California insurance license requirements
Do you want to become an insurance agent and get your California insurance license? XCEL has taught thousands of aspiring insurance professionals in California and we make it easy for you to get up to speed on the California insurance requirements.
How To Obtain a California Insurance Producer License
1. Complete the Pre-Licensing Course (Required study hours)
- Life Only – 32 hours (includes 12 hours of ethics with Anti-Fraud Training)
- Accident & Health Only – 32 hours (includes 12 hours of ethics with Anti-Fraud Training)
- Life, Accident & Health – 52 hours (includes 12 hours of ethics with Anti-Fraud Training)
- Casualty Insurance – 20 hours
- Property Insurance – 20 hours
- Property and Casualty – 40 hours
- Personal Lines - 20 hours
- Code and Ethics – 12 hours – includes Anti-Fraud Training
Course Requirements:
- This is a forced progression (locked) state that requires the student to review each lesson before moving onto the next section/chapter.
- We recommend scoring at least 70% on each chapter exam before moving to the next chapter.
- Applicants are required to spend the applicable minimum study time outlined above.
- XCEL will be tracking the time spent studying in the course.
- Reviewing or studying printed materials offline will not count towards credit as we are unable to track your time studying those materials.
- You will be asked to authenticate your identity on a periodic basis throughout the course.
- You will not receive credit for completing the chapter until the last page of that chapter is accessed.
Certificate Information
To be eligible for a Certificate of completion, you must follow several steps:
- Completion of the course including final exam.
- Satisfying the time requirement (20 hours per line of authority plus 12 hours of ethics) which will be verified by a member of our compliance team the following business day.
- Submit an electronic affidavit acknowledging you were actively engaged in one hundred percent of the course and your participation during the periods of perceived inactivity.
- Upon completion of your Pre-licensing Affidavit, and submission to our compliance department, you will receive an email notification that your course completion certificate is available to be printed directly from your student dashboard.
- Certificates are valid for three (3) years.
- Course completion rosters will be reported to the Department of Insurance within two (2) business days.
- Education providers are required to collect and report students’ DOB and last four of SSN.
- Roster Fee: $6.00 which is collected upon enrollment.
2. Schedule the California State Examination.
- Registration must be completed online on PSI website: https://test-takers.psiexams.com/cadi
- PSI exam fees – $98
- CDI exam fees – $55
- Education Roster are not required to schedule the exam however you must complete the prelicensing course to obtain the license.
- Spanish Exams available
Online Proctored Exams:
- You must check the compatibility of your computer before registering for the exam. https://syscheck.bridge.psiexams.com
- If your computer is not compatible with the online software, you will need to schedule your examination at PSI or CDI test center.
Limitation on Repeat Examinations:
Any Insurance license examinee who failed an examination 10 times is barred from taking the license examination for a 12-month period from the date of the last failed attempt.
3. Pass the State Exam
- Be sure to take advantage of XCEL’s 3-Part training program, including Part 2 (Prep Review Course) and Part 3 (Exam Simulator). These are the two sections we hear from students value the most during the exam waiting period.
- Prep Review Course: This part of the training scales down content to focus solely on the most important material with weighted sections identical to the state exam. Chapters have only a few pages of material, but the content must be mastered to pass. Instructionally designed to teach individuals how to pass, most study effort should be invested here. Chapter exams are substantially larger (50+ questions), providing exposure to the types of questions seen on the state exam.
- Exam Simulator: These special exams are designed to gauge content retention levels. Important: Only take the Exam Simulators after the Prep Review Course has been successfully completed. It ensures these questions will be “fresh in the mind.”
- On the day of testing, you must present a valid government issued photo id.
4. Apply for License
- Submit license application electronically through SIRCON Online Services or through the National Insurance Producer Registry.
- Application fee $188.00
5. Submit your Fingerprints
-
The state of California requires fingerprinting. Do not submit your fingerprint impressions until a licensing application is received at the California Department of Insurance.
