How To Become An Insurance Agent In Arkansas
What Kind Of Agent Are You Going To Be?
A majority of people who are applying for their insurance license have a plan in already in place of where they are going to use it. If you don't yet have a plan on how you will be using your insurance license, this is the place to start. Here are some of the questions that you should ask yourself:
- What type of insurance am I going to sell?
- Am I starting my own agency, or working inside of an existing agency?
- It may depend on how your agency is set up to tell you what type of licenses you need to hold.
- What types of licenses does my company require me to hold?
Answering these questions should give you tell you the types of insurance licenses you need. If you are still unsure of which lines to pursue, you can always ask the folks in the state licensing office at 501-371-2750 or email the Insurance Department.
How To Get Your Insurance License In Arkansas
The first step in getting your insurance license in Arkansas is to apply for your license. If you have more than one line of authority that you plan on taking the exam for, be sure to apply for all of those lines.
There is no fee for an online application on any insurance producer line that requires an exam. NIPR does, however, charge a $5 transaction fee. If you apply for your additional lines of authority, only the $5 transaction fee will be charged on later additions.
If, for some reason you need to apply for a license, but don't have to take an exam, the fee for the application is $70, plus the $5 transaction fee, for a total fee of $75.
There is also a $15 exam fee that will be charged at the time of application. This fee no longer needs to be paid by cashier's check, and will be paid online with the other fees.
Fill out and submit your online application on the NIPR website.
Background Check Application
The state of Arkansas requires all licensees to submit an application for a background check. If you have an prior misdemeanors or felonies, this may affect the outcome of your licensing efforts. For more information on this topic, call the Arkansas Department of Insurance at 501-371-2750 or email the Insurance License Department.
You will find the application on this page of the Arkansas Insurance Department website.
The next step in getting an Arkansas insurance license is taking pre-license education courses. These are state required courses pertaining to the subject matter that will be on the license exam. To fill the pre-license requirement, you must complete twenty (20) hours of education coursework per line of authority that you wish to hold. You will receive a certificate upon completion of the course. Keep this certificate, as you will need it when taking your exam.
Example: If you want to get a Life Insurance license, then you would need to take twenty (20) hours of coursework. If you are going for Life & Health (L&H), forty (40) hours is your requirement. For Life & Health (L&H) and Property & Casualty (P&C), you will need eighty (80) hours total of pre-license education.
Most applicants choose to take these courses online, as it fits their schedule better, but there are also in person courses available. You should choose which format in which to take your courses based on your preferred method of learning. The goal isn't just to get the courses out of the way, it's to prepare you to pass your license exam on the first attempt.
StateRequirement recommends Kaplan Education Company for all pre-license education courses.
You can find a list course of approved Arkansas pre-license education providers on the State Based Systems Education Look-up Tool.
Insurance License Exams
The next step after completing all of your pre-license coursework or self-study is to take the insurance exams. You will take one exam for each line of insurance you wish to carry. Life and Accident, Health, and Sickness are separate lines in Arkansas, so they are all separate tests. Property & Casualty (P&C), however, can be combined lines, so you will take one test for both of these lines. This means that for all four of these lines you will take three exams.
This is a proctored test, which means that you will be in a controlled environment with a person watching you. For people who haven't tested in a situation like this should be aware of this fact, and work on taming their nerves prior to sitting for the exam.
There is no further fee for the first attempt at each of these tests. The fee for each attempt after of the exams after the first attempt is $56 (one exam per line of authority). When you show up you must have a photo ID and the original pre-license education certificate.
The Life Exam and the Accident, Health, and Sickness exams are made up of two parts. The first part is the General Section, in which have one hour and thirty minutes (1 hour, 30 minutes) to complete this section. The second part of the exams is the State Section. You have one hour (1 hour) to complete this section. The total time allotted for this exam is two hours and thirty minutes (2 hours, 30 minutes).
The Property & Casualty exam is made up of three sections. The first part of the exam is the Property section. You have eighty minutes (80 minutes) to complete this section. The second part is the Casualty section. You have eighty minutes (80 minutes) to complete this section. The third and last part of the exam is the State section. You have fifty minutes (50 minutes) to complete this section of the exam. The total time allotted for this exam is three hours and thirty minutes (3 hours, 30 minutes). Here is a copy of the outline of the exams for all lines of authority.
To explain the scoring of these exams, we will quote Pearson Vue:
There are multiple versions of each of the licensing examinations. These versions are known as forms. All forms of an examination are developed based on the content outlines. To ensure that no candidate is put at an unfair advantage or disadvantage due to the particular form of an examination that he or she is given, a statistical procedure known as equating is used to attain comparable form difficulty.
The passing score of an examination was set by the Arkansas Division of Insurance (in conjunction with Pearson VUE) after a comprehensive study was completed for each examination. The examination score is reported as a percent score on a scale of 0%-100%. It is the percentage of questions answered correctly on the examination. You need to answer 70% of questions correctly in order to pass the examination."
Check out our Insurance Exam Guide. It's extremely in-depth, and will hopefully help you pass the first time.
Insurance license tests are intentionally difficult, but not impossible by any means. You should study to the point of comfortability with the information before you attempt the test. Failing the exam isn't the end of the world, but keep in mind that you will need to pay the fee each time you attempt the test.
Note: StateRequirement recommends that you study for one exam at a time, then after passing, starting on your next line. The exams are difficult enough on their own without confusing information from one line to another.
You may register to take your exams and find more information on the Pearson Vue Arkansas Insurance Exam Page.
Once you have submitted your application and have filled all the other requirements, your license application will be reviewed by the state. Your background check will also be reviewed.
If everything is to acceptable standards your license should be issued quickly. If there are any items from your background check that need to be reviewed, it may slow down the process of issuance. If this is the case, the state may contact you to provide context to the issues that they have run into.
3-5 days after passing your license test, contact the Arkansas Insurance Department to verify that your license has been obtained. You will not receive any correspondence from the state regarding the status of your license. You must make the call to them. The phone number to the Arkansas Insurance Department is 501-371-2750.
To check and see if your license has been issued, you may look yourself up in the State Based Systems License Look-Up System.
You've done the work, put in the time and effort, and now hold the key to your own success! We're proud of you. Take five (5) minutes and celebrate.
Information on this page has been gathered by a multitude of sources, and was most recently updated in February 2018.
Any Information on this site is not guaranteed or warranted to be correct, accurate, or up to date. Huge Hammer LLC and its members and affiliates are not responsible for any losses, monetary or otherwise. For more information, please contact your state's authority on insurance.
Disclosure: StateRequirement has an affiliation with Kaplan Education company, and may receive compensation based on user activity on this site. We truly believe that Kaplan offers excellent products and services, and compliments the mission of StateRequirement.