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CA Department of Insurance

Personal Lines Broker-Agent

Licensing Information

Applicable Forms

Table of Contents

Authorizing Act with definitions

Qualifications


Authorizing Act Section 1625.5 of the California Insurance Code (CIC) reads, in part:

A personal lines (PL) licensee is a person authorized to transact automobile insurance, residential property insurance, including earthquake and flood insurance, personal watercraft insurance and umbrella or excess liability insurance providing coverage when written over one or more underlying automobile or residential property insurance policies, and a personal lines broker-agent license is a license so to act. Personal Lines Broker-Agent license authority is determined by what documents are submitted.



Qualifications:

  • Minimum Age: 18 years.
  • Residency: California residency is not required.
  • Entity Types: Individual and Business Entity.
  • Prelicensing Experience/Education:
    • Require a minimum of 20 hours of approved prelicensing classroom study. A new California resident applicant who had a current casualty license in another state and completed 20 hours of prelicensing education for casualty insurance in order to obtain that license, or an applicant holding any of the following designations: Accredited Advisor in Insurance (AAI), Chartered Property Casualty Underwriter (CPCU), Certified Insurance Counselor (CIC) or Associate in Risk Management (ARM) is exempt from the 20 hours of prelicensing education.
    • Require 12 hours of approved prelicensing classroom study on ethics and the California Insurance Code. Where an applicant seeks both the Broker-Agent license and the Life license, the applicant shall only be required to complete one 12 hour course on ethics and the California Insurance Code.

Continuing Education:

  • Section 1749.31 The personal lines broker-agent continuing education requirement is 24 hours during each two-year license period, including at least 3 hours of ethics training, before their license may be renewed. 
  • Any person who is 70 years of age or older and who has been licensed for 30 continuous years as a licensee in good standing in this state, may be exempt from the continuing education requirement. Any licensee that markets individual long-term care contracts or annuities is still required to meet the specific education training requirements for marketing such products.
  • The exemption from the continuing education requirement for licensees 70 years of age and in good standing for 30 continuous years does not apply to those individuals licensed for the first time on or after January 1, 2010. (Section 1749.3 (e)).
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Filing Requirements: Individual -- Residents

  • Examination:  Applicants must pass the Personal Lines Broker-Agent license examination.  Effective November 13, 2012 the California Department of Insurance (CDI) now requires California resident applicants to first pass the qualifying license examination prior to submitting their license application.

    This change affects California residents applying for any license in which an examination is required (i.e., life, accident and health, property, casualty, personal lines, limited lines automobile, and life limited to funeral and burial expenses). CDI's online application service Fast Licensing Application Service is Here (FLASH) now requires applicants to enter a unique 12-digit identification number which is located on the upper left corner of the passed examination letter. FLASH only allows the application to be submitted if the applicant enters the correct identification number and has passed the examination, not just scheduled the examination. Consequently, for an application to be accepted, the applicant's identification number entered must be identical to the identification number that is stated on the passed examination letter.

    The identification number consists of the applicant's last four digits of his or her social security number (e.g., 7777), followed by the two-digit birth month (e.g., 01), followed by the two-digit birth day (e.g., 02), and finally, the four-digit birth year (e.g., 1963). In this example, the 12-digit identification number would be 777701021963. The online application service will only allow the application to be submitted if the identification number is correct and you passed your license examination.

  • Application: Application for Insurance License, the Fast Licensing Application Service is Here (FLASH) Online Application, must be completed by applicants who do not hold an active California Personal Lines Broker-Agent license.
  • Fingerprint Impressions: Fingerprint impressions are required for unlicensed applicants. If an examination is required, fingerprint impressions can be taken at the California examination sites.
  • Additional Documents: The Insurance Commissioner may require such other documents as will aid in determining whether the applicant meets the qualifications for a license.
  • A Personal Lines Broker-Agent is no longer required to have an appointment to have the license issued. Upon application approval the license can be downloaded or printed by using the CDI's Print or Download Your License service. However, the licensee may not transact, solicit, or negotiate the sale of insurance until after one of the following documents are completed and submitted to the California Department of Insurance.

Documents Determining Authority to Act:

  • A $10,000 Bond of Insurance Broker, form LIC 417-5, authorizes the licensee to act as an insurance broker. An insurance broker is a person who, for compensation and on behalf of another person transacts insurance other than commercial lines and life with, but not on behalf of an insurer.
  • Action Notice of Appointment, with $26 (effective March 1, 2015 this fee will be $29) filing fee, completed by the sponsoring insurance company admitted to California authorizes the person to act as an insurance agent. Pursuant to Section 2190.22 of Title 10 of the California Code of Regulations, the Action Notice of Appointment must be submitted electronically. To submit appointments electronically contact the National Insurance Producer Registry (NIPR) and its authorized business partners for a list of approved partners. An insurance agent is a person authorized by and on behalf of an insurer to transact all classes of insurance, except commercial lines and life insurance. 
  • The sponsoring business entity licensed in California completes a Business Entity Endorsement , which must be submitted through the CDI's Business Entity Endorsement and Termination Online Service (i.e. adding or removing individual licensees who are to transact insurance under authority of its license) (CIC Section 1661).
  • An Action Notice of Solicitor*, form LIC 417-31, authorizes the licensee to act as an insurance solicitor. An insurance solicitor is a natural person employed to aid an insurance agent or insurance broker in transacting insurance other than commercial lines and life.

