Hello there, welcome and read all about the life insurance licensing exam.
This informative guide will give you insightful tips to help you pass that licensing exam and other options if you don’t.
We understand that you must pass this exam because you are joining the insurance industry in your state, and this exam is a vital part of the license application process.
To help you further, this article will cover the following:
So, here we go!
Most steps required to be a licensed insurance professional in whatever state you are in requires you to pass a licensing exam.
Earning that insurance license is a must to become a life insurance producer or agent, and in some instances, you might find yourself doing both the life and health insurance exam.
This, of course, depends on the state you live in.
But, insurance licensing exams are a major part of the licensing process.
So how do you ace this exam?
Passing The Life Insurance Licensing examination
Here is a step-by-step way how to pass the life insurance exam.
Find Out Your State’s Prerequisites And Obtain An Exam Outline
Every state has its requirements, application process, and varying exams.
Find out your state’s department of insurance listed requirements.
The state must be where you will run your insurance business.
Remember, there are states that require pre-licensing education from their candidates before they sit for the exam.
You might therefore need a pre-licensing course in such cases.
You might also need a sponsor to take the exam in some instances.
Some states will bar their candidates from taking the exam unless they have a sponsor who could be an insurance company or your employer.
Then, in the end, just make sure that you obtain the exam outline for your preparations.
Set Your Exam Date
Most states require you to choose the date and time of the exam.
You will have scheduling options listed online at your states’ department of insurance site.
You could arrange to have your exam at least two weeks before the date to get ample time to study.
The exam is not free, and every state charges differently. But, don’t worry because the examination fee ranges between $40 to $150.
Create A Study Plan
Like with all exams you take, a study plan to ace this exam will have to be in place.
If you expect to pass the exam, then dedicate at least 35-40 hours to studying for this exam.
Look for the right study guide for the insurance license exam online to avoid cramming.
Cramming is strongly discouraged because you need to understand everything.
Therefore intend to dedicate a few weeks and study extensively. Create a study plan that is convenient for you and easy to follow.
Make sure your study hours are broken down into adequate sessions that will give you time to best understand the learning material.
A study schedule or calendar will inspire you to follow your study plan.
You will also need a study package to help you remain focused and on track to avoid that rushed cramming which is not helpful.
Note The Exam Outline By The State
The state will offer you an exam outline that entails a topics list and an indication of how every topic is weighted.
Those are topics which you will be familiar with because you have studied them.
The topics that are mainly covered on the test are as follows:
- General Knowledge on life insurance
- Life insurance policies
- Life insurance coverage options and policy riders
- Tax issues in life insurance
- Annuity policy task issues
- Annuities
If your life insurance exam has been combined with a health insurance one as common with most states, you will need to expect the health insurance topics featured there.
Just find out if your state does this so you can prepare accordingly.
Ensure that you give more attention to areas with the questions and topics that are most weighted.
You want to get to the important stuff first to help you attain the expected pass rates.
Your chances of success will be highly magnified if you consider this and get a good number of questions right.
Keep Preparing and Practicing
If you want to increase your exam acing chances, consider getting a preparation exam review course.
You could consider live classes, those self-study printed books, or online courses.
You can also consider taking practice exams to help you get accustomed to the exam environment.
You can always find a free insurance practice test online.
These things enable you to gauge whether you have understood the study material and the weak areas you have that will require more focus.
Undertake a practice exam that looks like the actual test exams to help you know if you are on the right track and also help you practice your timing.
Know What To Expect During Exam Day
Most students get disoriented because they have no clue what happens during exam day.
This is probably because they are taking the exam for the first time.
They don’t know the things to expect, and this might cost them even when they are adequately prepared because the unexpected processes throw them off-guard.
You might consider visiting the exam center a few days prior to the exam day.
This will help you see the time you will take to get to the center and plan accordingly.
If any processes are involved, like filling out identification forms, fingerprinting, and any other requirements, you will know of them and adequately prepare for them.
Every state has different requirements, so find out what your requirements are.
It is also important that you settle in for the exam minutes earlier than the start time.
Purpose to arrive early, go through the pre-exam processes in time, and obtain your exam test spot in good time.
Of course, an employee of the state will explain what is expected of you during the exam.
Remain Calm Throughout The Exam
You will see the questions when you finally take that license examination, and this is the most crucial time.
However, don’t worry if you extensively prepare well because you will pass the exam.
A few tips to help you handle those questions are as follows:
- Read every question thoroughly before writing your answer.
Remember that most questions bear a lot of detail, which will require great concentration.
Consider focusing only on the details in each question and never assume anything so that you can quickly fill those blanks.
- Single out all the examination questions whose answers you know and answer them first.
In case you encounter a question that is difficult and takes up your time, it is important that you move on to revisit the question later.
- Never leave any license examination question blank.
Whatever you do, you must not do this; just answer all the questions even if you have to guess.
Remember, guessing improves your chances of getting the question right.
You can consider doing away with the obviously wrong multiple choices, which will increase your chances of getting the right answer.
What Happens When You Pass Or Fail
After completing your state exam, the results are the next thing you will be getting.
Once you pass, instructions on the state’s license application will follow, and finally, you will become an insurance agent after following the due process.
A couple of days is all you will need to wait for your testing center to hand you the report on your life insurance test and indicate whether you passed.
If you fail your life insurance exam, you will still get a helpful diagnostic report to let you know the areas that you will need to pay attention to the next time you sit for the exam.
You are allowed to retake the exam three times a year.
Conclusion
A life insurance licensing exam is a major prerequisite to gaining a license to allow you to sell insurance in your state.
As we have seen, the exam requires adequate preparation.
If you employ the right study techniques, you will pass it and won’t require any retakes.
In case of a retake, you have several attempts lined up in a year. Get that license and begin selling life insurance like the professional you are and legally in your state.
