Illinois Property & Casualty Insurance License Exam Overview
The Illinois Property & Casualty Insurance License Exam is administered by Prometric on behalf of the Illinois Department of Insurance (IDOI). Illinois is the sixth-largest state by population, with Chicago serving as a major insurance hub and corporate headquarters for many carriers.
Passing this exam qualifies you to sell property insurance, auto insurance, liability coverage, and related products throughout Illinois—a state with nearly 13 million residents and significant demand for both personal and commercial lines.
Exam Format at a Glance
| Component | Details |
|---|---|
| Total Questions | 130 multiple-choice |
| Scored Questions | 130 |
| Time Limit | 2 hours |
| Passing Score | 70% (91 correct answers) |
| Testing Vendor | Prometric |
| Exam Fee | $58 |
| Pre-licensing Education | 20 hours required |
Why Get P&C Licensed in Illinois?
- Major national market — Nearly 13 million potential clients
- Chicago financial hub — Corporate headquarters and agency opportunities
- Low pre-licensing — Only 20 hours required (among the lowest)
- Insurance company HQs — State Farm, Allstate, and more
- Competitive compensation — Average P&C agent salary over $65,000
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Key Topics Covered on the Exam
1. Property Insurance (30%)
Homeowners Insurance:
- HO-2, HO-3, HO-4, HO-5, HO-6, HO-8 policy forms
- Coverage A (Dwelling), B (Other Structures), C (Personal Property)
- Coverage D (Loss of Use), E (Personal Liability)
- Dwelling fire policies
Illinois-Specific Property Topics:
- Illinois FAIR Plan (residual market)
- Windstorm and hail coverage
- Basement flooding considerations
- Ordinance or law coverage
Commercial Property:
- Building and personal property coverage forms
- Business income coverage
- Equipment breakdown
- Inland marine coverage
2. Liability Insurance (30%)
Personal Liability:
- Homeowners liability (Coverage E)
- Personal umbrella policies
- Medical payments coverage
Commercial Liability:
- Commercial General Liability (CGL)
- Products and completed operations
- Professional liability (E&O)
- Workers' compensation requirements
Illinois Workers' Compensation:
- Coverage required for all employers
- Illinois Workers' Compensation Commission
- Rate classification system
3. Auto Insurance (25%)
Illinois Auto Insurance Requirements:
| Coverage | Minimum Limit |
|---|---|
| Bodily Injury (per person) | $25,000 |
| Bodily Injury (per accident) | $50,000 |
| Property Damage | $20,000 |
Additional Auto Topics:
- Personal Auto Policy (PAP) coverage parts
- Illinois financial responsibility law
- Uninsured motorist coverage (required)
- Underinsured motorist coverage
- SR-22 requirements
- Commercial auto insurance
4. Illinois Insurance Code and Regulations (10%)
215 ILCS 5 Key Provisions:
- Producer licensing requirements
- Unfair trade practices (Article 143)
- Unfair claims settlement practices
- Policy cancellation and nonrenewal rules
- Advertising guidelines
Licensing Requirements:
- Pre-licensing education: 20 hours
- Continuing education: 30 hours every 2 years (note: higher than many states)
- Ethics requirement: 3 hours included in CE
- Background check and fingerprinting required
5. Ethics and Professional Conduct (5%)
- Fiduciary duties to insureds
- Premium handling requirements
- Claims reporting obligations
- Privacy and confidentiality
Study Timeline for Success
| Week | Focus Area | Hours |
|---|---|---|
| Week 1-2 | Property insurance fundamentals | 8-10 |
| Week 2-3 | Liability insurance | 8-10 |
| Week 3-4 | Auto insurance and Illinois requirements | 8-10 |
| Week 4 | Illinois regulations (215 ILCS 5) | 6-8 |
| Week 5 | Practice exams and review | 8-10 |
Total recommended study time: 40-50 hours
🎯 Free Practice Questions Available
Test your knowledge with hundreds of free practice questions designed specifically for the Illinois P&C exam.
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Illinois-Specific Exam Tips
1. Know Illinois Auto Minimums
Illinois requires 25/50/20 liability coverage:
- $25,000 per person bodily injury
- $50,000 per accident bodily injury
- $20,000 property damage
2. Understand the FAIR Plan
Illinois FAIR Plan provides property insurance for:
- High-risk properties unable to get private coverage
- Basic fire and extended coverage
- Essential property protection
3. Master Workers' Compensation
Illinois workers' comp requirements:
- Required for ALL employers (no minimum employee threshold)
- Illinois Workers' Compensation Commission oversees
- Competitive state (private market)
4. Key Numbers to Remember
| Topic | Illinois Requirement |
|---|---|
| Auto minimums | 25/50/20 |
| WC threshold | All employers |
| Pre-licensing | 20 hours |
| CE requirement | 30 hours/2 years |
| Passing score | 70% |
Common Mistakes to Avoid
- Confusing auto minimums — Illinois is 25/50/20 (not 25/50/25)
- Underestimating CE — Illinois requires 30 hours, higher than most states
- Skipping workers' comp — Required for ALL employers in Illinois
- Thinking low pre-licensing = easy exam — Still need to study thoroughly
- Not practicing timed exams — 2 hours for 130 questions
- Cramming last minute — Spread study over 4-5 weeks
After Passing Your Exam
- Apply for license through NIPR or IDOI online portal
- Complete fingerprinting at LiveScan location
- Pay license fee — $90 for 2-year resident license
- Affiliate with insurer — Get appointed by carrier
- Maintain CE compliance — 30 hours every 2 years
- Begin selling — Your license is valid for 2 years
2026 Illinois Updates
For 2026, be aware of:
- Auto insurance rate changes
- Updated producer appointment rules
- Enhanced consumer protection regulations
- Modified CE requirements
Start Your Illinois P&C Insurance Career Today
The Illinois P&C license opens doors to one of the nation's premier insurance markets. With proper preparation, you can pass the exam on your first attempt.
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Our free study materials include:
- ✅ Complete topic coverage
- ✅ Practice questions with explanations
- ✅ Illinois-specific regulations (215 ILCS 5)
- ✅ Study guides and summaries
- ✅ AI-powered study assistance
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