frequently asked questions about obtaining your insurance license
What exam do I have to take to sell insurance?
To sell insurance, you will need to take a state insurance licensing exam in the specific line of insurance you want to sell. For example, if you want to sell life insurance in Florida, you will need to take and pass the Florida Life Insurance Licensing Exam. Some states offer examinees the option of combining multiple lines of insurance licenses that are commonly marketed together, such as life and health insurance or property and casualty insurance.
Is it difficult to get your insurance license?
There are several steps to acquiring your insurance license, which some people find difficult to navigate without the help of a step-by-step guide. researching what your state requires will help keep you on track to get your insurance license with ease.
Of the steps to obtain your insurance license, passing the state insurance licensing exam is the most time-consuming step. Even if your state does not require a pre-licensing educational course, spending time studying with the help of a course will greatly increase your knowledge.
how difficult is the insurance licensing exam?
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Passing the insurance licensing exam is the most challenging step in the licensing process, but taking an exam preparation course can help you prepare. The insurance license test covers a lot of information, which can be difficult if you are not prepared. The average pass rate for all insurance licensing exams where state data is provided is around 60%. reports the national association. of insurance commissioners (naic) pass rates on individual tests such as:
- life insurance: 62.9%
- medical insurance: 60.4%
- life & health insurance: 64.8%
- property insurance: 53.6%
- accident insurance: 62%
- property & accident insurance: 54.9%
- personal lines: 61.4%
- Pre-licensing educational course: between $129 and $249, depending on the course
- license exam: $45
- registration fee: $50
- application processing fee: $44
- fingerprints: $38
how much does it cost to become an insurance agent?
The cost to become an insurance agent varies by state and is typically around $350. For example, if you apply to become a life insurance agent in North Carolina, you will pay the following fees:
Application and registration fees are rarely refundable. If you choose a basic pre-licensing education course for around $129, you’ll get access to study modules, practice questions and practice tests, and a license exam manual. For more in-depth study materials, you can purchase a more comprehensive study course that includes videos, instructor-led Q&A, or even a live online classroom.
how much do insurance agents earn?
According to the Bureau of Labor Statistics, insurance sales agents earn an average salary of $50,940 a year. The highest-earning insurance sales agents work for direct health and medical insurance companies and earn $65,180 a year. those who work for direct insurance companies other than life, health and medical earn $54,110 a year. Finally, those who work in insurance agencies and brokerages earn $49,000 a year.
Once you’re ready to apply for a job as an insurance sales agent, check out the insurance job board.
how long does it take to get a license to sell insurance?
You should plan to spend at least two to eight weeks completing the steps to obtain your insurance license. Most of that time is spent completing your pre-licensing education course and studying for your licensing exam. If you need to take the licensing exam more than once, you can increase the time it takes to become licensed to sell insurance.
If you have not passed your license exam within six months of starting your application, your state may require you to submit a new application and pay additional fees. Schedule your licensing exam within a week of completing your pre-licensing education course to ensure the information is fresh in your mind and you’re ready to pass on your first try.