Most of the jobs for which an insurance license is legally required are sales jobs. Insurance licenses are also required for some other jobs within the insurance industry, such as claims adjusters, property appraisers and trainers. There are several different types of insurance license, depending on the state you live in.
Sales Agent Licenses
Anyone who intends to sell insurance must first hold the appropriate insurance license issued by their state. In addition to life, health, auto and property insurance, separate licenses are required for industrial fire and burglary insurance, motor vehicle rental insurance, title insurance,and surplus lines insurance. Some states, instead of issuing separate licenses for life insurance and health insurance, consolidate the two into a single license, commonly called “life and health.” Likewise, some states consolidate the property and casualty licenses into a single license.
Most insurance companies that provide agent training in-house require that their trainers have extensive experience in the area they're teaching, and may also require that they hold active licenses.
Some less common insurance licenses are credit, travel, car rental and surplus lines. These are all sales licenses and permit the agent to sell specialized insurance. Credit insurance, for example, is life insurance which pays the creditor any outstanding balance on the insured's credit account, in the event of their death. A surplus lines license authorizes an agent to sell insurance which hasn't been authorized by the state, but is sold in other states, and for which no reasonable state-authorized alternative is available.
Earning a License
Candidates must complete a training course, either online or in person,and pass a written examination to earn an insurance license. Once licensed, agents are required to satisfy continuing education requirements established by the states in which they're licensed.