The steps in order, how long each takes, what it costs in real numbers, and how to keep the cost down.
A life and health license lets you help people choose and enroll in life insurance and health coverage, and get paid for it. Many people assume getting licensed takes months or costs a fortune. It usually does not. Most of the cost is a state exam fee and a license fee, many agencies cover or reimburse it, and most people are licensed within a few weeks. Here is the whole path, in order, with a link to your state's exact rules at the bottom.
You get licensed in the state where you live (your resident state), and the rules differ from state to state. Look up your state's department of insurance through the NAIC directory and find the page for new producers or agents. Note three things: whether a course is required and for how many hours, which company runs the exam, and whether you need fingerprints.
Requirements vary widely. A few examples:
Online, self-paced courses are the most common choice and typically cost about $50 to $350 depending on the state and package. Many people finish in one to three weeks of evenings.
Exams are run by testing companies such as Pearson VUE, PSI, or Prometric, at a test center or sometimes online with a proctor. Many states require a score of 70 percent to pass (California uses 60 percent). Some states give one combined life and health exam, and others test each line separately.
Exam fees are often around $38 to $55 per attempt, and higher in some states (Illinois is about $92 per exam). The best preparation is timed practice exams until you are scoring comfortably above the passing mark. Schedule the exam soon after you finish the course, while it is fresh.
Some states require fingerprints and others do not. Ohio requires a fingerprint background check, New Jersey lists a fingerprint fee of $67, and Illinois does not require fingerprints for resident applicants. Your state's insurance department page will say which applies to you.
Most states take applications online through NIPR, the National Insurance Producer Registry, after you pass. License fees vary: Illinois is $215 and New York's application fee is $80, for example. Approval often comes within days to a couple of weeks.
To sell a specific insurance company's products, that company appoints you. When you join an agency, the agency usually takes care of these appointments for you.
| Step | Typical time |
|---|---|
| Pre-licensing course | 1 to 3 weeks of evenings |
| Exam scheduling and passing | A few days to 2 weeks |
| Fingerprints (if required) | A few days |
| License approval | A few days to 2 weeks |
Most people are licensed in about two to six weeks from the day they start.
| Item | Typical range |
|---|---|
| Pre-licensing course | $50 to $350 |
| Exam (per attempt) | $38 to $100 |
| Fingerprints (if required) | About $40 to $70 |
| License or application fee | About $50 to $215 |
All in, most people spend a few hundred dollars. It can run lower in states with no course requirement, and higher in states with a long required course and higher fees, or if you need to retake the exam.
Want your own number? The insurance license cost calculator adds it up for your state.
A real example: Texas. Texas does not require a pre-licensing course. The license application fee is $50, the exam through Pearson VUE is roughly $40 to $50 per attempt, and fingerprints are required. Add an optional online prep course and many people in Texas are licensed for well under $300.
Choose your state to see what it requires and what it costs: course hours, exam fees, fingerprints, and the license fee, with a link to the official requirements. For the states our applicants come from most, we checked the numbers on official pages and wrote a step-by-step page.
This guide is general information to help you make decisions, not tax, legal, or licensing advice. Rules change and vary by state, so confirm the details for your situation with the sources above or a professional.
Full-time or part-time, helping families find the right coverage, with training, a mentor, and help getting licensed.
