Alabama Insurance Licensing State Requirements

Alabama Department of Insurance

COVID-19 Updates:

• Effective 5/26/2020:
  • The Certificate of Completion for any prelicensing course which expires between March-July 2020 is hereby extended to the following: March: 120 days past the stated expiration date on the certificate. April or May: 90 days past the stated expiration date on the certificate. June: 60 days past the stated expiration date on the certificate. July: 30 days past the stated expiration date on the certificate. Please note: limitations on repeat examinations are still in effect.

• Effective 4/30/2020:
  • AL is issuing temporary producer licenses during the COVID-19 emergency. A temporary producer is an Alabama resident who is required to be licensed under the laws of the state to sell, solicit, or negotiate insurance and who is otherwise qualified for a producer license except for having passed the written examination for Life, Health, Property, Casualty, or Personal Lines. A temporary producer license is only valid if the producer is sponsored and appointed by an insurance company. The temp license is a once in a lifetime license per line of authority and is valid for a maximum of 6 months from the date of issuance, during which time the producer should be actively engaged in a prelicensing course for the line/lines of authority.

How to Get Your Alabama Insurance License

1. Complete an Insurance Prelicensing Course

• Life: 20 Hours
• Accident & Health or Sickness: 20 Hours
• Life and Accident & Health or Sickness: 40 Hours
• Property: 20 Hours
• Casualty: 20 Hours
• Property and Casualty: 40 Hours

• Personal Lines: 20 Hours

• Classroom
• Online

• Life, Accident & Health or Sickness, and Variable Life/Annuity - CLU®

• Property, Casualty, and Personal Lines - CPCU®, CIC

• Property and Casualty including: 40-hour course on Property & Casualty to include Workers Compensation and Crop
• Property and Casualty excluding: 20-hour course on Property & Casualty
• Workers Compensation: 20-hour course on Workers Compensation
• Crop: 20-hour course on Crop Insurance

2. Pass Your Alabama Licensing Exam

• Applicants must present an original Certificate of Completion from an approved prelicensing provider when they arrive at the test center.
• The certificate of completion must be notarized by the Provider and will be emailed to the address on file in your account.

• Prelicensing course certificates are valid for one year from the date of course completion.

• If you have never tested before, you will need to create a new account.
• Each person testing needs to have their own email address and create their own account. Multiple people cannot use the same email address to register for an exam.  
• Registration requires a credit card. 
• You must register at least 7 days in advance of the day you wish to test, before midnight.  You are not registered until you receive an email confirming that we have received your payment. 
• These tests are nonrefundable and nontransferable.
• You must arrive 15 minutes before the start time of the exam. This allows time for the proctor to verify your information.
• You must have a notarized copy of your prelicensing course Certificate of Completion printed and physically in hand.
• Name on certificate must match name on identification and name on exam registration.
• Certificates of Completion are valid for one year from the date of issuance.
• A copy or original of the certificate of course completion is acceptable.
• Certificate must show notary signature and notary stamp.
• Prelicensing course must match test. 
• You must have valid identification. The following forms of ID are acceptable:
• Valid driver's license or non-driver photo ID
• Valid passport
• Military identification
• Employee ID card
• If you register for an exam that you are ineligible to take, you forfeit the fee and must submit another registration and fee.
• If you are late, by the local time at the test location, you automatically forfeit the exam fee.
• You may not substitute another person for your registration. Children are not allowed in the testing facility.
• Exceptions may be granted, but only in the case of a medical emergency, an auto accident, or a family death

• The exam is computer generated.
• You will be given a calculator.
• All questions are in a multiple-choice format.
• Each question has four possible answers.
• You may skip questions without answering them.
• You will be able to go back and answer the skipped questions before submitting the test, if time allows.
• You will also be able to change your answers to any of the questions before submitting the test, and if time allows.
• Rooms are under video surveillance.
• The following items are prohibited in the testing area: Bags, purses, paper, books, study materials, calculators, cell phones, laptops, tablets, food, and beverages.
• Test-takers may not leave the room during an exam without permission from the exam proctor.
• Test-takers may not give or receive help or copy answers.

• Scrap paper is not allowed, but calculators are provided.

• Your exam score is based on the number of questions you answer correctly.
• Every unanswered question counts as incorrect. So, it is better to try answering these questions with an educated guess by eliminating the wrong answers.
• The computer will give you automatic alerts to tell you how much time is left.
• When the time for an examination expires, you will be given a "final" warning, and the examination will be graded based on the questions answered when time is up.
• There are 158 total questions, but only 150 countable questions.
• The Alabama Department of Insurance test questions prior to adding them to an exam. The 8 extra questions are sporadically placed within the exam to see how well test takers respond to the questions before making any of the questions as part of the exam.
• 70 percent or more correct answers is considered a passing score.
• If time allows, you will be given the opportunity to review the questions that you missed. 

• Your examination will be graded immediately upon submission.
• Call the examination proctor to your computer to verify your score as soon as the exam results are displayed on your computer screen.
• The certificate verifying that you passed the exam will not be awarded until the proctor verifies the results.

• You will be provided with a certificate that shows you’ve passed the examination.
• You will also be provided with instructions on how to complete the application process and receive your license. 
• Your grades will be reported within 3-5 days electronically to the State of Alabama Department of Insurance. 
• After passing your exam, you must complete the Fingerprint background check
• You should seek to get fingerprinted one day before applying for the license. 
• Once you have completed the Fingerprint background check, visit the Alabama Department of Insurance website.
• Under Producers/Agents, click on apply for license, select producer (Individuals), roll down to initial licensing process and click on online application.
• Complete the NIPR electronic resident licensing online application and submit Proof of Citizenship. Please allow three days for your grades to appear within NIPR. 

• You will need to schedule another exam attempt online; please keep in mind that all tests must be scheduled seven days in advance.
• You will also need to pay the registration fee again for every attempt.
• There are waiting periods specific to each attempt:

• The Alabama Department of Insurance's Limitations on Repeat Examinations link can be found here.

3. Get Fingerprinted

4. Apply for an Alabama Insurance License

5. Plan to Complete Required Insurance Continuing Education (CE) Credits