They say that nobody becomes rich being employed to somebody else. All the money is in business and investment. We all agree. But it comes both ways. You either earn big or lose big. And consider yourself lucky if you break even.
Then there is Sales.
Selling can be very lucrative if you have the right skills, the right tools, and of course, the right license.
You can begin with selling insurance for a starter if you want a change of field when you become fed up with your work and need a fresh start. But sometimes, selling life insurance can be a struggle. You may want to consider Property and Casualty insurance.
Property insurance deals with managing risk and providing financial safeguards to common types of properties such as a house, vehicle and even jewelry, while casualty insurance deals with the legal liability for unforeseeable future damage. Most of the time, Property and Casualty insurance go hand in hand, especially in securing a license.
The question is, how much will it cost you to secure a license for selling a Property and Casualty insurance?
Average Cost of Property and Casualty License
The property and casualty license cost for individual insurance brokers and agents ranges from $0 to $300, depending on which state you are doing your business.
The following are the complete list of the P&C license fees per state that are valid for two years:
|State||License Fees||Other Fees|
|Alabama||$80||Amendment fee $80|
|Alaska||$75.00||Reinstatement fee-$100.00: If < or = 60 days, $200.00 if 61 days or more|
|Arizona||$120||Amendment fee $120/ Fingerprinting $20 (if required )|
|Arkansas||$70.00||Reinstatement fee $70|
|California||$170||Renewal late fees $255 / Exam fees, reinstatement $170|
|Colorado||$57.00||Amendment fee $57.00|
|Connecticut||$140||Reinstatement fee - $130|
|Delaware||$75.00||$275.00 ($200 reinstatement fee + $75 license fee) if inactive for >1 year|
|Idaho||$100||Reinstatement fee - $200.00 up to 1 yr past expiration date|
|Florida||$55.00||Reinstatement fee $55.00|
|Georgia||$100||Reinstatement $100 / Amendment fee $100|
|Hawaii||$150/$200||Please see schedule|
|District of Columbia||$80||$80 reinstatement fee|
|Illinois||$180.00||$360.00 reinstatement fee|
|Indiana||$40.00||$40.00 LOA addition fee|
|Iowa||$50.00||$50.00 reinstatement fee|
|Kansas||$50.00||$50.00 reinstatement fee|
|Kentucky||$40.00||Link for the reinstatement fee; $40.00 LOA Fee; $50.00 Exam Fee|
|Maine||$10||Reinstatement-$25.00, Amendment fee - $25.00|
|Michigan||$10.00||Reinstatement $10 / Amendment fee $10|
|Minnesota||$50.00||Amendment fee - $50.00 per LOA + $10.00 (Technology Fee)|
|Mississippi||$100.00||$100 amendment fee|
|Missouri||$100||$100 amendment fee|
|Montana||No fee||No fee for reinstatement|
|Nebraska||$50.00||$90.00 ($40.00 reinstatement fee + $50.00 license fee)|
|Nevada||$185.00||$310.00 ($185 License Fee + $125 Reinstatement Fee)|
|New Hampshire||$210.00||$50.00 amendment fee/ $90.00 reinstatement fee|
|New Jersey||$150||$20 Processing fee|
|New Mexico||$30.00||LOA Addition fee - $30.00 per application|
|New York||$80||$80 per sub-licensee|
|North Carolina||$82||Amendment Fee - $44.00 + $50.00 per LOA|
|North Dakota||$100.00||$0.00 Amendment fee|
|Ohio||$80||$0.00 Amendment fee|
|Oklahoma||$60.00||Reinstatement fee - $120.00|
|Oregon||$75.00||Line of Authority addition fee $75.00|
|Pennsylvania||$55.00||Amendment fee - $25.00/ Reinstatement fee $55.00|
|Rhode Island||$120.00||Reinstatement - $120.00|
|South Carolina||$200.00||Reinstatement fee-$400.00 / if status is lapsed - $0|
|South Dakota||$25.00||Reinstatement - $25.00 (Same as initial license fee)|
|Tennessee||$50.00||Amendment fee $50.00|
|Texas||$50||Renewal - $50 / late fee - $25|
|Utah||$75||Exam fees – $59, fingerprint $36.50, processing fee - $20|
|Vermont||$60.00||$30.00 Amendment fee|
|Virginia||$300.00||LOA Addition Fee - $25.00 per LOA|
|Wisconsin||$10.00||Amendment fee $10|
|Wyoming||$100.00||Amendment fee $100|
See “Other Fees” column on the table for the amounts of the additional costs for obtaining license as a property and casualty insurance broker or agent.
- Reinstatement fees for expired licenses
- Examination fees
- Line of Authority addition fees
- Amendment fees
- Some states impose a retaliatory fee in addition to the P&C license fees
Factors Affecting Property and Casualty License Cost
- State – cost of license fees for insurance brokers and agents vary per state. In addition, some state imposes retaliatory fees.
- The validity of license – the P&C license fees indicated above are the price for a license valid for two years. But a license can be applied for a year or less, thereby cutting down the cost in half. But the retaliatory fees. If there is, remain the same regardless of the license validity.
- Number of Sub-licensee – this is applicable to agents and brokers other than individuals as some state charges license fees to companies and partnerships according to the number of sub-licensees, while others charge per sub-licensee as an additional cost on top of the property and casualty license cost.
Where to Get Properly and Casualty License
If you plan to apply for your insurance license, renew, amend, or reinstate, just go to National Insurance Producer Registry or NIPR. You can also check the status if you have already submitted your application, among all other services.
For new resident licensing requirements for each state, visit this link.
Licenses are valid for two years. This pertains to applications to be issued for a period greater than one year which is computed by adding the licensing fee and any retaliatory fee if there is. To compute for an application to be issued for one year or less, add half of the licensing fee plus the whole amount of the retaliatory fee.
An insurance agent sells insurance coverage and represents a particular company, whereas a broker represents the public and is allowed to sell insurance for any insurance company.
You do not need a college degree to get obtain a Property and Casualty license. A high school diploma is enough.
Some of the job responsibilities of a Property and Casualty agent are:
- To analyze a prospective client’s current insurance policies and advise them whether it fits their needs or if some updates and changes are necessary.
- Every individual’s needs are unique and the agent’s responsibility is to tailor make the coverage according to those needs and also their preferences after educating them about the different options and benefits of each insurance plan.
- After sales service activities such as collecting, listing, maintaining, and updating records of each client as well as assisting clients in settling their claims.