Louisiana Property & Casualty Insurance License Exam Overview
The Louisiana Property & Casualty Insurance License Exam is administered by PSI on behalf of the Louisiana Department of Insurance (LDI). Louisiana presents unique insurance challenges with its Gulf Coast location, making hurricane and flood coverage essential knowledge areas for any P&C insurance professional.
Passing this exam qualifies you to sell property insurance, auto insurance, liability coverage, and related products throughout Louisiana—a state with nearly 4.7 million residents facing significant hurricane, flood, and coastal storm risks that create substantial P&C insurance demand.
Exam Format at a Glance
| Component | Details |
|---|---|
| Total Questions | 150 multiple-choice |
| Scored Questions | 150 |
| Time Limit | 2 hours |
| Passing Score | 70% (105 correct answers) |
| Testing Vendor | PSI |
| Exam Fee | $53 |
| Pre-licensing Education | Not required (recommended) |
Why Get P&C Licensed in Louisiana?
- High-demand market — Hurricane exposure creates constant insurance needs
- Growing coastal economy — Oil, gas, shipping, and tourism industries
- Unique risks — Hurricanes, floods, and coastal storms require specialists
- Strong commission potential — High premiums mean higher commissions
- Competitive compensation — Average P&C agent salary over $60,000
Start Your FREE Louisiana P&C Exam Prep
Ready to begin studying? Our comprehensive, completely free Louisiana P&C exam prep covers everything you need to pass.
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
Louisiana-Specific Property Topics:
- Louisiana Citizens Property Insurance (residual market)
- Hurricane deductibles (percentage-based)
- Flood insurance and NFIP requirements
- Wind vs. flood damage disputes
- Coastal property coverage
- Named storm deductibles
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
Louisiana Workers' Compensation:
- Required for most employers
- Louisiana Workforce Commission oversight
- Competitive state (private market)
- Self-insurance options available
3. Auto Insurance (25%)
Louisiana Auto Insurance Requirements:
| Coverage | Minimum Limit |
|---|---|
| Bodily Injury (per person) | $15,000 |
| Bodily Injury (per accident) | $30,000 |
| Property Damage | $25,000 |
Additional Auto Topics:
- Personal Auto Policy (PAP) coverage parts
- Louisiana financial responsibility law
- Uninsured motorist coverage (required)
- Underinsured motorist coverage
- SR-22 requirements
- Commercial auto insurance
- No-pay, no-play law (limits recovery for uninsured)
4. Louisiana Insurance Code and Regulations (10%)
Louisiana Revised Statutes (Title 22) Key Provisions:
- Producer licensing requirements
- Unfair trade practices
- Unfair claims settlement practices
- Policy cancellation and nonrenewal rules
- Advertising guidelines
Licensing Requirements:
- Pre-licensing education: 40 hours
- Continuing education: 24 hours every 2 years
- Ethics requirement: 3 hours included in CE
- Background check 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 | 12-14 |
| Week 2-3 | Liability insurance | 12-14 |
| Week 3-4 | Auto insurance and LA requirements | 12-14 |
| Week 4-5 | Louisiana regulations (Title 22) | 8-10 |
| Week 5-6 | Practice exams and review | 12-14 |
Total recommended study time: 55-65 hours
Free Practice Questions Available
Test your knowledge with hundreds of free practice questions designed specifically for the Louisiana P&C exam.
Louisiana-Specific Exam Tips
1. Know Louisiana Auto Minimums
Louisiana requires 15/30/25 liability coverage:
- $15,000 per person bodily injury
- $30,000 per accident bodily injury
- $25,000 property damage
2. Master Hurricane Coverage
Louisiana faces annual hurricane threats:
- Named storm deductibles — Percentage-based (often 2-5%)
- Wind vs. flood disputes — Critical coverage distinction
- Louisiana Citizens — Residual market for high-risk properties
- Evacuation coverage — Important add-on consideration
3. Understand Flood Insurance
Louisiana has extensive flood exposure:
- NFIP (National Flood Insurance Program) basics
- Private flood insurance options
- Flood zones and elevation certificates
- Waiting periods for flood coverage
4. Key Numbers to Remember
| Topic | Louisiana Requirement |
|---|---|
| Auto minimums | 15/30/25 |
| WC threshold | Most employers |
| Pre-licensing | 40 hours |
| CE requirement | 24 hours/2 years |
| Passing score | 70% |
Common Mistakes to Avoid
- Confusing wind and flood coverage — Flood requires separate policy
- Not knowing hurricane deductibles — Percentage-based in LA
- Forgetting Citizens Insurance — Louisiana's residual market
- Not knowing auto minimums — Louisiana is 15/30/25
- Not practicing timed exams — 2 hours for 150 questions
- Cramming last minute — Spread study over 5-6 weeks
After Passing Your Exam
- Apply for license through Louisiana Department of Insurance portal
- Complete background check — Required for all applicants
- Pay license fee — $50 for resident license
- Affiliate with insurer — Get appointed by carrier
- Maintain CE compliance — 24 hours every 2 years
- Begin selling — Your license is valid for 2 years
2026 Louisiana Updates
For 2026, be aware of:
- Hurricane coverage rate changes
- Citizens Property Insurance updates
- Auto insurance rate adjustments
- Enhanced coastal property regulations
Start Your Louisiana P&C Insurance Career Today
The Louisiana P&C license opens doors to a challenging but rewarding insurance market. With proper preparation, you can pass the exam on your first attempt.
Our free study materials include:
- Complete topic coverage
- Practice questions with explanations
- Louisiana-specific regulations (Title 22)
- Study guides and summaries
- AI-powered study assistance
Don't pay for expensive prep courses when everything you need is available FREE.