Fees - Individual Residents:

  • License filing - two year term: $154 (effective March 1, 2015 this fee will be $170).
  • Fingerprint: Review the Fingerprint Processing link for fees.
  • Renewal - two year term: $154 (effective March 1, 2015 this fee will be $170).  

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Filing Requirements: Business Entity -- Residents

  • Business Entity Application: Any legal entity, other than an individual, may qualify for a business entity license. Applicants must submit the Application for Business Entity license, form LIC 441-11.
  • Natural Person Named On Business Entity:
  • Endorsees should be named on the Business Entity Application during the initial business entity application filing. Beginning January 1, 2010, subsequent agent endorsements must be submitted online at Business Entity Endorsement and Termination Online Service (i.e. adding or removing individual licensees who are to transact insurance under authority of its license) (CIC Section 1661).
  • Application for Insurance License use the Fast Licensing Application Service is Here (FLASH) Online Application must be completed by each natural person who does not hold an active California Personal Lines Broker-Agent license (individual filing requirements must be met).
  • Note: The business entity must have at least one California resident Personal Lines Broker-Agent endorsee to establish and maintain the license.

Additional Documents: The Insurance Commissioner may require such other documents as will aid in determining whether the applicant meets the qualifications for a license.

A Personal Lines Broker-Agent is no longer required to have an appointment to have the license issued. Upon application approval the license can be downloaded or printed by using the CDI's Print or Download Your License service. However, the licensee may not transact, solicit, or negotiate the sale of insurance until after one of the following documents are completed and submitted to the California Department of Insurance.

Documents Determining Authority to Act:

  • A $10,000 Bond of Insurance Broker, form LIC 417-5, authorizes the licensee to act as an insurance broker. An insurance broker is a person who, for compensation and on behalf of another person transacts insurance other than commercial lines and life with, but not on behalf of an insurer.
  • Action Notice of Appointment, with $26 (effective March 1, 2015 this fee will be $29) filing fee, completed by the sponsoring insurance company admitted to California authorizes the person to act as an insurance agent. Pursuant to Section 2190.22 of Title 10 of the California Code of Regulations, the Action Notice of Appointment must be submitted electronically. To submit appointments electronically contact the National Insurance Producer Registry (NIPR) and its authorized business partners for a list of approved partners. An insurance agent is a person authorized by and on behalf of an insurer to transact all classes of insurance, except commercial lines and life insurance.

Fees - Business Entity Residents:

  • License filing - two year term: $154 (effective March 1, 2015 this fee will be $170).
  • Business Entity Endorsement: $26 (effective March 1, 2015 this fee will be $29).
  • Renewal fee - two year term: $154 (effective March 1, 2015 this fee will be $170). Must have one natural person currently named on business entity.

Note: Natural persons filing use the Fast Licensing Application Service is Here (FLASH) Online Application, refer to individual filing fees.

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Filing Requirements: Individual -- Non-Residents

Beginning March 1, 2010, CDI no longer requires fingerprints from applicants who were previously fingerprinted as a condition of obtaining an insurance producer license in their resident state. This exemption applies to individuals who currently hold a resident license in the following states: Alaska, Arizona, Delaware, District of Columbia (effective August 9, 2010), Florida, Georgia, Hawaii (effective November 1, 2010), Idaho, Louisiana, Minnesota (effective July 1, 2010), Montana, Nevada, New Jersey, New Mexico (effective January 1, 2014), North Carolina (effective October 1, 2010), North Dakota (September 1, 2013), Ohio, Oregon, Pennsylvania, Tennessee, Texas, Utah, Washington and Wisconsin (effective July 6, 2010). 

  • Fingerprint Processing: For those non-resident applicants who do not meet the fingerprint exemption noted above and who file for a license will be required to file fingerprint impressions prior to submitting their application to the CDI. The Non-Resident Applicants to File Fingerprint Impressions Web page lists the procedures on how to submit the Fingerprint impressions.
  • Examination: Not required except if the applicant's state, commonwealth or Canadian province of residence has no reciprocal agreement for waiving of examination.
  • Additional Documents: The Insurance Commissioner may require such other documents as will aid in determining whether the applicant meets the qualifications for a license.

