What disqualifies you from getting an insurance license?

In addition to these legal items, there are several other things that can disqualify you from getting an insurance license, including:

• Failing to pass the insurance exam

You must pass the insurance exam in order to be eligible to submit an application for an insurance license. It is highly recommended that you study the proper materials for two to eight weeks prior to taking the insurance license exam.

• If you don't meet the continuing education requirements

This item is actually for those who do obtain an insurance license. Once you have an insurance license you must continue your insurance education in order to keep it. Specifics on this requirement depend on what type of insurance license you have and the state in which it was issued to you. Licenses must be renewed every two to three years in most states.

• Documented abuse of your insurance license

This is another situation that affects the renewal of an insurance license. If you are caught misusing your insurance license, it can be revoked. These are the ways individuals can abuse their insurance license:

• Fraud. When a professional holding an insurance license knowingly commits fraudulent acts against an insurance company, insurance agent, or insurance policyholder.

• Rebating. When a professional holding an insurance license offers incentives that are apart from the benefits of the insurance policy in order to entice a person to buy an insurance policy.

• Twisting. When a professional holding an insurance license willfully coerces an individual to let their current insurance policy expire so that they can purchase another insurance policy.

• If you have not paid fines associated with missing your CE quota before the renewal date of your insurance license

The final item that affects eligibility is also one that only affects current insurance license holders. Once you have an insurance license you must continue your insurance education in order to keep it, if you fail to complete the required hours to retain your license, then you have to pay a fine of usually around $50 per hour. Failure results in license revocation.