Agents & Brokers Overview / Producer Licensing Frequently Asked Questions / Life Agent and Accident and Health or Sickness license Frequently Asked Questions

Life Agent and Accident and Health or Sickness license Frequently Asked Questions

AB 720 (Chapter 270, De Leon, Statutes of 2007) amended the California Insurance Code to make significant changes to the Life Agent license. Specifically, this law requires the California Department of Insurance to divide the Life Agent license into a Life license and an Accident and Health or Sickness Agent license. In addition, this law established prelicensing and continuing education requirements for these license types.

In addition to the Life License Requirements Notice that the CDI published below are the frequently asked questions regarding the Life license and Accident and Health or Sickness Agent license.

Effect on California Resident Life Agents

If I held a Life Agent license, will I receive a new license certificate in the mail that lists Life and Accident and Health Agent or Sickness as my license type?

If you are holding a Life Agent License the license will now show the Life and Accident and Health or Sickness license types. CDI does not send license certificates by mail. A license certificate can be printed from our website. Additionally your license record on file with the CDI will be converted to show both the Life and Accident and Health or Sickness license. The CDI's Check Your License Status Web page will list the new license types.

Effect on Non-Resident Life Agents

Will the Life-Only Agent and/or Accident and Health Agent license requirements apply to me if I am a California non-resident Life Agent?

All California non-resident Life Agents will have their license record converted to show a Life and Accident and Health or Sickness license. This change can also been viewed on the CDI's Check Your License Status Web page.

If I am only authorized to transact Life insurance products or Accident and Health or Sickness insurance products in my home state will my non-resident license in California show only the license type that my home state has authorized me to transact?

The California non-resident agents that are currently licensed as life agents will be converted to Life and an Accident and Health or Sickness licenses. However, the non-resident agent will have only the authority granted by the agent's home state. At the time of renewal, the non-resident's license will be reviewed and given the Life and/or the Accident and Health or Sickness authority that is approved by the home state.

License Application and Fees

When will the online individual license applications for the Life and the Accident and Health Agent or Sickness will be available on the CDI's Web site?

The application is available on the Sircon website at the following link: Sircon Vertafore online service for both resident and nonresident applicants to apply for an insurance license online. This link takes the applicant to the procedures of how to file an application online. If you already know how to use the online application service, you may select the following link to go directly to Sircon's Sircon Vertafore online service.

What will the filing fee be if I want to apply for a Life license?

The filing fee is $188 when an applicant applies for this license.

What will the filing fee be if I want to apply for an Accident and Health or Sickness license?

The filing fee is $188 when an applicant applies for this license.

What will the filing fee be if I want to apply for both a Life-Only Agent and Accident and Health or Sickness license at the same time?

The filing fee is $188 when an applicant applies for both licenses at the same time.

Please note that the applicant must check both the Life and the Accident and Health or Sickness license types on the initial submission of the individual license application.

What will the filing fee be if I apply for the Life license now and then later I apply for the Accident and Health or Sickness license?

The filing fee is $188 for the Life application. Subsequently, there will be an additional fee of $188 for filing the Accident and Health or Sickness license application at a later date.

If I am licensed as both a Life and an Accident and Health or Sickness, will I need to pay a separate renewal fee for each license?

No, the fee is $188 to renew both the Life and/or Accident and Health or Sickness license.

Types of Coverage

What type of coverage may I sell if I hold a Life license?

The Life license is entitled to transact insurance for the following risks: human lives, benefits of endowment and annuities, death benefits or dismemberment by accident and benefits for disability income (life policies offer riders for death or dismemberment by accident and benefits for disability income; therefore, the Life-Only Agent may sell these products).

What type of coverage may I sell if I hold an Accident and Health Agent or Sickness license?

The Accident and Heath or Sickness license may transact coverage for sickness, bodily injury, accidental death and benefits for disability income.

Educational Objectives

When will the Educational Objectives for the Life and the Accident and Health or Sickness be available so that an applicant can use the Educational Objectives to study for the license examination?

The Educational Objectives are currently available on the CDI's Webster at the following links:

Prelicensing Requirements for Life and/or Accident and Health or Sickness

What are the prelicensing education requirements for an applicant that applies for the Life license?

The prelicensing education requirement for a Life license applicant consists of a 20-hour prelicensing course that is product specific and a 12-hour prelicensing course on code and ethics. Therefore, there is a 32-hour prelicensing requirement for this license (Sections 1749 [c] and [e] of the California Insurance Code).

