How to Get an Insurance License | Kaplan Financial Education

start in the insurance industry

step 1: decide what type of insurance you want to sell

The first thing you need to do is decide what type(s) of insurance you’d like to specialize in. in the industry, these are known as “lines of authority.” Here is a summary of the most common:

  • life insurance: sale of policies and annuities related to the benefit of a beneficiary in case of death of the insured.
  • medical insurance: sale of medical, disability, medicare supplemental and long-term care policies.
  • property insurance: selling homeowners, commercial property and inland marine policies.
  • accident insurance: auto sales, workers’ compensation, crime coverage, and professional liability policies.
  • variable product insurance: sale of insurance products with an investment element. to sell this type of insurance, you need certain securities licenses.
  • Personal Lines Insurance – Selling products such as auto insurance, homeowners insurance, renters insurance, and boat, motorcycle, and snowmobile policies to individual consumers only.
  • Another option is to become an adjuster, which is the business of investigating and adjusting insurance policy claims. insurance adjusters also apply for the adjusting business.

    Reading: How to get an insurance license

    In a number of cases, you don’t have to choose just one line of authority. people often combine certain lines, like property and casualty insurance.

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    Thinking about a career in insurance? Download this free eBook to start your insurance career.

    step 2: understand the general requirements

    After you’ve decided what kind of insurance agent you want to be, the next step is to understand the basic requirements:

    • You must be at least 18 years old to become an insurance agent.
    • You must complete pre-licensing education for your line of authority, which is determined by each state. the number of hours you will need to complete and the cost also varies by state.
    • You must pass the state insurance licensing exam for your line(s) of authority. a prelicensing exam preparation kit can help.
    • must pass a background check. the process varies by state and in some cases includes fingerprinting.
    • you need continuing education to maintain or renew your license.
    • step 3: decide on a state and know its requirements

      Now that you have a basic idea of ​​what to do, it’s time to decide if you want to sell insurance in your home state or some other state. (You can sell in more than one state, but you must follow the rules of each state.) As you saw in step 2, each state regulates its own insurance licensing process, and each state’s regulations or rules are slightly different, so this is why deciding where is so important.

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      Each state’s website will also tell you what kind of continuing education you need to keep or renew your license.

      step 4: investigative agencies

      Now is also the time to research the agencies you want to work for. many have additional requirements for candidates or agents to follow that you will need to be aware of if you want to work there. Also, some agencies will hire you before you are licensed and may have specific processes you need to follow.

      Step 5: Provide the fast track to insurance agent success

      has passed the state insurance exam. Now is the time to focus on your business. Take Kaplan’s Insurance Crash Course which is designed to teach you the activities an agent must perform on a daily, weekly and monthly basis to operate a successful insurance business. This course will arm you with the business building skills used by the most successful insurance agents in the country.

      Step 6: Pass your state exam and apply to insurance agencies

      You’ve done your research and you know what you want to do. So, it’s time to get out there, get the education hours required by the state and agency of your choice, take the test, and pass. Armed with your license and your knowledge, you are ready for an exciting and rewarding career as an insurance agent. good luck, and don’t forget to keep up with your continuing education.

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