacancy, specified causes such as theft are excluded, but payment for an otherwise covered fire loss is reduced by 15%. The proposed fire-claim decision reads, "Denied because the building was vacant." What correction is required?
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Correct answer: B - Apply the 15% vacancy reduction rather than deny the covered fire loss.
Domain 3: Policy Provisions and Contracts
Question 5
The insurer and a homeowner agree that a fire is covered and agree on which repairs are necessary. Negotiations stall over labor rates and material prices. The policy's appraisal clause authorizes appraisers and an umpire to determine the amount of loss while reserving coverage questions to the parties. The insured requests appraisal. What is the appropriate contractual response?
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Correct answer: D - Proceed with appraisal of the disputed repair cost.
Question 6
An errors-and-omissions policy has these dates: policy term, January 1-June 30, 2026; retroactive date, January 1, 2025. Its 60-day extended reporting period permits otherwise eligible claims to be first made and reported after expiration without changing the retroactive date. An error occurred on November 20, 2024; the client first demanded damages on July 15, 2026; the insurer received the report on July 20, 2026. Which conclusion correctly applies all of these timing requirements?
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Correct answer: C - The claim is excluded because the alleged error predates the retroactive date.
Domain 4: Hawaii Laws and Rules Pertinent to Adjuster
Question 7
A homeowner hires a Hawaii public adjuster under a percentage-fee contract after a fire. Forty-eight hours after the loss is reported to the insurer, the insurer commits in writing to pay the limits of every coverage applicable to the claim. The adjuster performed several hours of work before that commitment; the payment check will arrive later. Under Hawaii law, what compensation may the adjuster receive?
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Correct answer: B - Reasonable compensation for time and expenses incurred before the written commitment.
Domain 5: Hawaii Laws and Rules Pertinent to Property Insurance Only
Question 8
A Hawaii homeowner cannot obtain basic fire and extended-coverage insurance through authorized insurers. The dwelling is in a designated area and otherwise meets applicable insurability standards. Which state mechanism specifically addresses this need for basic property coverage?
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Correct answer: A - Hawaii Property Insurance Association
Domain 6: Hawaii Laws and Rules Pertinent to Casualty Insurance Only
Question 9
A driver has a Hawaii personal auto policy with basic personal injury protection (PIP) and no optional wage-loss coverage. After a collision, the insurer verifies eligible medical bills within the remaining PIP limit. The driver also requests reimbursement for missed wages. Fault is still disputed. How should the adjuster handle the two requests?
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Correct answer: D - Cover the medical expenses under PIP, but not the lost wages.
Question 10
A Hawaii personal auto policy issued July 1, 2026 carries exactly the minimum bodily-injury and property-damage liability limits required by state law. In one covered accident during the policy term, the insured is legally liable for bodily-injury damages of $60,000, $35,000, and $25,000 to three people, plus $30,000 of damage to another person's property. Those amounts already reflect all applicable offsets. What is the maximum total indemnity available under the policy's bodily-injury and property-damage liability coverages?
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Correct answer: C - $100,000
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