North Carolina Life Agent examination (Pearson VUE exam code 01); two-part exam (general + state), scored as one

The North Carolina life insurance exam.

The North Carolina life insurance exam is 55 scored questions, about 5 unscored pretest questions, in 75 minutes, passing at a scaled 70, $45 per attempt, administered by Pearson VUE. We sell study materials and practice exams for it, written from the official North Carolina outline. The first questions are free, and the full License Pass is $149, yours until you pass. Below are the licensing steps, exactly what the exam covers, and free practice questions written to this state's outline.

At a glance

ExamNorth Carolina Life Agent examination (Pearson VUE exam code 01); two-part exam (general + state), scored as one
Scored questions55
Pretest questionsabout 5 (unscored)
Time limit75 minutes
Passing scoreScaled score of 70 on a 0-100 scale (not 70% of questions); single overall passing score across both parts
Exam fee$45
Testing vendorPearson VUE
Retake rulesMust wait 24 hours before scheduling a retake; $45 fee per attempt
Prelicensing educationnot required for the life line

Verified against official Pearson VUE materials, NC Insurance Content Outlines #123415, 03/2026, effective March 2, 2026; exam logistics from NC Insurance Licensing Candidate Handbook #123400, rev 03/2026; PLE status from NCDOI Pre-Licensing Education Information Packet, October 2025. Specs change; confirm when you register.

How to get your North Carolina life insurance license

  1. 1

    Meet the basics

    Be 18 or older and able to pass the background screening. North Carolina handles licensing through the NIPR system like most states.

  2. 2

    Study the exam outline

    North Carolina does not require prelicensing education for the life line, so your preparation is the whole game. Study the official outline below and drill practice questions until every section holds.

  3. 3

    Book the exam with Pearson VUE

    Register at Pearson VUE, pick a test center or online proctoring where offered, and pay the $45 exam fee.

  4. 4

    Pass the exam

    Walk in knowing the format, 55 scored questions in 75 minutes, passing at a scaled 70. About 62% of first-time life exam takers pass nationally (NAIC, latest published data).

  5. 5

    Apply for the license and get appointed

    Submit the license application (fingerprints where required), then get appointed with carriers so you can write business.

What the North Carolina exam covers

From the official exam outline, each section's share of the exam and how many of the 55 scored questions it earns.

SectionWeightQuestions
Types of Individual Life Insurance31%17 questions
Annuities9%5 questions
Policy Provisions, Options, and Other Features20%11 questions
Other Life Topics15%8 questions
North Carolina Statutes and Regulations Pertinent to Life25%14 questions

Free North Carolina practice questions

Original questions written to the North Carolina outline, the same bank our students drill. Tap a question to check the answer.

Question 1

A pure endowment differs from a standard endowment in that a pure endowment:

  1. A. Pays only if the insured is alive at the maturity date and pays nothing on death
  2. B. Pays only on death during the term
  3. C. Pays double the face amount at maturity
  4. D. Has no maturity date at all
Show the answer

Answer: A

A pure endowment pays the benefit solely if the insured survives to the maturity date, with no death benefit if the insured dies first. Choice B describes term insurance. Choice C invents a doubling feature that does not exist. Choice D is wrong because a defined maturity date is central to any endowment.

Types of Individual Life Insurance > Endowment (concept)

Question 2

Maria bought a whole life policy and stated she was 40 when she was actually 43, and the error is found at her death; how does the misstatement of age provision affect her claim?

  1. A. The claim is denied entirely
  2. B. The benefit is adjusted to what the premiums paid would have bought at her true age
  3. C. The insurer pays the full face amount with no change
  4. D. The policy is rescinded and premiums refunded
Show the answer

Answer: B

The misstatement of age provision adjusts the death benefit to the amount the premiums actually paid would have purchased at the correct age. Choice A is wrong because misstatement of age does not void the policy. Choice C is wrong because the benefit is adjusted, not paid in full, since the premium was based on a younger age. Choice D is wrong because the policy is not rescinded; only the benefit amount is corrected.

NC General Statutes standard policy provisions (misstatement of age)

Question 3

James is comparing the reduced paid-up option and the extended term option; which statement correctly distinguishes them?

  1. A. Reduced paid-up lowers the face amount but keeps lifetime coverage, while extended term keeps the face amount but limits the time
  2. B. Both options require continued premium payments
  3. C. Extended term keeps coverage for life, while reduced paid-up covers only a set number of years
  4. D. Reduced paid-up pays cash immediately, while extended term is a loan
Show the answer

Answer: A

The key difference is that reduced paid-up keeps coverage for life but at a lower face amount, while extended term keeps the full face amount but only for a limited period. Neither option requires continued premiums. The statement reversing the two is wrong. Reduced paid-up does not pay cash and extended term is not a loan, so that choice is incorrect.

NC Standard Nonforfeiture Law concept; outline node: Nonforfeiture values

Question 4

Which type of life insurance policy is eligible to pay dividends?

  1. A. A nonparticipating policy
  2. B. A participating policy
  3. C. A term policy that has expired
  4. D. Any policy that has lapsed
Show the answer

Answer: B

Only participating policies share in the insurer's favorable experience and can pay dividends. Nonparticipating policies do not pay dividends. An expired term policy and a lapsed policy provide no coverage and therefore pay nothing.

Policy Provisions, Options, and Other Features > Dividends (concept)

Question 5

When a beneficiary is offered a life income option, what factor most directly affects the size of each payment?

  1. A. The beneficiary's age and life expectancy
  2. B. The number of premium payments the insured made
  3. C. The insured's original occupation
  4. D. The state guaranty association limit
Show the answer

Answer: A

Under a life income option, payment size is based on how long payments are expected to last, so the payee's age and life expectancy are the key factors. Choice B relates to how the policy was funded, not the payout amount. Choice C affects underwriting, not settlement payments. Choice D concerns insurer insolvency protection, not the calculation of income payments.

Policy Provisions, Options, and Other Features > Settlement options (concept)

Take the free North Carolina practice test, every question with the answer and the explanation

North Carolina exam FAQs

How many questions are on the North Carolina life insurance exam?

55 scored questions, plus about 5 unscored pretest questions mixed in, with 75 minutes on the clock.

What score passes the North Carolina exam?

You need a scaled 70 to pass.

How much does the North Carolina life insurance exam cost?

The exam fee is $45 per attempt, paid to Pearson VUE. Licensing application and fingerprint fees are separate.

What happens if I fail the North Carolina exam?

Must wait 24 hours before scheduling a retake; $45 fee per attempt. About 62% of first-time life exam takers pass nationally (NAIC, latest published data). Failing once is common, and the fix is drilling the sections your score report names.

Does North Carolina require prelicensing education before the exam?

No. North Carolina does not require prelicensing education for the life line, which means how you study is up to you and practice exams carry more of the load.

What RingReady is, and is not

RingReady sells study materials and practice exams for the life insurance licensing exam. We are not a state-approved prelicensing education provider, and practicing here does not by itself satisfy any state's education requirement.

If your state requires prelicensing education, you must complete it with an approved provider; your state insurance department publishes the approved list. What we do is make sure that when you sit down for the real exam, the questions feel familiar.

Practice the North Carolina exam until it feels familiar.

Practice questions written to every section of the outline above, full timed practice exams matched to the real format (55 questions, 75 minutes), and a mastery map that shows what to study next.

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Take the free North Carolina practice test · How to pass the exam