Get A Life Insurance License: Colorado Requirements Guide

If you're looking to become a life insurance agent in Colorado, there are a few steps you'll need to take to get your license and kickstart your career. First, you'll need to complete a pre-licensing education course, which is a legal requirement in the state. This will help prepare you for the state licensing exam, which you must pass to earn your license. After passing the exam, you can apply for your license through the National Insurance Producer Registry (NIPR) and pay the application fee. Finally, to maintain your license, you'll need to complete continuing education courses every two years.

Pre-licensing education requirements

To obtain a life insurance license in Colorado, you must complete a prelicensing education course. The Colorado Division of Insurance (CDI) requires potential agents to complete 50 hours of prelicensing education for each line of authority. However, the number of hours varies depending on the type of insurance. For example, life insurance license applicants must complete 40 hours of prelicensing education, while property and casualty insurance requires 50 hours.

It's important to choose a reputable and flexible course that suits your learning style and budget. Online courses, such as those offered by Kaplan and A.D. Banker, are a popular choice, providing self-study options and supplementary materials like webinars, flashcards, and study manuals. These courses ensure you have the necessary tools to pass the state exam on your first attempt.

After completing your prelicensing education, you will need to pass a Certification Exam monitored by a disinterested third party. This exam must be passed with a score of 70% or higher, after which you will receive a Certificate of Completion, valid for one year. You will then need to take and pass the state licensing exam and apply for your license within the year.

The prelicensing education requirement is an essential step to becoming a licensed insurance agent in Colorado, providing you with the knowledge and preparation needed to succeed in your career.

Colorado Licensing Exam

To get a life insurance license in Colorado, you'll need to pass the Colorado Licensing Exam. Here's a detailed guide on what you need to know about the exam:

• The Colorado Licensing Exam is administered by Pearson VUE, a testing service that delivers licensure exams. You can find information about the exam, testing procedures, and exam costs on their website.
• The exam consists of two sections: a general section and a state-specific section. The general section covers basic life insurance product knowledge, while the state section focuses on insurance concepts, terms, rules, regulations, and practices specific to Colorado.
• The exam outline includes a total of 80 scored questions, and you will have 120 minutes to complete it.
• To pass the exam, you need to achieve a score of 70% or higher. The passing score is the same for all Colorado insurance licensing exams.
• The exam fee is $47, which must be paid at the time of reservation using a credit card, debit card, or voucher.
• The exam is proctored, meaning an official proctor or a disinterested third party will closely monitor you in a controlled environment.
• If you fail the exam, you can retake it as soon as 24 hours after your first attempt. There is no limit to the number of retakes, but there is an additional fee for each subsequent attempt.
• You must pass the exam within one year of completing your prelicensing education.
• To schedule your exam, visit the Pearson VUE website or call (800) 274-2616. You must schedule your exam at least 24 hours in advance, and you can cancel or reschedule up to 48 hours before your reservation.
• On the day of the exam, arrive at the test center 30 minutes early. You will need to present two forms of current ID with a signature, such as a driver's license, passport, military ID, or state-issued ID card.
• Personal items, including bags, wallets, cell phones, calculators, electronic devices, and watches, are not allowed in the testing center. Food, gum, and tobacco products are also prohibited, but you are allowed to bring a beverage.
• If you opt for a remote exam, you will need a computer or laptop compatible with OnVUE, Pearson VUE's remote testing platform. Ensure your computer meets the system requirements and download the necessary software in advance.
• For remote exams, you must be alone in a private room during the exam. Your workspace must be clear of all objects, and you cannot have any devices or prohibited items on your person.
• You will be monitored via webcam and microphone during the remote exam, and a third-party proctor will be available via live chat to answer any non-content-related questions.

By following these steps and guidelines, you'll be well prepared to take the Colorado Licensing Exam as part of the process of obtaining your life insurance license in the state.

Application process

To get a life insurance license in Colorado, you must complete an application process. Here is a detailed breakdown of the steps:

Step 1: Familiarize Yourself with the Licensing Candidate Handbook

The Colorado Insurance Licensing Candidate Handbook is a comprehensive resource that provides valuable information about the education requirements, costs, and procedures for taking the insurance license exam in Colorado. It is essential to review this handbook to understand the specific requirements and guidelines for obtaining your life insurance license.

Step 2: Complete Prelicensing Education Requirements

Before taking the exam for your life insurance license, you must fulfill the prelicensing education requirements. This step will equip you with the necessary knowledge and skills to prepare for both the exam and your future career as a life insurance agent.

