Becoming A Life Insurance Agent In South Carolina: A Guide

If you're looking to become a life insurance agent in South Carolina, you'll need to obtain a license. The process is relatively straightforward but requires dedication and commitment. Here's a step-by-step guide to achieving your goal and launching your career as a life insurance agent in the state.

Complete a pre-licensing course

To become a life insurance agent in South Carolina, you must complete a pre-licensing course. This is an important step to ensure you have the knowledge to pass the licensing exam. While South Carolina does not require you to take a pre-licensing course, it is highly recommended as the exams contain a lot of insurance concepts and terminology that are impossible to know without studying.

There are many pre-licensing course providers available, such as America's Professor (AP), Kaplan Education Company, and A.D. Banker. These courses will provide you with the necessary information and tools to prepare for your exam. They typically include study materials such as textbooks, online lectures, practice exams, and flashcards. The cost of these courses can vary, but it is generally recommended to invest in a quality course to ensure your success.

When choosing a pre-licensing course, consider factors such as flexibility, price, and the course's reputation. It is also important to ensure that the course covers the specific topics that will be tested on the licensing exam. This includes industry-specific knowledge, insurance products, and state insurance laws.

By enrolling in a pre-licensing course, you will increase your chances of passing the licensing exam on your first attempt, saving you time and money in the long run. So, taking the time to find the right course and dedicating yourself to the study materials will be a crucial step in your journey to becoming a life insurance agent in South Carolina.

Pass the South Carolina Life Insurance Licensing Exam

To pass the South Carolina Life Insurance Licensing Exam, you must score at least 70%. The exam is multiple-choice and consists of 85 questions (75 scored and 10 pretest) that you must answer within 120 minutes. The exam is administered by Pearson VUE and costs $44. You must pay the exam fee at the time of reservation by credit card, debit card, or voucher.

The exam outline includes the following seven sections:

• Insurance Regulation
• Life Insurance Basics
• Life Insurance Policies
• Life Insurance Policy Provisions, Options, and Riders
• Federal Tax Considerations for Life Insurance and Annuities

While South Carolina doesn't require pre-license education, it is highly recommended that you complete a pre-license course to prepare for the exam. These courses are self-paced and include study materials like practice exams and flashcards. Over 81% of exam takers use Kaplan's online courses, which come with a 93% pass rate.

Apply for a South Carolina Life Insurance License

Once you have passed your South Carolina Life Insurance Licensing Exam, you can apply for your South Carolina life insurance license. The application fee is $25 plus a $5.60 transaction fee, and you must apply online via the National Insurance Producer Registry (NIPR).

The South Carolina Department of Insurance (SCDOI) 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 12 months of passing the exam.

To apply for a life insurance license in South Carolina, make sure you comply with the insurance licensing requirements as defined under the South Carolina Insurance Code and the South Carolina Administrative Code.

Send any questions or supporting documents to [email protected].

After you apply for your South Carolina life insurance license, you must get a fingerprint-based background check from IdentoGO. The fee for fingerprinting services is $50.50 to cover the cost of comparing your prints against criminal history records.

To set up a fingerprinting appointment, go to the IdentoGO website. Use the service code “SC920124Z-DOI Producer Licensing/Renewal” when making your appointment.

At your fingerprinting appointment, you’ll receive a receipt. Keep the original receipt for your records and send a copy via email to the SCDOI.

After you complete the previous steps, the SCDOI will review your application and background check. It reviews applications in the order they are received, and this process usually takes one to five business days from the date you submit your application.

Once the SCDOI finishes reviewing your application, it will email you with its decision or ask you to provide more information.

You can print your license from the National Association of Insurance Commissioners (NAIC) State Based Systems (SBS) License Manager website. There’s no charge to create an account or print a license. If you don’t remember your license number, you can find it by using the NAIC SBS Lookup tool. Simply choose “South Carolina” as the jurisdiction and “Licensee” as the search type.

Maintaining Your License

In South Carolina, you must complete 24 hours of continuing education (CE) every two years to renew your license. Of these 24, three must focus on ethics, and eight must cover life insurance.

Note: To avoid delays in renewing your license, we recommend completing the required CE at least 90 days before your license is due to expire. This will ensure that your CE provider has enough time to report your completion to the SCDOI.

The renewal fee is $25 and the late fee is $75.

Get a fingerprint-based background check

To become a life insurance agent in South Carolina, you must complete a fingerprint-based background check as part of your licensing application. This is a mandatory requirement under South Carolina Code § 38-43-100 (F)(a) and (b). The background check is completed through IdentoGO at a cost of $50.50 to $51.75.

To organise your fingerprinting appointment, visit the IdentoGO website and select the option that specifies "SC920124Z – DOI SC Producer Licensing/Renewal" from the dropdown menu. You will need to complete your fingerprinting within 30 days of applying for your license.

At your appointment, you will need to provide a complete set of fingerprints, which will be used to check your criminal history records with the FBI and SLED. This process will evaluate your qualifications and confirm your eligibility for a new producer's license.

After your appointment, IdentoGO will provide you with a fingerprint receipt, which must be sent to the South Carolina Department of Insurance. You can mail, email, or fax this document to the department, along with your National Producer Registry number.

It is important to note that if you refuse to submit your fingerprints, your license application will be processed as incomplete and denied. However, if you are unable to provide fingerprints due to a medically certified physical injury, the director may waive this requirement.

Watch for your application results

After you've completed the previous four steps, the South Carolina Department of Insurance (SCDOI) will review your application and background check. The SCDOI reviews applications in the order they are received, and this process usually takes one to five business days from the date you submit your application.

Once the SCDOI finishes reviewing your application, they will email you with their decision or ask you to provide more information.

You can print your license from the National Association of Insurance Commissioners (NAIC) State Based Systems (SBS) License Manager website. There's no charge to create an account or print a license. If you don't remember your license number, you can find it by using the NAIC SBS Lookup tool. Simply choose "South Carolina" as the jurisdiction and "Licensee" as the search type.

You're now ready to get started as a life insurance agent in South Carolina.

Steps to Take After Getting Your South Carolina Life Insurance License

Once you've completed the above steps and have your South Carolina life insurance license, there are a few steps you'll need to take to:

• Excel as an insurance agent
• Maintain your life insurance license

Obtaining Relevant Securities Licenses

If you're planning on selling advanced life insurance products, you'll likely need to pass the Securities Industry Essentials (SIE) exam and obtain the relevant securities licenses (e.g., Series 6, 7, and 63).

Choosing a Means of Selling

You'll have to decide whether you'd prefer working as a captive agent employed by one company or running your own business as an independent agent.

If you're just starting out, you'll likely benefit from working as a captive agent, but this will ultimately depend on your personal aspirations and opportunities.

Developing Your Marketing Approach

To succeed as an insurance agent, you'll need to adopt a marketing approach that's effective for you.

We recommend finding and sticking to a niche, as well as organizing all client appointments for the start of your week. This is because this can improve your overall client conversions.

Keeping Your License Valid

In South Carolina, you must complete 24 hours of continuing education (CE) every two years to renew your license. Of these 24, three must focus on ethics, and eight must cover life insurance.

Note: To avoid delays in renewing your license, we recommend completing the required CE at least 90 days before your license is due to expire. This will ensure that your CE provider has enough time to report your completion to the SCDOI.

The renewal fee is $25, and the late fee is $75.

Frequently asked questions