Minnesota Property & Casualty Insurance License Exam Overview
The Minnesota Property & Casualty Insurance License Exam is administered by PSI on behalf of the Minnesota Department of Commerce. Minnesota's diverse economy, harsh winters, and unique no-fault auto insurance system create specialized insurance needs for agents.
Passing this exam qualifies you to sell property insurance, auto insurance, liability coverage, and related products throughout Minnesota—a state with nearly 6 million residents, extreme temperature variations, and a robust business environment centered around the Twin Cities metropolitan area.
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 | $45 |
| Pre-licensing Education | 40 hours required |
Why Get P&C Licensed in Minnesota?
- Strong economy — Fortune 500 headquarters including Target, 3M, UnitedHealth
- No-fault auto state — Unique system creates specialized knowledge demand
- Major metro market — Twin Cities area with 3.6+ million residents
- Diverse risks — From urban to rural, lakes to prairies
- Competitive compensation — Strong insurance industry presence
Start Your FREE Minnesota P&C Exam Prep
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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
Minnesota-Specific Property Topics:
- Minnesota FAIR Plan (residual market)
- Ice dam and frozen pipe coverage (critical for MN winters)
- Hail damage coverage (spring/summer storms)
- Lake property and dock coverage
- Tornado 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
Minnesota Workers' Compensation:
- Required for employers with one or more employees
- Minnesota Assigned Risk Plan for hard-to-insure employers
- Competitive state (private market)
- Agricultural exemptions
3. Auto Insurance (25%)
Minnesota No-Fault Auto Insurance: Minnesota is a no-fault state with Personal Injury Protection (PIP) requirements.
| Coverage | Minimum Limit |
|---|---|
| Bodily Injury (per person) | $30,000 |
| Bodily Injury (per accident) | $60,000 |
| Property Damage | $10,000 |
| PIP (Personal Injury Protection) | $40,000 |
| Uninsured Motorist | $25,000/$50,000 |
Additional Auto Topics:
- Personal Auto Policy (PAP) coverage parts
- Minnesota no-fault system and PIP benefits
- Threshold for tort claims
- Uninsured motorist coverage (required)
- Underinsured motorist coverage
- SR-22 requirements
- Commercial auto insurance
4. Minnesota Insurance Code and Regulations (10%)
Minnesota Statutes Chapter 60A 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: 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 MN no-fault system | 12-14 |
| Week 4-5 | Minnesota regulations (Chapter 60A) | 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 Minnesota P&C exam.
Minnesota-Specific Exam Tips
1. Master the No-Fault System
Minnesota is one of 12 no-fault auto insurance states:
- PIP coverage required — $40,000 minimum
- Threshold for lawsuits — Must meet monetary or verbal threshold
- No-fault benefits — Medical, wage loss, replacement services
- Coordination with health insurance — Important coverage interaction
2. Know Minnesota Auto Minimums
Minnesota requires 30/60/10 liability coverage plus PIP:
- $30,000 per person bodily injury
- $60,000 per accident bodily injury
- $10,000 property damage
- $40,000 PIP required
3. Understand Winter Weather Risks
Minnesota's extreme winters create unique coverage needs:
- Ice dam coverage
- Frozen pipe coverage
- Snow load considerations
- Heating system failure coverage
- Extended vacancy issues (snowbirds)
4. Key Numbers to Remember
| Topic | Minnesota Requirement |
|---|---|
| Auto minimums | 30/60/10 |
| PIP minimum | $40,000 |
| Pre-licensing | 40 hours |
| CE requirement | 24 hours/2 years |
| Passing score | 70% |
Common Mistakes to Avoid
- Not understanding no-fault — Minnesota's PIP system is heavily tested
- Confusing auto minimums — 30/60/10 plus $40,000 PIP
- Skipping winter perils — Ice dams, frozen pipes essential
- Ignoring hail coverage — Major spring/summer risk
- 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 Minnesota Department of Commerce
- 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 Minnesota Updates
For 2026, be aware of:
- No-fault PIP coverage updates
- Hail and severe weather rate adjustments
- Auto insurance rate changes
- Enhanced consumer protection regulations
Start Your Minnesota P&C Insurance Career Today
The Minnesota P&C license opens doors to a robust insurance market with a strong corporate presence. With proper preparation, you can pass the exam on your first attempt.
Our free study materials include:
- Complete topic coverage
- Practice questions with explanations
- Minnesota-specific regulations (Chapter 60A)
- No-fault system comprehensive review
- AI-powered study assistance
Don't pay for expensive prep courses when everything you need is available FREE.