The prelicensing education requirements for a life insurance license in Colorado include:

• 40 hours of prelicensing education, including:
• 3 hours of Principles of Insurance
• 4 hours of Legal Concepts and Regulations
• 3 hours of Ethics
• 10 hours of Colorado-specific education

These requirements must be met through an approved prelicensing education course, which can be completed online or through self-study options. The courses are designed to be self-paced and typically include study materials such as practice exams and flashcards.

Step 3: Schedule and Prepare for the Exam

Once you have completed your prelicensing education, it's time to schedule your exam. You must make a reservation with the exam provider, Pearson Vue, by creating an account on their website. The reservation should be made at least 24 hours before the exam, and the fee for an individual exam is $48.

When registering, you will need to provide the code for the training center you used for your prelicensing education. Additionally, if you are paying by electronic check, you must do so at least 5 days in advance.

To prepare for the exam, it is recommended to study and practice using the resources available. The Colorado Insurance Licensing Candidate Handbook and the Colorado Division of Insurance Producer Information and Instructions website provide valuable information to help you get ready for the exam.

Step 4: Take the Exam

On the day of the exam, arrive at the exam center 30 minutes before the scheduled start time. Make sure to bring two forms of current, signed identification, such as a driver's license, passport, military ID, or state-issued ID card.

You will be required to sign a Candidate Rules Agreement form, and your photograph will be taken for your score report. If you feel nervous, you have the option to take a tutorial before the exam begins, which will not cut into your exam time.

Step 5: Apply for Your Life Insurance License

After passing the exam and meeting all other requirements, you are eligible to apply for your life insurance license. The application can be submitted online through the National Insurance Producer Registry (NIPR) website.

The cost of the license for a Colorado resident is $89 (plus a $5 NIPR transaction fee) for each line of authority. Additional details about the fees can be found on the NIPR fees page.

It is important to note that you must submit your completed license application within 12 months of passing the exam.

Continuing education

Once you have passed your state licensing exam and obtained your insurance license, you will need to complete continuing education courses to maintain your license. These courses must be completed every two years to renew your license.

The specific requirements for continuing education vary depending on the type of license you hold. For example, resident producers with a Life, Accident & Health, Property, Casualty, Personal Lines, or Public Adjuster license must complete 24 hours of continuing education starting with their second license renewal period. Three of these 24 hours must be in topics related to ethics, and producers with Personal Lines or Property licenses must also complete three hours of credits in Homeowners.

Non-resident producers are currently required to adhere to their home state's requirements for continuing education.

It is important to note that you must complete all of your CE credit hours before submitting your license renewal application.

In addition, there are specific course presentation requirements that must be met. For example, licensees are required to pass the certificate exam with a score of 70% or higher, and exams must be monitored by a disinterested third party.

Furthermore, there are restrictions on the categories of courses that can be taken for continuing education. For example, producers must take 18 hours in the lines they are licensed for, three hours in Ethics, and the remaining three hours can be taken in any category.

There are also specific training requirements for certain types of insurance, such as long-term care insurance, annuity, flood insurance, and homeowners' insurance. For example, producers who sell long-term care policies in Colorado must complete a state-approved training course that includes eight hours of general LTC coursework and eight hours of LTC partnership-specific coursework in a classroom setting.

Finally, there are exemptions from CE requirements for certain licensees, such as newly licensed producers and producers licensed to write only certain types of insurance, including travel ticket, bail bonding, title, limited lines credit, and crop hail.

Fingerprint and background check

To obtain a Colorado insurance license, you must complete a fingerprint and background check. This is done through the Colorado Bureau of Investigation (CBI) and the Federal Bureau of Investigation (FBI).

The state of Colorado requires that fingerprints be transmitted through a CBI-approved vendor. There are two approved vendors: IdentoGO and Colorado Fingerprinting. Both require you to schedule an appointment through their websites.

If visiting a physical location is not feasible, you have the option of submitting a fingerprint card via electronic transfer. This method requires pre-registration, which must be completed through either IdentGO or Colorado Fingerprinting.

You must submit your fingerprints before submitting your license application. The Division of Insurance will not notify candidates on receipt of their background record; it will be matched with your incoming license application upon submission.

Any misdemeanors or felonies may affect the outcome of your licensing efforts. If you are concerned about this, you can contact the Colorado Division of Insurance for more information.

Frequently asked questions