Becoming An Insurance Broker: Tennessee's Requirements And Steps

If you're looking to become an insurance broker in Tennessee, you'll need to obtain a Tennessee insurance license. The process is relatively straightforward, but there are a few key steps you'll need to follow. First, you'll need to decide which type of insurance license you need, such as Property and Casualty (P&C) or Life and Health insurance. Next, ensure you meet the eligibility requirements, including age and residency restrictions. While not mandatory, it's highly recommended that you complete a pre-licensing education course to increase your chances of passing the state licensing exam. Once you've prepared for the exam, you can schedule it through Pearson VUE and then request a fingerprinting and background check through IdentoGO. After passing the exam, submit your license application and plan for any necessary continuing education.

Eligibility requirements: Be 18+, reside in Tennessee, be competent, financially responsible, and have a good business reputation

To become an insurance broker in Tennessee, you must meet certain eligibility requirements. These include:

• Being at least 18 years old
• Residing in Tennessee
• Being competent, financially responsible, and having a good business reputation

These prerequisites are essential before moving on to the next steps of obtaining a Tennessee insurance license.

Being at least 18 years old is a mandatory requirement to become an insurance broker in Tennessee. This ensures that individuals have reached a level of maturity and legal capacity to enter into contracts and handle financial responsibilities associated with the role.

Residing in Tennessee is also a crucial eligibility requirement. This is because the state insurance licensing process is specific to Tennessee, and the license grants permission to sell insurance within the state. As a resident, you will be familiar with the local regulations and have a better understanding of the insurance needs of the Tennessee community.

Another key aspect of the eligibility criteria is demonstrating competence and financial responsibility. This means that individuals must possess the necessary knowledge, skills, and abilities to effectively perform the duties of an insurance broker. It also indicates that they should have a track record of managing their finances responsibly, which is crucial when dealing with clients' insurance policies and premiums.

In addition, having a good business reputation is essential. This requirement ensures that prospective insurance brokers have a positive standing in the business community and are known for their integrity, professionalism, and ethical conduct. A strong business reputation can help build trust with clients and establish long-lasting relationships in the industry.

Meeting these eligibility requirements is a fundamental step towards becoming an insurance broker in Tennessee. By fulfilling these criteria, individuals can demonstrate their suitability for the role and their ability to provide reliable and trustworthy services to clients seeking insurance products.

Pre-licensing education: Complete a course to prepare for the exam

To become an insurance broker in Tennessee, you must pass a licensing exam. As the exam will test your knowledge of industry information, insurance products, and state insurance laws, it is recommended that you take a prelicensing education course to prepare. While prelicensing education is not required in Tennessee, those who take a course will have a significantly higher chance of passing their licensing exam on the first try.

There are several prelicensing education courses available, and they are designed to suit different learning styles. Some courses are offered online, while others are in-person. When choosing a course, consider the course's flexibility, price, and the provider's reputation. Courses typically cover various insurance concepts, definitions, insurance laws, and agent regulations listed on the Tennessee Examination Content Outline. They may also include instructional videos, interactive illustrations, practice exams, and student support.

One popular option is ExamFX, which offers a money-back guarantee and has a 93% pass rate. Another option is the National Online Insurance School, which provides clear and concise pre-licensing insurance courses that cover the material on the Tennessee Examination Content Outline. Their courses include instructional videos, interactive illustrations, practice exams, and student support.

Kaplan is also an option and offers Live Online, Live & OnDemand, and Self-Study Online insurance licensing solutions. Their courses are designed to provide a safe and convenient learning environment for students.

After completing your pre-licensing course, you will be ready to take the state licensing exam. It is important to pass the exam on your first try, as you will be required to pay another exam fee for each subsequent attempt.

Exam registration: Register with Pearson Vue and pay the exam fee

Once you have completed your pre-licensing training, you must register with Pearson Vue to take your state insurance exam. Exam reservations can be made online on the Pearson Vue website or over the phone by calling (800) 274-4957. You will need to pay an exam fee of either $49 or $59, depending on how you want to take the exam. This fee must be made at the time of booking, as payment is not accepted in person.

