Everything You Need to Know About Getting an Insurance License in New York

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Obtaining an insurance license in New York can be a lucrative and rewarding career move for individuals interested in the insurance industry. However, the process of obtaining an insurance license in New York can be confusing and overwhelming, especially for those who are new to the industry. In this article, we will provide answers to some of the most frequently asked questions about obtaining an insurance license in New York.

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What is an Insurance License?

An insurance license is a certification that allows individuals to sell insurance policies within the state of New York. This license is issued by the New York State Department of Financial Services (NYDFS), which regulates the insurance industry in the state.

There are various types of insurance licenses available in New York, including:

License Type
What it Covers
Life, Accident & Health
Life insurance, health insurance, disability income insurance, and annuities
Property & Casualty
Homeowners insurance, renters insurance, and automobile insurance
Personal Lines
Similar to Property & Casualty license, but does not cover commercial insurance policies
Adjuster
Investigates and evaluates insurance claims to determine coverage eligibility and compensation amounts

How do I Obtain an Insurance License in New York?

To obtain an insurance license in New York, there are a few steps you must follow:

Step 1: Meet the Requirements

Before applying for an insurance license in New York, you must meet the following requirements:

  • Be at least 18 years old
  • Have a valid social security number
  • Complete any pre-licensing education requirements

Step 2: Complete Pre-Licensing Education

The NYDFS requires individuals to complete a certain number of pre-licensing education hours before taking the licensing exam. The number of hours required depends on the type of license you are pursuing:

  • Life, Accident & Health: 40 hours
  • Property & Casualty: 90 hours
  • Personal Lines: 40 hours
  • Adjuster: 40 hours (20 of which must be in New York State law)

Step 3: Pass the Licensing Exam

After completing the required pre-licensing education, you must pass the licensing exam for the type of license you wish to obtain. The exam is administered by Prometric, an independent testing company.

Step 4: Apply for the License

Once you have passed the licensing exam, you can apply for your insurance license through the NYDFS. The application process involves submitting your exam results and paying the necessary fees.

How Much Does an Insurance License Cost in New York?

The cost of obtaining an insurance license in New York varies depending on the type of license you wish to obtain. Here are the current fees:

License Type
Fee
Life, Accident & Health
$40 application fee + $55 licensing fee
Property & Casualty
$40 application fee + $55 licensing fee
Personal Lines
$40 application fee + $55 licensing fee
Adjuster
$40 application fee + $150 licensing fee

How Long Does it Take to Get an Insurance License in New York?

The length of time it takes to get an insurance license in New York depends on the type of license and how quickly you complete the required education and testing. On average, the process takes 4-6 weeks.

Do I Need an Insurance License to Sell Insurance in New York?

Yes, you must have a valid insurance license to sell insurance in New York. Selling insurance without a license is illegal and can result in fines or even criminal charges.

Do I Need to Renew My Insurance License in New York?

Yes, insurance licenses in New York must be renewed every two years. To renew your license, you must complete a certain number of Continuing Education (CE) hours, depending on the type of license you hold. The NYDFS requires the following CE hours:

  • Life, Accident & Health: 32 hours
  • Property & Casualty: 32 hours
  • Personal Lines: 16 hours
  • Adjuster: 24 hours (including 3 hours of ethics training)

Conclusion

Obtaining an insurance license in New York is a process that requires time, effort, and dedication. However, the benefits of having a valid insurance license can be significant, including the ability to sell insurance policies and earn a good income. By following the steps outlined in this article, you can begin your journey towards obtaining an insurance license in New York.

Frequently Asked Questions

Q: How much does it cost to take the licensing exam?

A: The cost of the licensing exam varies depending on the type of license you wish to obtain. As of 2021, the cost is $44 for Life, Accident & Health and $48 for Property & Casualty.

Q: Can I apply for multiple insurance licenses at once?

A: Yes, you can apply for multiple insurance licenses at once. However, you must complete the required pre-licensing education and pass the licensing exam for each license you wish to obtain.

Q: Can I sell insurance policies for any company with my insurance license?

A: No, you must be appointed by an insurance company in order to sell their policies. This process involves the insurance company verifying your license and completing any necessary paperwork.

Q: Can I get an insurance license with a criminal record?

A: It depends on the nature of the crime and when it occurred. The NYDFS considers each application on a case-by-case basis and may deny a license based on certain criminal convictions.

Q: Can I transfer my insurance license to another state?

A: Yes, you can transfer your insurance license to another state. However, you must meet the licensing requirements for the new state and complete any necessary paperwork.

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