October 13, 2022

Louisiana Insurance License Exam

Written by: Ethan Peyton

Cartoon woman holding Louisiana Insurance License Exam document

    Passing your Louisiana insurance license exam is a pivotal part of becoming a licensed insurance agent in the state of Louisiana.

    In this guide, we’ll break down the general information that you need to know in order to pass your exam, outline the differences between each examination line, and offer tips on both: how to prepare for your Louisiana insurance licensing exam, and on what to do after you pass.

     

    Louisiana Insurance Exam Basics

    General Information

    The state of Louisiana uses PSI to administer its insurance agent licensing. This means you can register and book all of your licensing examinations through the PSI website. Your test can be carried out online or in person.

    Each major insurance line examination includes both general and state-specific material.

    The general questions test your federal insurance product and agent knowledge, whereas the state-specific questions test you on the Louisiana insurance regulations and laws that you will need to know in order to operate as an insurance agent.

    Score Explanation

    At the end of the examination, your score will be displayed on screen. It will also be emailed to you.

    If you fail your examination, you will receive a score report that will also contain a diagnostic report that can be used to determine your strengths and weaknesses. This will be very helpful if you end up attempting the examination again in the future.

    Note: You can request a duplicate score report by reaching out to PSI at scorereport@psionline.com. You will need to include your name, candidate ID number, and confirmation number.

     

    Cost

    Your Louisiana insurance license exam cost will depend on the type and number of examinations that you take:

    Examination

    Cost 

    Time Allowed

    Life

    $30

    120 Minutes

    Health and Accident or Sickness

    $30

    120 Minutes

    Life, Health and Accident or Sickness

    $53

    160 Minutes

    Property

    $30

    120 Minutes

    Casualty

    $30

    120 Minutes

    Property and Casualty

    $53

    160 Minutes

    Note: You should focus on one exam at a time. This will likely increase the amount of time and effort you can allocate to each examination and should allow you to feel more prepared when you sit your exam.

    Recommended Pre-License Course

    Before taking your insurance exam, we recommend completing a pre-license education course. This is not a requirement in the state of Louisiana, but it can go a long way in helping you get accustomed to the information that you will be expected to know.
    4.7 out of 5 starsKaplan Education Company

     

    Louisiana Life, Health, and Accident or Sickness Insurance Exam

    Below you can find the content outline offered by PSI.

    We recommend using it as a checklist when working through your pre-license education course. This way, you’ll be absolutely sure that you haven’t missed any topic that you will be tested on later on.

    Life, Health and Accident or Sickness Content Outline

    150 questions

    I. Louisiana Insurance Regulation

    1. Licensing
    2. State regulation
    3. Federal regulation

     

    II. Licensing and Regulation

    1. Federal Regulation

     

    III. General Insurance Concepts

    1. Risk
    2. Classifications of Insurers
    3. Elements of a Contract
    4. Authority and Powers of Producers
    5. Legal Interpretations Affecting Contracts

     

    IV. Life, Health, and Accident Insurance Basics

    1. Insurable Interest
    2. Personal Uses of Life Insurance
    3. Determining Amount of Personal Life Insurance
    4. Business Uses of Life Insurance
    5. Factors in Premium Determination
    6. Premium Frequency
    7. Field Underwriting
    8. Policy Delivery
    9. Field Underwriting 
    10. Policy Delivery
    11. Company Underwriting
    12. Definitions of Perils
    13. Types of Losses and Benefits 
    14. Limited Health Insurance Policies
    15. Classification of Risks

     

    V. Types of Life Insurance Policies

    1. Term Life Insurance
    2. Whole (Permanent, Ordinary) Life Insurance
    3. Universal Life
    4. Index Whole Life
    5. Specialized Policies
    6. Group Life Insurance
    7. Credit Life

     

    VI. Life Insurance Policy Provisions, Options, and Riders

    1. Standard Life Insurance Provisions 
    2. Beneficiary Designation Options
    3. Types of Beneficiaries
    4. Beneficiary-Related Clauses
    5. Settlement Options
    6. Nonforfeiture Options 
    7. Policy Loan and Withdrawal Options
    8. Dividend Options
    9. Disability Riders
    10. Riders Covering Additional Insureds 
    11. Riders Affecting Death Benefit Amount
    12. Policy Exclusions

     

    VII. Annuities

    1. Annuity Principles and Concepts
    2. Immediate versus Deferred Annuities
    3. Annuity (Benefit) Payment Options
    4. Annuity Products
    5. Uses of Annuities

     

    VIII. Individual Health and Accident Insurance Policy Provisions

    1. Uniform Required Provisions
    2. Uniform Optional Provisions
    3. Other General Provisions

     

