Becoming A Life Insurance Agent In Maryland: A Guide

If you're looking to become a life insurance agent in Maryland, there are a few key steps you need to follow. Firstly, you'll need to obtain a Maryland life insurance license by completing a pre-licensing education course, which will equip you with the necessary knowledge to pass the state licensing exam. After passing the exam, you can submit your license application through the National Insurance Producer Registry (NIPR). It's important to note that Maryland has specific requirements for insurance agents, including age and licensing exams. To excel as an insurance agent and maintain your license, there are additional steps to consider, such as obtaining relevant securities licenses and developing an effective marketing approach.

Choosing the right pre-licensing course

To become a life insurance agent in Maryland, you'll need to complete a pre-licensing education course. This is because the type of insurance policies you want to sell will dictate the type of license you need. For example, to sell auto, home, or business insurance, you'll need a Property & Casualty (P&C) license.

Course Flexibility

Consider whether the course offers flexible learning options. Does it need to be completed within a short time frame, or can you work at your own pace?

Price

While cost is an important consideration, it's also worth remembering that cheaper courses may not provide the same level of quality and support as more expensive options.

Course Reputation

Look at the provider's reputation and reliability. Check reviews and pass rates to ensure you're getting sufficient resources to prepare for your exam. Over 81% of readers use Kaplan's online courses, which have a 93% pass rate.

Course Content and Materials

Ensure the course covers the specific industry knowledge relevant to the license you're pursuing. For example, if you're aiming for a P&C license, the course should cover property and casualty insurance basics, insurance regulations, and general insurance concepts.

Additional Support

Find out if the course offers any additional support, such as practice exams, flashcards, or other study materials to enhance your learning experience and help you prepare for the exam effectively.

Remember, choosing the right pre-licensing course is a crucial step in your journey to becoming a life insurance agent in Maryland, so consider your options carefully and select the one that best meets your needs and learning style.

Taking the Maryland Life Insurance Licensing Exam

The Maryland Life Insurance Licensing Exam is administered by Prometric and costs $60. The exam is proctored, meaning you will be closely monitored in a controlled environment. You will have 105 minutes to answer 80 scored questions, with topics ranging from Maryland insurance regulations to federal tax considerations for life insurance and annuities.

It is highly recommended that you take a prep course before attempting the exam. Candidates who complete a prep course have a much higher chance of passing. Additionally, you should aim to take the exam within six months of receiving your pre-license education certificate.

If you fail the exam, you must wait four days before you can retake it. Your exam results will be valid for six months. If you do not apply for the appropriate license within this period, your results will expire, and you will need to retake the prelicensing course.

To prepare for the exam, you can take a Life Insurance Practice Exam, which will help you understand if you are ready for the test.

Applying for a Maryland Life Insurance License

The Maryland Insurance Administration requires you to complete a four-step process to become a life insurance agent in Maryland. These steps will take a few weeks to complete, so it is recommended that you bookmark this page as a reference throughout the process.

Step 1: Complete a Maryland Insurance Pre-License Course

Before taking the Maryland life insurance licensing exam, it is important to make time to acquire the knowledge you'll need to pass this exam on your first attempt. Completing a pre-license education course will equip you with the necessary information and tools you'll need to prepare for your exam. Maryland requires life insurance applicants to complete 20 hours of prelicensing education. A pre-license education course provides very specific industry knowledge that will be tested during the exam. There is very little information on the test that could be considered “common sense”. Pre-license education courses are self-paced and include study materials like practice exams and flashcards.

Step 2: Take the Maryland Life Insurance Licensing Exam

After you complete a prep course and your own independent studying, it’s time to take the Maryland life insurance exam. You should take the exam within six months from the date you receive your pre-license education certificate. Maryland uses Prometric as its official testing service for delivering licensure exams. The Maryland life insurance exam outline contains a total of 80 scored questions. Effective Oct. 21, 2021, Maryland changed its insurance exam format to a one-part examination. The one-part exam contains everything you need to know about life insurance — from Maryland insurance regulations to federal tax considerations for life insurance and annuities. You’ll have 105 minutes to complete the exam. The Maryland life insurance exam fee is $60, which you must pay at the time of reservation by credit card, debit card, or voucher. The exam is a proctored test, meaning an official proctor will closely monitor you in a controlled environment.

Step 3: Complete a Maryland Life Insurance License Application

Once you pass the life insurance exam, you can apply for your Maryland life insurance license. The application fee is $54 plus a $5.60 transaction fee. You must complete the National Association of Insurance Commissioners (NAIC) Uniform Application through the National Insurance Producer Registry (NIPR). The Maryland Insurance Administration will issue a life insurance license to individuals who are at least 18 years old and have passed the proper licensing exam. You should submit your completed license application within six months of passing the exam. To apply for a life insurance license in Maryland, make sure you comply with the insurance licensing requirements as defined under Maryland Laws and Regulations.

Step 4: Watch for Your Application Results

After you complete the previous three steps, the Maryland Insurance Administration will review your application and background check. It reviews applications in the order they are received, and this process usually takes three to five business days from the date you submit your application. You can print your license from the NIPR website. There’s no charge to create an account or print a license. If you need to search and verify your license, you can use the NAIC State Based Systems Maryland Lookup tool.

Understanding the results of your application

Once you have submitted your application, the Maryland Insurance Administration will review it, along with your background check. The administration will review applications in the order they are received, and this process typically takes three to five business days from the date you submit your application.

You will receive an email regarding the status of your license once the review is complete. If everything on your application has been filled out correctly, your license should be issued within three to five weeks. This is the standard amount of time it takes for a license application and background check to be reviewed.

It is important to be aware that the issuance of your insurance license can take longer if there are any items from your background check that need to be looked over. However, the state will likely get in touch with you to give some context if they run into any issues.

You can print your license from the NIPR website. There is no charge to create an account or print a license. If you need to search for and verify your license, you can use the NAIC State Based Systems Maryland Lookup tool.

Maintaining your license

To maintain your license as a life insurance agent in Maryland, you must complete 24 hours of continuing education every two years. This includes three hours of ethics training. You can renew your license through the National Insurance Producer Registry (NIPR) for a $69 fee, with a late fee of $100.

The Maryland Insurance Administration will send a renewal notice to the email address you provided with your license application. To avoid delays in renewing your license, you must complete your CE requirements at least 90 days before your license expiration date.

If you have a non-resident license that meets all the CE requirements in your home state, you are not required to take CE courses in Maryland.

Frequently asked questions