To become a licensed insurance agent in California the applicant must complete an application and pass an examination. Prior to this, an applicant should review the pre-application continuing education requirements.
Pre-Licensing Education Requirements for Licensing
In California, pre-licensing and continuing education became a required part of the licensing process effective January 1, 1992. The pre-licensing and continuing education hours and coursework vary depending upon the type of license desired.
Coursework for Fire and Casualty Broker-Agents
For applicants seeking licensing as a fire and casualty broker-agent, a minimum of 40 hours of general insurance coursework and 12 hours of ethics and California insurance code study is required. Once the fire and casualty broker-agent license is issued, the licensee will need to complete 25 hours of continuing education per year for the first four years. From year five onward, the licensee will need to complete 24 hours of continuing education for every two-year license period.
Coursework for Other Licenses
For those interested in obtaining the following licenses, 20 hours of general insurance education and 12 hours of ethics and California insurance code training meets the pre-application continuing education requirement. These license-types are:
- life only agent
- accident and health agent
- personal lines broker-agent
- limited lines automobile insurance agent
Once an applicant obtains his or her initial license, continuing education requirements must be met to maintain the license. Continuing education hours range from 20 to 24 per every two-year period, depending upon license-type.
Coursework for Bail-Related Licensing
For individuals seeking licensing as any of the following:
- bail agent
- bail permittee
- bail solicitor
The continuing education coursework for bail-related licensing requires a total of 12 hours of general insurance coursework, which includes training on ethics and the California insurance code.
Exclusions From General Coursework
Many states honor licensing reciprocity. California offers exemptions for non-resident license-holders (individuals already licensed in other states), which waives the general insurance coursework hours. Applicants must still complete the 12-hour education coursework on ethics and the California insurance code.
Designation-Based Exemptions
For individuals already holding the following designations, the general insurance coursework requirement is also waived. Only the 12 hours of ethics and California insurance code study is required. Exempting designations are:
- LUTCF (Life Underwriter Training Council Fellow
- CLU (Chartered Life Underwriter)
- CEBS (Certified Employee Benefit Specialists)
- FLMI (Fellow, Life Management Institute)
- ChFC (Chartered Financial Consultant)
- CFP (Certified Financial Planner)
- HIA (Health Insurance Associate)
- REBC (Registered Employee Benefits Consultant)
- RHU (Registered Health Underwriter)
- AAI (Accredited Advisor in Insurance)
- ARM (Associate in Risk Management)
- CPCU (Chartered Property Casualty Underwriter)
- CIC (Certified Insurance Counselor)
No Exclusion for Bail Agents
Regardless of non-resident licensing, no waiver of pre-licensing coursework applies to bail agents. All bail agent applicants are required to complete the 12 hours of education covering ethics and the California insurance code.
Locating Approved Continuing Education Providers
The California Department of Insurance offers an online lookup tool to help applicants located certified pre-licensing and continuing education providers. The provider course lookup site allows the applicant to search for providers based on license type, education type, instruction method, and category.
Certificate of Completion
To be valid, a certificate of completion should contain the following information:
- provider name
- provider approval number
- course title and approval number
- class beginning and ending dates, and complete address of class location (or equivalent information for online or correspondence courses)
- number of approved credit hours
A formal statement must be on the certificate. This statement, according to the California Department of Insurance, must state “Submitting a false or fraudulent Certificate of Completion to the Insurance Commissioner may subject any license application to denial, and any issued license to suspension or revocation.” The certificate must also bear original signatures from both the instructor/provider director and the student.
License Filing Requirements
Although the application process varies by type of license, an individual California resident applying for a personal lines broker-agent license will generally be required to submit an application, take an examination, provide fingerprints, and comply with any requests for documentation that may be made during the licensing process.
Licensing Fees
Fees are subject to change; however, the current rates for a personal lines broker-agent include:
- initial license filing for a two-year term, $128
- examination fee, per scheduled exam, $37
- fingerprinting fees, according to authorized providers.
- license renewal fee, every two years, $128
References
California Department of Insurance. "Agents & brokers: Applying for a license."2010. Retrieved from California Department of Insurance website.
National Association of Insurance Commissioners. "Government Relations, Issue Brief: Insurance Producer Licensing." 2010. Retrieved from NAIC website.
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