    IX. Disability Income and Related Insurance

    1. Benefits Determination for Disability
    2. Qualifications of Disability
    3. Individual Disability Income Insurance
    4. Unique Aspects of Individual Disability Underwriting
    5. Group Disability Income Insurance
    6. Business Disability Insurance
    7. Social Security Disability

     

    X. Medical Plans

    1. Medical Plan Concepts 
    2. Provisions and Clauses
    3. Types of Medical Plans
    4. Cost Containment in Health Care Delivery
    5. Health Insurance Portability and Accountability Act (HIPAA)

     

    XI. Group Health Insurance

    1. Characteristics of Group Health Insurance
    2. Employer Group Health Insurance
    3. COBRA

     

    XII. Health Insurance for Senior Citizens and Special Needs Individuals

    1. Medicare
    2. Medicare Supplement Insurance
    3. Other options for individuals with Medicare
    4. Long-Term Care Policies
    5. Levels of Long-Term Care
    6. Types of Long-Term Care

     

    XIII. Federal Tax Considerations for Life and Health Insurance

    1. Requirements of Life Insurance Qualified Plans
    2. Federal Tax Considerations for Qualified Plans
    3. Qualified Plan Types, Characteristics, and Purchasers
    4. Taxation of Personal Life Insurance 
    5. Modified Endowment Contracts (MECs)
    6. Health Insurance Premiums and Benefits 
    7. Consumer-Driven Health Plans

    We recommend reading our in-depth How to Pass the Life Insurance Exam guide for a better overview.

     

    Louisiana Property and Casualty License Exam

    Below you can find the content outline offered by PSI.

    You should use this outline as a checklist when working through your pre-license education course in order to ensure that you haven’t missed any topic that you will be tested on later on.

    Property and Casualty Insurance Exam

    150 questions

    I. Louisiana Insurance Regulation

    1. Licensing 
    2. State regulation
    3. Louisiana State Specific Property and Casualty Laws and Regulations
    4. Federal regulation

     

    II. Licensing and Regulation 

    1. Federal Regulation

     

    III. General Insurance Concepts

    1. Risk
    2. Classifications of Insurers
    3. Elements of a Contract
    4. Authority and Powers of Producers
    5. Legal Interpretations Affecting Contracts

     

    IV. Property and Casualty Insurance Basics

    1. Insurable Interest
    2. Damages
    3. Liability
    4. Underwriting
    5. Rate Development
    6. Types of Hazards
    7. Types of Perils
    8. Types of Loss
    9. Loss valuation
    10. Basic Types of Construction
    11. Negligence
    12. Accident versus Occurrence
    13. Policy Structure
    14. Policy Conditions
    15. Limits of Liability
    16. Coinsurance
    17. Specific, Scheduled, and Blanket Insurance
    18. Vacant versus Unoccupied
    19. Named Insured Provisions
    20. Insurer Provisions
    21. Third-Party Provisions
    22. Louisiana laws, regulations and required provisions

     

    V. Dwelling Policy Concepts

    1. Dwelling Policy
    2. Coverage Forms Specifying Perils Insured Against
    3. Property Coverages
    4. Dwelling Policy Exclusions
    5. Dwelling Policy Conditions
    6. Dwelling Policy Endorsements

     

    VI. Homeowners Policy Concepts 

    1. Homeowners Policy
    2. Perils Insured Against
    3. Homeowners Policy Coverage Forms
    4. Property Coverages
    5. Liability Coverages
    6. Homeowners Policy Exclusions
    7. Homeowners Policy Conditions
    8. Homeowners Policy Endorsements
    9. Scheduled Personal Property/Personal Articles Floater

     

    VII. Personal Automobile Policy

    1. Personal Automobile Policy
    2. Personal Automobile Policy Liability
    3. Expenses for Medical Services
    4. Uninsured/Underinsured Motorist Coverage
    5. Physical Damage

     

    VIII. Commercial Automobile Policy

    1. Commercial Automobile Policy
    2. Commercial Automobile Policy Liability
    3. Physical Damage
    4. Other Commercial Automobile forms (e.g., Motor Carrier, Auto Dealers)

     

    IX. Commercial Property Policies

    1. Commercial Package Policy
    2. Commercial Policy Components
    3. Commercial Property Forms
    4. Commercial Property Endorsements
    5. Commercial Inland Marine
    6. Equipment Breakdown Coverages
    7. Farm Property

     

    X. Commercial General Liability

    1. Commercial Policy Components 
    2. Commercial General Liability coverages
    3. Elements of Commercial General Liability
    4. Occurrence versus Claims-Made
    5. Claims-Made Features 
    6. Commercial General Liability Exposures

     

    XI. Commercial Crime

    1. Definitions
    2. Insuring Agreements
    3. Coverage Form Classifications (types of coverage forms only)

     