A Personal Lines Broker-Agent is no longer required to have an appointment to have the license issued. Upon application approval the license can be downloaded or printed by using the CDI's Print or Download Your License service. However, the licensee may not transact, solicit, or negotiate the sale of insurance until after one of the following documents are completed and submitted to the California Department of Insurance.

Documents Determining Authority to Act:

  • A $10,000 Bond of Insurance Broker, form LIC 417-5, authorizes the licensee to act as an insurance broker. An insurance broker is a person who, for compensation and on behalf of another person transacts insurance other than commercial lines and life with, but not on behalf of an insurer.
  • Action Notice of Appointment, with $26(effective March 1, 2015 this fee will be $29) filing fee, completed by the sponsoring insurance company admitted to California authorizes the person to act as an insurance agent. Pursuant to Section 2190.22 of Title 10 of the California Code of Regulations, the Action Notice of Appointment must be submitted electronically. To submit appointments electronically contact the National Insurance Producer Registry (NIPR) and its authorized business partners for a list of approved partners. An insurance agent is a person authorized by and on behalf of an insurer to transact all classes of insurance, except commercial lines and life insurance.
  • The sponsoring business entity licensed in California completes a Business Entity Endorsement, which must be submitted through the CDI's Business Entity Endorsement and Termination Online Service.

Limited Lines:

  • Non-resident applicants will be issued a license that provides for the same line(s) of authority that he or she holds in the home state.
  • Note: Licensed non-resident agents whose state of residence does not have continuing education must meet the same requirements as a California resident in order to renew their licenses. Licensed non-resident agents who comply with the continuing education requirements of their state of residence are exempt from California continuing education requirements. If licensees transact long term care products, they must meet California specific long term care education requirements

Fees - Individual Non-residents:

Beginning on January 1, 2009, California's licensing fee for non-residents will be the same as the fee to become licensed as a resident producer when applying for the same type of license regardless of which state the individual holds a resident license.

  • License filing - two year term: $154 (effective March 1, 2015 this fee will be $170).
  • Fingerprint Processing fee: Review the Fingerprint Processing link for fees. 
  • Renewal Fee - two year term: $154 (effective March 1, 2015 this fee will be $170).

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Filing Requirements: Business Entity -- Non-Residents

Business Entity Application:

  • Any legal entity, other than an individual, may qualify for a business entity license. Applicants must submit the Application for Business Entity license, form LIC 441-11.
  • Note: Beginning January 1, 2010, non-resident business entities will be able to endorse California resident individuals on their license. Also, non-resident business entities will not be required to endorse an individual from the business entity's resident state. They do though need to endorse at least one individual from a state other than California. (CIC Section 1656).

Natural Person Named On Business Entity:

  • Endorsees should be named on the Business Entity Application during the initial business entity application filing. Beginning January 1, 2010 subsequent agent(s) endorsements must be submitted online at Business Entity Endorsement and Termination Online Service (i.e. adding or removing individual licensees who are to transact insurance under authority of its license)(CIC Section 1661).
  • Application for Insurance License, the Fast Licensing Application Service is Here (FLASH) Online Application must be filed for each natural person who does not hold an active California non-resident Personal Lines Broker-Agent license (individual filing requirements must be met).

Additional Documents: The Insurance Commissioner may require such other documents as will aid in determining whether the applicant meets the qualifications for a license.

A Personal Lines Broker-Agent is no longer required to have an appointment to have the license issued. Upon application approval the license can be downloaded or printed by using the CDI's Print or Download Your License service. However, the licensee may not transact, solicit, or negotiate the sale of insurance until after one of the following documents are completed and submitted to the California Department of Insurance.

Documents Determining Authority to Act:

  • A Bond of Insurance Broker, form LIC 417-5, in the penal sum of $10,000 executed in California, by a California admitted surety, completed in the name of the business
    entity and signed by the business entity authorizes the business entity to act as an insurance broker.
  • Action Notice of Appointment, with $26 (effective March 1, 2015 this fee will be $29) filing fee, completed by the sponsoring insurance company admitted to California authorizes the person to act as an insurance agent. Pursuant to Section 2190.22 of Title 10 of the California Code of Regulations, the Action Notice of Appointment must be submitted electronically. To submit appointments electronically contact the National Insurance Producer Registry (NIPR) and its authorized business partners for a list of approved partners. An insurance agent is a person authorized by and on behalf of an insurer to transact all classes of insurance, except commercial lines and life insurance.

Limited Lines:

  • Non-resident applicants will be issued a license that provides for the same line(s) of authority that he or she holds in the home state.
  • The fee for limited lines licenses will be the same as the California resident Property Broker-Agent and /or Casualty Broker-Agent license fee and are subject to retaliatory provisions.