- After submitting your license application, complete the “Applicant Information” portion of the Request for Live Scan Service. BCIA 8016
- California Resident Licensing Fingerprint Requirements
- Fingerprint Fee: Varies by vendor
PSI Exam Outlines
| DESCRIPTION | Question Count | % of Exam Questions | ||||
| L&H | Life | Health | L&H | Life | Health | |
| Part 1 – General Insurance | ||||||
| Basic Insurance Concepts | 16 | 9 | 7 | 11% | 12% | 9% |
| Contract Law | 10 | 6 | 4 | 7% | 8% | 5% |
| The Insurance Marketplace | 14 | 7 | 7 | 9% | 9% | 9% |
| Part II – Life Insurance | ||||||
| Life Insurance – Basics | 8 | 8 | 0 | 5% | 11% | 0% |
| Types of Life Policies | 10 | 10 | 0 | 7% | 13% | 0% |
| Annuities | 8 | 8 | 0 | 5% | 11% | 0% |
| Life Insurance and Annuities – Policy Replacement / Cancellation | 4 | 4 | 0 | 3% | 5% | 0% |
| The Individual Life Insurance Contract | 10 | 10 | 0 | 7% | 13% | 0% |
| Taxation of Life Insurance and Annuities | 3 | 3 | 0 | 2% | 4% | 0% |
| Group Life Insurance | 2 | 2 | 0 | 1% | 3% | 0% |
| Social Security Disability Program | 1 | 1 | 0 | 1% | 1% | 0% |
| Individual Underwriting, Pricing, and Claims | 3 | 3 | 0 | 2% | 4% | 0% |
| Life Policy Riders | 4 | 4 | 0 | 3% | 3% | 0% |
| Part III – Health Insurance | ||||||
| General Concepts of Medical and Disability Insurance | 4 | 0 | 4 | 3% | 0% | 5% |
| Individual Insurance | 14 | 0 | 14 | 9% | 0% | 19% |
| Group Medical Expense Insurance | 8 | 0 | 8 | 5% | 0% | 11% |
| Patient Protection and Affordable Care Act (PPACA) | 8 | 0 | 8 | 5% | 0% | 11% |
| Senior Health Products | 15 | 0 | 15 | 10% | 0% | 20% |
| Individual Disability Income Insurance, Underwriting, Pricing and Claims | 4 | 0 | 4 | 3% | 0% | 5% |
| Long Term Care | 4 | 0 | 4 | 3% | 0% | 5% |
| Total for all parts | ||||||
| Total Scored Questions on Exam | 150 | 75 | 75 | |||
| Maximum Time allowed to complete exam in minutes | 195 | 105 | 105 | |||
| Minimum Correct for Passing Score | 60 | 60 | 60 | |||
| DESCRIPTION | % of Exam Questions |
| Casualty | |
| Part 1 – General Insurance | 31% |
| I. General Insurance | |
| Basic Insurance Concepts | |
| Contract Law | |
| The Insurance Marketplace | |
| II. Casualty Insurance | |
| Legal Concept - Tort Law | |
| Casualty | |
| III. Personal Lines Insurance | 31% |
| Insurance on Residence | |
| Inland Marine | |
| Personal Auto | |
| Umbrella and Excess Liability Insurance | |
| Commercial Insurance Coverage | 38% |
| Insurance Service Office, Inc. (ISO) Commercial Lines Insurance Programs | |
| Casualty Insurance | |
| Surety Bonds and General Bond Concepts | |
| Total for All Parts | |
| Total Scored Questions on Exam | 75 |
| Maximum Time allowed to complete exam in minutes | 98 |
| Minimum Correct for Passing Score | 60 |
| DESCRIPTION | % of Exam Questions |
| Property | |
| Part I and II | 31% |
| I. General Insurance | |
| Basic Insurance Concepts and Principles | |
| Contract Law | |
| The Insurance Marketplace | |
| II. Property Insurance | |
| Legal Concept - Tort Law | |
| Casualty | |
| III. Personal Lines Insurance | 40% |
| Insurance on Residential Properties | |
| Homeowners' Insurance Properties | |
| Liability Coverage | |
| Government/Pools/Catastrophe - Property Insurance | |
| Fire Mitigation and How it Affects Insurance Costs | |
| Inland Marine | |
| Commercial Insurance Coverage | 29% |
| Commercial Package Policy (CPP) Program introduced by the Insurance Services Office, Inc. (ISO) | |
| Property Insurance | |
| Business Policy (BOP) | |
| Total for All Parts | |
| Total Scored Questions on Exam | 75 |
| Maximum Time allowed to complete exam in minutes | 98 |
| Minimum Correct for Passing Score | 60 |
| DESCRIPTION | % of Exam Questions |
| Personal Lines | |
| Part I and II | 32% |
| I. General Insurance | |
| Basic Insurance Concepts and Principles | |
| Contract Law | |
| The Insurance Marketplace | |
| II. Property Insurance | |
| Legal Concept - Tort Law | |
| Casualty | |
| III. Personal Lines Insurance | 65% |
| Insurance on Residential Properties | |
| Homeowners' Insurance Properties | |
| Inland Marine | |
| Government/Pools/Catastrophe - Property Insurance | |
| Personal Auto | |
| Umbrella and Excess Liability Insurance | |
| IV. Pet Insurance | 2% |
| Definitions | |
| Pet Insurance Basics | |
| Disclosures | |
| Administrative Proceedings | |
| Total for All Parts | |
| Total Scored Questions on Exam | 90 |
| Maximum Time allowed to complete exam in minutes | 135 |
| Minimum Correct for Passing Score | 60 |
Producer Licensing Checklist:
| Task: | Date Completed |
| 1. Complete prelicensing course and time requirement | |
| 2. Register for exam | |
| 3. Pass exam | |
| 4. Apply for license | |
| 5. Submit Fingerprints |
Governing Agency
Name: California Department of Insurance
Phone: 800-967-9331 Fax: 916-327-6907
Website: http://www.insurance.ca.gov
Address: 300 Capitol Mall, 17th Floor Sacramento, CA 95814
California Insurance License Renewal and Compliance Requirements
XCEL Solutions provides this information as a courtesy to licensees subject to insurance continuing education requirements. Although every effort is made to maintain the accuracy of this course, recent changes in laws and procedures may not yet be reflected in the content. All information is subject to change without notice.