    XII. Workers’ Compensation Insurance

    1. Definitions
    2. Coverages
    3. Benefits
    4. Levels of Disability
    5. Accident versus Occupational Disease and Illness
    6. Federal Laws
    7. Rating and Job Classification
    8. Claim Reporting Procedures

     

    XIII. Other Types of Property and Casualty Insurance 

    1. Specialty Liability Insurance
    2. Surety Bonds
    3. Personal, Commercial Umbrella, and Excess Policies
    4. Purpose and General Characteristics of Businessowners Policy (BOP)
    5. Farmowners/Ranchowners Policy
    6. Mobile Home Policy
    7. Purpose of Difference in Conditions
    8. Flood and Earthquake Insurance Coverages
    9. Louisiana Citizens Property Insurance Corporation
    10. FAIR and Coastal Plans

    We recommend reading our Property and Casualty Insurance exam article for a more in-depth overview.

     

    How to Pass the Louisiana Insurance Exam

    Passing your Louisiana insurance exam ultimately comes down to your mindset and degree of preparation.

    We have composed a few helpful exam tips and tricks that should help you perform as well as you can during your exam day.

    Get a Pre-License Course

    Even though this is not a requirement in the state of Louisiana, getting a pre-license course can go a long way in helping you get accustomed to the prolific amount of content that you will have to memorize.

    We recommend Kaplan’s course because it offers a variety of helpful features, including:

    • Online exam simulations
    • Live online training
    • Printable study guides
    • End of chapter reviews

    For more information, we recommend reading our Kaplan Insurance Course Review.

     

    Make Enough Time to Study

    Not leaving enough time to prepare is one of the easiest ways to ensure that you do not pass your exam on your first attempt.

    Remember, there are zero questions on your exam that are based on common sense or critical thinking. All questions are purely factual, and so will relate to how well you understand and remember the content that you have learned.

    We recommend allocating around one to two weeks to prepare for your exam, as this should allow you to go through all of the material at least twice.

     

    Control Test Anxiety

    Even though you cannot control whether you get exam anxiety or not, you can take a few steps when preparing to limit its effect on your performance:

    • Establish a consistent pretest routine — Acclimate yourself to exam conditions by following a specific routine on each practice exam at home. This should help you feel less anxious during your exam day.
    • Get plenty of sleep — Lack of sleep can exacerbate your anxiety and increase your self-doubt. Make sure you are consistently getting a good night’s sleep in the week leading up to your exam.
    • Study effectively — This sounds obvious, but make sure you are actually tailoring your studying to the exam that you are taking. Remember, there are no critical thinking or common sense questions involved.
    • Arrive early — If you are planning to sit your exam in person, we recommend you arrive at least 30 minutes before it’s due to start in order to get used to your surroundings and have time to check in with your center’s administrator.

    For a more in-depth overview of how you can prepare for your Louisiana insurance exam, we recommend reading our How to Pass the Insurance Exam article.

     

    Getting Your Louisiana Insurance License

    Your next steps will depend on whether you actually passed your exam, as well as on whether you plan to get licensed for any additional lines.

    You can apply for your license up to 12 months after you complete your exam, so if you would like to attempt passing additional insurance line exams before filing your licensing application, you are totally free to do that.

    After you have passed your insurance licensing exam, you will need to:

    • Complete a fingerprint and background check
    • File your licensing application
    • Wait for your application to be reviewed

    Have a look at our How to Become an Insurance Agent in Louisiana review for more information on all the steps that you will need to take after passing your insurance exam.




    Louisiana Insurance Exams FAQ

    How often do I have to renew my license?

    You will need to renew your insurance license every two years in order to continue operating legitimately in Louisiana. The due date for this is the last day of your birthday month.

    For more information, see our guide on How to Renew Your Insurance License in Louisiana.

     

    How long is the Louisiana Insurance exam?

    This depends on the exam that you are taking. The Life insurance exam is 120 minutes long.

    On the other hand, candidates sitting the combined Property and Casualty exam will have 160 minutes to complete it.

     

    How many times can you take the Louisiana insurance exam?

    There is no limit to the number of times you can take an insurance examination in Louisiana.

     

    How many questions are on the Louisiana insurance exam?

    This will depend on the exam that you are taking. The Life exam, for example, consists of 100 multiple-choice questions.

    On the other hand, the combined Life, Health and Accident or Sickness insurance exam is made up of 150 questions.

    Louisiana Department of Insurance Contact Information

    Mailing Address:

    Louisiana Department of Insurance
    P.O. Box 94214
    Baton Rouge, Louisiana 70804

    Phone: (225) 342-0860

    Email: producerlicensing@ldi.la.gov

    Website: https://www.ldi.la.gov/

    License Search: Louisiana Insurance License Search and Lookup




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