To complete your reservation, you will need to provide the following information:

• Your legal name, date of birth, address, Social Security Number (SSN), and contact number
• The official name of the exam you want to take
• Your preferred date and test centre location

You should arrive at least 30 minutes before your scheduled appointment to allow time for check-in procedures. If you arrive late, you will not be allowed to take the exam and will forfeit your exam fee.

What to Bring to the Exam

You are required to provide two current forms of identification at the testing centre. The name on the identification must exactly match the name on the registration. The primary identification must be government-issued and photo-bearing with a signature, such as a driver's license or passport. The secondary identification must contain a valid signature and must not be expired, such as a debit or credit card.

Exam Format and Passing Score

All licensing exams are taken on a computer and are multiple-choice. The exam will cover both a general section with basic insurance product knowledge and a state section with specific insurance laws, rules, regulations, and practices that are unique to Tennessee.

To pass the exam, you will need to obtain a scaled score of at least 70%. You will find out your results immediately after finishing the exam, but you will only be shown a numeric, scaled score if you fail.

Retaking the Exam

In the event that you fail the insurance exam, you will need to wait at least 10 days before retaking it. Each subsequent failed attempt after this will require a waiting period of at least 30 days.

Fingerprinting and background check: Submit fingerprints to the Tennessee Department of Commerce and Insurance

To become an insurance broker in Tennessee, you must submit your fingerprints to the Tennessee Department of Commerce and Insurance. This process is completed through IdentoGO and costs $37.15. It will initiate a background check in the Tennessee Bureau of Investigation (TBI) and FBI records to ensure you meet the state's insurance agent regulations.

To organise a fingerprinting appointment, you will need to visit the IdentoGO website and select "Schedule a New Appointment". From there, click on "Don't know your Service Code" and then select "Department of Commerce and Insurance" and select "Insurance Producers" from the following drop-down menus. You will then be prompted to input your zip code so that the platform can find the closest fingerprinting location to you. After finishing the registration for a fingerprinting appointment, you will be sent an email with a confirmation number.

If you have any difficulties scheduling your fingerprinting appointment, you can quickly speak to a representative over the phone to guide you through this process by calling (855) 226-2937. To avoid delays, the Tennessee Department of Commerce and Insurance recommends completing fingerprinting at least two business days before you apply for a producer license.

Note that any misdemeanours, felonies, or current criminal proceedings may affect the outcome of your licensing efforts. If any of these apply to you, you will be required to file your application with the Tennessee Department of Commerce and Insurance directly.

Application: Submit your application online through the National Insurance Producer Registry

To become an insurance broker in Tennessee, you must submit your application online through the National Insurance Producer Registry (NIPR). The application fee is $50, plus a small transaction charge.

To submit your application, you will need to follow these steps:

• Click 'Apply for a license' from the menu on the left of the Vertafore website.
• Click the 'New Insurance License' button within the 'New Insurance Licenses' section.
• Choose 'Resident,' then choose 'Individual,' and click the 'Continue' button.
• Enter your email address and continue.
• Enter your information and choose Tennessee as the state you wish to apply for a license in, then click 'Continue'.
• Select 'Resident Agent' as your license type and continue.
• Select the types of license(s) you wish to apply for and continue.
• Enter all requested information and submit payment.

In addition to submitting your application, you will also need to read through the Fingerprint-Based Criminal History Record Check Policy and submit the one-page Fingerprint Policy and Acknowledgement Form to the Agent Licensing Section. This can be done via email or fax.

It's important to ensure that the names included on your NIPR application and Fingerprint Policy and Acknowledgement Form match each other.

The review process for your application should take around 15 days. If there are any issues with your background check, this may take longer, and the state will likely be in touch to provide some context for the delay.

Once the review is complete, you will receive an email regarding the status of your license.

Frequently asked questions