What are the prelicensing requirements for an applicant that applies for the Accident and Health or Sickness license?

The prelicensing education requirement for an Accident and Health Agent or Sickness license applicant consists of a 20-hour prelicensing course that is product specific and a 12-hour prelicensing course on code and ethics. Therefore, there is a 32-hour prelicensing requirement for this license (Sections 1749 [d] and [e] of the California Insurance Code).

What are the prelicensing requirements for an applicant that applies for both the Life and the Accident and Health or Sickness license?

The prelicensing education requirement for a Life license and Accident and Health or Sickness license applicant consists of the current 40-hour prelicensing course that is product specific and a 12-hour prelicensing course on code and ethics. Therefore, there is a 52-hour prelicensing requirement for these licenses. Please note that the applicant must check both the Life and Accident and Health Agent or Sickness license type on their application to allow for the applicant to schedule their license examination (Cal. Ins. Code sections 1749(c), (d), and (e).

Continuing Education for Life and/or Accident and Health Agent or Sickness

What are the continuing education requirements for a Life and/or the Accident and Health Agent?

The Life-Only Agent and/or Accident and Health Agent is required to complete 24 hours of continuing education credit prior to the renewal of each license.

Life - This agent will be required to complete 24 hours of continuing education (CE) each license term (Cal. Ins. Code section 1749.33 [a]).
Accident and Health or Sickness - This agent will be required to complete 24 hours of CE each license term (Cal. Ins. Code section 1749.33 [b]).
Life and Accident and Health Agent or Sickness - This agent will be required to complete 24 hours of CE credit each license term (Cal. Ins. Code section 1749.33 [c]).
Ethics Continuing Education - Please note the Life and/or the Accident and Health or Sickness licenses will need to complete 3 hours of ethics CE as a part of, and not in addition to, the required 24 hours of CE each license term before their license can be renewed.

Long-Term Care Training Requirements

Would the Life or the Accident and Health or Sickness licensee be authorized to sell long-term care insurance?

The agent who holds both the Life and Accident and Health or Sickness licenses or only the Accident and Health Agent or Sickness license will be authorized to sell long-term care insurance. However, an agent that only holds a Life license is not authorized to sell long-term care insurance.

Note: The Life and Accident and Health Agent or Sickness licensees or only the Accident and Health or Sickness licensee must complete the long-term care training requirements stated in Cal. Ins. Code section 10234.93 (a)(4)(A)). Specifically, any Life and Accident and Health Agent licensees or the Accident and Health or Sickness licensee must complete eight hours of long-term care training in each of the first four 12-month periods beginning from the date the license was issued and, thereafter, complete eight hours of long-term care training during each two year license term. For resident agents, this requirement shall be a part of and not in addition to the continuing education requirements stated in Cal. Ins. Code section 1749.33 (B) and (c).

In addition, the Life and Accident and Health or Sickness licensees or only the Accident and Health or Sickness licensee marketing a Partnership Long-Term Care Insurance Policy or Certificate must complete eight (8) hours of education on long-term care in general that meet the requirements of Cal. Ins. Code section 10234.93 and eight (8) hours of training eight (8) hours of training in a live classroom setting on California Partnership for Long-Term Care. Section 58056 of the California Code of Regulations establishes this requirement.

Annuity Training Requirement

Would the Life or the Accident and Health or Sickness licensee be authorized to sell annuity products?

The agent who holds both the Life and Accident and Health or Sickness licenses or only the Life license will be authorized to solicit individual consumers in order to sell annuities. However, an agent that only holds an Accident and Health or Sickness license is not authorized to negotiate, transact, or sell annuities.

Note: The Life and Accident and Health Agent or Sickness licensee or the Life licensee must complete the annuity training requirements stated in Cal. Ins. Code section 1749.8 et se.. Specifically, any Life and Accident and Health Agent or Sickness licensee or Life licensee must complete an initial eight-hour annuity training course prior to selling annuities. That agent must complete four-hours of annuity training each license renewal period thereafter. For resident agents, this requirement shall be a part of, and not in addition to, the CE requirements stated in Cal. Ins. Code section 1749.33 (a) and (c).

24-Hour Care Coverage

Would the Life-Only Agent or the Accident and Health or Sickness licensee be authorized to sell 24-Hour Care Coverage?

