North Carolina Life and Health Insurance Exam
Need of a License: An individual who is acting as an agent or producer needs a license to sell life and health insurance in North Carolina.Who Grants a License: Licenses are granted by the North Carolina Department of Insurance.
Qualifications to receive a License: Individuals who wish to obtain an insurance license in the State of North Carolina:
1. Be at least eighteen (18) years of age.
2. Be a resident of the state.
3. Complete education requirements.
4. Apply for licensure.
5. Make an exam reservation and pay fee.
6. Pass the examination.
8. Complete fingerprinting.
Prelicensing Education Requirements:
Candidates must satisfactorily complete an approved course of education in the fields of insurance for which they apply before they may be licensed. Candidates must satisfactorily complete twenty (20) hours of education per line of authority.
Applying for the Producer Exam: Before making an exam reservation candidates must visit www.nipr.com to complete the license application and pay all associated fees. It is highly recommended that the North Carolina Insurance Licensing Candidate Handbook be reviewed, and special attention be given to the content outlines (available at www.pearsonvue.com), before taking an examination. Candidates cannot make the exam reservation until they receive an email from Pearson VUE” NPN (National Producer Number) and their exam information. Information contained in the email authorization will be collected in the exam reservation process. Candidates that do NOT have this information will not be allowed to register for an exam. Candidates who are required to take Pre-Licensing Education are still required to provide to the Call Center Reservationist, the School Code and education completion date that is provided on the EXAM ADMISSION TICKET. This can be found in the
back of the Candidate Handbook. Note: Candidates required to complete Pre-licensing Education must pass their exams within 90 days of the Education Completion date OR within 5 exam attempts, whichever comes first. Candidates may make a reservation either online at www.pearsonvue.com/nc/insurance or by calling (800) 274-0668.
Test Information: When candidates complete the examination, they will receive a score report marked “pass” or “fail.” The passing scaled score is 70. Each examination is based on a detailed content outline of topics, subtopics, and references to applicable state laws, statutes and regulations. The North Carolina Insurance Licensing Candidate Handbook contains specific content information beyond the following general outlines:
NORTH CAROLINA LIFE AGENT CONTENT OUTLINE (55 questions plus 5 pretest questions)
I. TYPES OF INDIVIDUAL LIFE INSURANCE
A. Term
B. Whole life insurance
C. Endowment
D. Premium variations
E. Combination policies and variations in the basic forms
F. Non-Traditional
II. ANNUITIES
A. The annuity principle
B. Annuity features
III. POLICY PROVISIONS, OPTIONS, AND OTHER FEATURES
A. General provisions
B. Nonforfeiture values
C. Loan provisions
D. Right to defer loan or payment of cash value
E. Dividends
F. Settlement options
G. Beneficiary provision
H. Premium payment
I. Additional rights or optional benefits
IV. OTHER LIFE TOPICS
A. Types of group contracts
B. Group underwriting
C. Master policy and certificates
D. Group Conversion
E. Tax qualified (sheltered) retirement plans
F. Business uses of life insurance
G. Social Security survivors, death, and retirement benefits
H. Federal income tax treatment of life insurance and annuity premiums, proceeds, dividends,
and withdrawals
I. Legal concepts
J. Cost comparison methods: interest adjusted cost vs. traditional net cost
K. Formation of the life insurance contract
L. Variable life, variable universal life, and variable annuity
V. NORTH CAROLINA STATUTES AND REGULATIONS PERTINENT TO LIFE
A. Contract of Insurance
B. Definitions
C. Commissioner of Insurance
D. General Regulations for Insurance
E. Licensing of Agents, Brokers, Limited Representatives, and Adjusters
F. Insurance Information & Privacy Protection Act
G. Unfair Trade Practices
H. False Pretenses and Cheats
I. Continuing Education
J. General Regulations of Business
K. Regulations of Life Insurance Solicitation
L. Replacement Regulations
M. General Regulations
N. Fraternal Benefit Societies
O. Life and Health Insurance Guaranty Association
P. Viaticals
NORTH CAROLINA ACCIDENT AND HEALTH OR SICKNESS AGENT CONTENT OUTLINE
(55 questions plus 5 pretest questions)
I. ACCIDENT & HEALTH INSURANCE POLICIES
A. Disability income insurance
B. Basic Medical Expense insurance
C. Major Medical insurance
D. Comprehensive coverage
E. Hospital indemnity policy/rider
F. Managed Care
II. ACCIDENT & HEALTH INSURANCE
A. Individual policy mandatory provisions
B. Individual policy optional provisions
C. Other provisions
III. OTHER ACCIDENT & HEALTH TOPICS
A. Group
B. Approaches related to group insurance
C. Social Security disability
D. Accidental death and dismemberment
E. Business uses: the disability buy-out
F. Federal income
G. Misrepresentation and concealment
H. Formation of the health insurance contract
IV. NORTH CAROLINA STATUTES AND REGULATIONS PERTINENT TO ACCIDENT & HEALTH
A. Contract of Insurance
B. Definitions
C. Commissioner of Insurance
D. General Regulations for Insurance
E. Licensing of Agents, Brokers, Limited Representatives, and Adjusters
F. Insurance Information & Privacy Protection Act
G. Unfair Trade Practices
H. False Pretenses and Cheats
I. Continuing Education
J. General Regulations
K. Nature of Policies
L. Group Health Insurance Continuation and Conversion Privileges
M. Fraternal Benefit Societies
N. Life and Health Insurance Guaranty Association
How to Apply for the License: All applicants complete an electronic application at www.nipr.com. License/fingerprint/processing fees must be paid prior to scheduling the licensure exam. “Yes” answers require that supporting documentation, upload or send via USMAIL, FAX, or EMAIL to the North Carolina Licensing Office of Pearson VUE. You will receive an AUTHORIZATION EMAIL from Pearson VUE containing pertinent information for scheduling your license authority examination. The license application will be valid for 6 months. A “start” and “end” date for your eligibility period will also be included. If you have not obtained your confirmation that your license has been issued within that period, you will need to reapply to NIPR for a new eligibility period. You must have your prelicensing education completion date and school code when you make a reservation.
State Licensing Information:
North Carolina Licensing Office of Pearson VUE
3200 Atlantic Avenue, Ste. 120
Raleigh, NC 27604
Mailing Address:
NCDOI/Pearson VUE
PO Box 14209
Raleigh, NC 27620
Phone: (866) 265-6329
Email: northcarolinalicensingoffice@pearson.com
Fax:(888) 959-3010
For Licensing Status, Continuing Education and Other Information, visit www.ncdoi.com.
Pearson VUE Licensing Information:
Pearson VUE
North Carolina Insurance
Attn: Regulatory Program
5601 Green Valley Dr.
Bloomington, MN 55437
800-274-0668
License Renewal Requirements: Individual Producer licenses must be renewed every two years and there is a continuing education requirement.
Applicable Regulations: Life and health insurance agents in North Carolina are regulated by the North Carolina Department of Insurance.
For more information on life and health insurance agent licensing and exam preparation, go to Tests.com’s Life and Health Insurance Exam Guide.
And take Tests.com’s free Life and Health Insurance Agent Practice Test.
For life and health insurance agent exam preparation products, such as study guides, flashcards and courses, go to Tests.com’s Life and Health Insurance Sales Exam listings.