License Renewal Timelines
Agents holding a Major Lines license (Property, Casualty, Personal Lines, Accident & Health, Life or Variable Products) are required to renew their license by the last day of their birth month every two years.
- On-going renewal periods are the last day of the agent’s birth month every two (2) years thereafter.
Continuing education requirements must be met before submitting the license renewal application.
Complete Required Continuing Education
Requirements Per License
Licensees renewing a Property, Casualty, Personal Lines, Accident & Health, Life or Variable Products license are required to complete 24 hours of approved continuing education, three (3) of which must be approved as ethics, before submitting their renewal application.
Effective 03/01/2023 – Agents must complete 1 hour of Anti-Fraud training prior to each renewal.
Specific Product Training Requirements
The California Department of Insurance requires specific training requirements for individual agents selling, soliciting, or negotiating Long-Term Care products (LTC), Flood Insurance products (NFIP), and Annuity products (Annuity). Failing to complete the required training may jeopardize the agent’s authority to sell the related insurance products.
Long-term Care Training Requirements
- Life or Accident & Health licensees must complete an approved 8-hour Long-term Care course before selling, soliciting, or negotiating long-term care insurance. 8-hour annually for the first 4 years. Then biannually after the fifth year.
- Agents must also complete an approved 8-hour LTC refresher course every renewal period to continue selling, soliciting, or negotiating long-term care insurance.
- The initial and refresher LTC course credits count towards the agent's 24-hour CE requirement.
- Resident agents may complete these training requirements in any state provided the department has approved the course for long-term care credit prior to the agent taking the course.
- Non-resident agents may complete these training requirements in any state.
Annuity Training Requirements
- Life or Variably Annuity licensees must complete an approved one-time 8-hour Annuity course before selling, soliciting, or negotiating annuity products. Then bi-annually 4 course hours.
- Annuity course credits count towards the agent's 24-hour CE requirement.
- Resident and non-resident agents may complete these training requirements in any state with laws substantially similar to California.
Flood Insurance (NFIP) Training Requirements
- Property and Casualty or Personal Lines licensees must complete an approved one-time 3-hour National Flood Insurance Program (NFIP) course by the end of their first renewal period if they plan to sell, solicit, or negotiate Flood insurance.
- The National Flood Insurance Program course credits count towards the agent's 24-hour CE requirement.
Homeowners’ Insurance Valuation
- Property and Casualty or Personal Lines licensees must complete an approved one-time 3-hour Homeowners’ Insurance Valuation course if they plan to sell, solicit, or negotiate Homeowners insurance policies.
Course Requirements
- Licensees can use independent self-study courses to meet all requirements.
- Licensees must take courses in which the licensed is held.
- Self-study exams are closed book and do not require a monitor/proctor.
- Duplicate courses completed in the same renewal period are not allowed and cannot be carried over to future renewal cycles.
- Excess credits of up to 24 hours earned in the previous biennial renewal period can be carried over to the next reporting period.
- Excess hours in ethics or specialty training can carry over to the next renewal period however, those hours will only be counted as general credits, and will not be counted to fulfill the requirement.
Reporting To Your State
- Students must provide their National Producer Number (NPN) to report on course completion.
- $.65 per credit hour is required to report course completions to your state.
- Course completions are reported within one business day.
Renew Your License
Resident and nonresident license renewal applications are processed through NIPR. A $188 renewal fee is required. Agents with a continuing education requirement must obtain all required credits prior to their license expiration date. An agent will not be eligible to renew their insurance license(s) until they have satisfied their continuing education requirement.
Helpful Resources
Find your California Insurance License Number
California Division of Insurance
http://www.insurance.ca.gov/0200-industry/
800-967-9331
320 Capitol Mall, Sacramento, CA 95814