Fees - Business Entity Non-residents:

California's licensing fee for non-residents will be the same as the fee to become licensed as a resident producer when applying for the same type of license regardless of which state the individual holds a resident license.

  • License filing - two year term: $154 (effective March 1, 2015 this fee will be $170).
  • Business Entity Endorsement: $26 (effective March 1, 2015 this fee will be $29).
  • Fingerprint Processing fee: Review the Fingerprint Processing link for fees. 
  • Renewal Fee - two year term: $154 (effective March 1, 2015 this fee will be $170). Must have one natural person currently named on business entity. 

Note: Natural persons filing use the Fast Licensing Application Service is Here (FLASH) Online Application, refer to individual filing fees.

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Term:

  • On January 1, 2009, Section 1625.5 of the CIC was amended to restructure the dates that initial licenses for Personal Lines Broker-Agents are effective so that renewals are staggered throughout the year rather than all due at the same time at the beginning of every odd year as it is at present. However, the renewal date for an existing Personal Lines Broker-Agent will remain the same. If a Personal Lines Broker-Agent also holds an additional license qualification (e.g. Life-Only Agent, Accident and Health Agent) the Personal Lines Broker-Agent's renewal date will be changed so that these licensees will have one renewal date instead of two renewal dates as it is at present. 
  • Note: If a Personal Lines Broker-Agent license is issued to a licensee with an existing license term, the Personal Lines license will be issued with the same license term as the existing license.

Renewal of License:

  • Beginning January 1, 2010, Personal Lines Broker-Agent individual and business entity insurance producers must submit their renewal filings to CDI electronically.
  • Beginning with licenses that expired on December 31, 2009, the California Department of Insurance (CDI) discontinued mailing renewal notices to individuals and business entities licensed through CDI's Producer Licensing Bureau. CDI now emails licensees a renewal notification to their email address on record. The email notification includes the license number, license term, license type, and information regarding any continuing education requirements. You can update your e-mail address using CDI's Online Address Change service.
  • Individuals and business entities who do not receive the email notification will still be able to renew their license online by following the prompts on CDI's Online Renewal Service at the following website link: Free Application Online Renewal Service (FLRS)
  • Note: You cannot use the online renewal service for a late renewal at this time.
  • Any licensees that renew their licenses late will be required to pay a 50 percent penalty fee and file new company appointments and/or business entity endorsements or solicitor appointment (if applicable). "Late" is defined as any renewal for which the requirements to renew (this includes completing the ethics and continuing education hours) are not met until after the expiration date of the previous license term. Use this link Late Renewal - What To Do to find out how to late renew your license


Additional Information:

  • Federal law (Title 18 United States Code Section 1033) prohibits anyone who has been convicted of a felony involving dishonesty or a breach of trust from conducting the business of insurance unless they have obtained the written consent of the Insurance Commissioner. It is a violation of this statute to conduct business of insurance without the Commissioners written consent. If you have been convicted of a felony involving dishonesty or a breach of trust then you must attach a copy of this consent. If you have not obtained this written consent you must do so by filing a 1033 Short Form Application for Written Consent prior to filing your application.
  • Pursuant to Section 1640 of the California Insurance Code, a person authorized to act as an insurance solicitor is not eligible at the same time to act as an insurance agent or broker, and a person authorized to act as either an insurance agent or broker is not eligible at the same time to act as an insurance solicitor.
  • Note: Licensees who hold an active California personal lines license are not required to file an Application for Insurance License or pay additional licensing fees each time they change authority. Appropriate document filing fees are required when filing an Action Notice or Business Entity Endorsement.

Financial Security Requirements for Limited Liability Companies Notice:

  • Assembly Bill 729 (Koretz, Chapter 312, Statutes of 2005) was signed into law on September 22, 2005. Beginning January 1, 2006, the bill required limited liability companies (LLC's) to provide proof of satisfying the security requirements of Section 1647.5 of the California Insurance Code when applying for an insurance license and once licensed, must also file with the Commissioner an annual confirmation of coverage demonstrating continued compliance with the financial security requirements. Additional information regarding the new requirements is contained in the public notice linked on this page. 
  • For additional LLC application filing information, annual certification of coverage information, and links to forms that can be used as proof of fulfilling the security requirements please go to the following link: Business Entity Limited Liability Company Requirements

To obtain insurance licensing information, you may phone the Producer Licensing Bureau at (800) 967-9331.

To obtain insurance licensing forms by mail, send an e-mail request to: Producer Licensing Bureau.

All fees mailed to the Department must be addressed to: Department of Insurance, P.O. Box 1139, Sacramento CA 95812-1139.

All filing fees submitted are not refundable, whether or not the application is acted upon or the examination taken.

LIC 642-PL (Rev 02/2014)

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