The agent who holds the Life license and Accident and Health Agent or Sickness license or the Accident and Health or Sickness license only will be authorized to sell 24-Hour Care Coverage. However, an agent that only holds a Life license is not authorized to negotiate, transact, or sell 24-Hour Care Coverage.

Note: The Life license and Accident and Health Agent licensees or the Accident and Health or Sickness licensee must complete the 24-Hour Care Coverage CE requirements stated in Cal. Ins. Code section 1749.33. Specifically, any Life and Accident and Health or Sickness licensees or the Accident and Health or Sickness licensee who wishes to sell 24-Hour Care Coverage, as defined in Cal. Ins. Code section 1749.02, shall complete a course, program of instruction, or seminar of an approved CE provider on workers' compensation and general principles of employer liability, which shall be completed by examination approved by the Commissioner as part of the CE course, program of instruction, or seminar prior to selling this coverage. The required number of instruction hours shall be equal to but no greater than that required by the curriculum board for the prelicensing requirements of a casualty broker-agent on these subjects. For resident agents, this requirement shall be a part of, and not in addition to, the CE requirements stated in Cal. Ins. Code sections 1749.33 (b) and (c).

Business Entity License

Will a business entity currently licensed for Life Agent automatically be converted to a Life license and a Accident and Health or Sickness license?

Yes, the conversion shows for the business entity.

Will the business entity's endorsees that are currently licensed for Life Agent automatically be converted to a Life license and Accident and Health or Sickness license?

Yes, the endorsee's Life Agent license type was converted.

Miscellaneous Questions

Will the "variable contract" authority be displayed on the Life agent's license if the agent has this line of authority?

Yes, the variable contract authority will be listed on the Life-Only license when it is printed. In addition, the variable contract authority will also be shown on the CDI's Web page when viewing the agent's Check Your License Status page.

Will the Life license and Property Broker-Agent and Casualty Broker-Agent license have the authority to transact insurance coverage for accidental death and dismemberment?

Assembly Bill (AB) 2782 (Chapter 400, Statutes of 2010) was passed. Included among the provisions of the bill is to require all individuals and business entities to hold an Accident and Health or Sickness license to transact accident and health insurance. Cal. Ins. Code section 1626(a)(2) defines accident and health or sickness insurance as insurance coverage for sickness, bodily injury, or accidental death and may include benefits for disability income.

Property and casualty broker-agents licensees must obtain the Accident and Health or Sickness license to have authority to transact accident and health or sickness insurance coverage. This applies to both individuals and business entities as well as to both California residents and non-residents.

Individuals who are not licensed as either Accident and Health or Sickness or a Property and Casualty Broker-Agent must obtain the Accident and Health or Sickness license beginning to be able to transact accident and health or sickness insurance coverage.

Is it possible for someone to be an Accident and Health or Sickness licensee, a Property Broker-Agent licensee, and a Casualty Broker-Agent licensee? If so, how many hours are they required per license term?

If an individual would like to be licensed for Accident and Health or Sickness, Property Broker-Agent and Casualty Broker-Agent; that individual can apply for these three license types. The applicant would need to complete the prelicensing requirements for the Accident and Health or Sickness, Property Broker-Agent and Casualty Broker-Agent which includes 60 hours of product and 12 hours of code and ethics education. This applicant would need to complete the Accident and Health or Sickness, Property Broker-Agent and Casualty Broker-Agent examinations to be licensed as Accident and Health or Sickness, Property Broker-Agent, and Casualty Broker Agent. The required CE hours for the Accident and Health or Sickness, Property Broker-Agent and Casualty Broker-Agent is 24 hours.

Please note this individual must complete 3 hours of ethics CE as a part of, and not in addition to, the required CE hours each license term before the license can be renewed.

If an individual holds a Personal Lines Broker-Agent license in addition to the Life license and/or an Accident and Health or Sickness license, what is the CE requirement?

The CE requirement for a Personal Lines Broker-Agent that also holds a Life license and/or Accident and Health or Sickness license is 24 hours of CE each license term. In addition, this individual must complete 3 hours of ethics as a part of, and not in addition to, the required 24 hours of CE each license term before the license can be renewed.

If an individual holds a Personal Lines Broker-Agent license and a Life license and/or Accident and Health or Sickness license, what type of classes can I take?

A Personal Lines Broker-Agent, when combined with a Life license and/or Accident and Health or Sickness license, may complete a Property Broker-Agent, Casualty Broker-Agent, Life, Personal Lines Broker-Agent or Limited Lines Automobile Insurance Agent course for CE credit.