Key Takeaways
- Arkansas requires 40 hours of pre-licensing education (20 hours Property + 20 hours Casualty)
- The exam consists of 160 questions total (150 scored + 10 pretest) with a 3.5-hour (210 minute) time limit
- A passing score of 70% or higher is required on both General Knowledge and State Law sections
- PSI Services administers the exam with both in-person and remote proctoring options
- Pre-licensing certificate is valid for 2 years from completion date
- Arkansas auto insurance minimums are 25/50/25 for liability coverage
Arkansas Property & Casualty Exam Overview
Welcome to OpenExamPrep's FREE Arkansas Property & Casualty Insurance exam prep guide. This comprehensive resource covers Arkansas-specific regulations, licensing requirements, and state insurance laws you need to know to pass your exam in 2026.
About the Arkansas P&C Exam
The Arkansas Property & Casualty insurance examination is administered by PSI Services LLC on behalf of the Arkansas Insurance Department (AID). The exam tests your knowledge of:
- Arkansas Insurance Code and regulations
- Property insurance principles (homeowners, fire, commercial property)
- Casualty insurance principles (auto, liability, workers' compensation)
- Arkansas-specific policy requirements
- Ethics and professional conduct
- Consumer protection laws
Exam Structure
| Exam Component | Details |
|---|---|
| Testing Provider | PSI Services LLC |
| Regulatory Authority | Arkansas Insurance Department (AID) |
| Passing Score | 70% or higher |
| Question Format | 160 questions (150 scored + 10 pretest) |
| Time Limit | 3.5 hours (210 minutes) |
| Time Breakdown | 160 minutes General + 50 minutes State Law |
| Test Delivery | In-person or remote proctored |
| Results | Immediate upon completion |
| Exam Fee | $50 |
Important: Arkansas's exam is divided into General Knowledge (160 minutes) and State Law (50 minutes) sections. You must pass BOTH sections with 70% to receive your license.
Exam Options
| Exam Type | Questions | Time | What It Covers |
|---|---|---|---|
| Property Only | 80 | 105 minutes | Homeowners, fire, commercial property |
| Casualty Only | 80 | 105 minutes | Auto, liability, workers' comp |
| Combined P&C | 160 | 210 minutes | Both property and casualty |
Recommendation: Most candidates take the Combined P&C exam to obtain a full Property & Casualty license in one sitting.
Pre-Licensing Education Requirements
Required Education - 40 Hours
Arkansas requires pre-licensing education before you can take the P&C exam:
| Requirement | Details |
|---|---|
| Total Hours | 40 hours |
| Property Hours | 20 hours |
| Casualty Hours | 20 hours |
| Approval | From AID-approved provider |
| Certificate | Required for exam registration |
| Validity | 2 years from completion |
Education Course Content
Property Insurance (20 hours)
- Homeowners policies (HO-2, HO-3, HO-4, HO-6)
- Dwelling policies
- Commercial property insurance
- Inland marine coverage
- Arkansas property insurance laws
Casualty Insurance (20 hours)
- Personal auto policies
- Commercial auto coverage
- General liability insurance
- Workers' compensation
- Arkansas casualty insurance laws
Certification Exam Requirement
After completing pre-licensing education:
- Must pass certification exam with 70% or higher
- Receive Certificate of Completion
- Bring certificate to state exam
- Certificate valid for 2 years
Arkansas Insurance Market Context
Why Arkansas Is Unique
Arkansas has distinctive insurance characteristics:
-
Natural Disaster Risk
- Tornadoes: Arkansas is in tornado-prone region
- Severe Storms: Hail, wind, and thunderstorm damage
- Flooding: Flash floods, especially near rivers
- Ice Storms: Winter weather damage common
-
Market Characteristics
- Agricultural sector with specialized insurance needs
- Growing urban areas (Little Rock, Fayetteville, Fort Smith)
- Manufacturing and logistics industries
- Tourism and recreation sector
-
Regulatory Environment
- File-and-use rate system for most lines
- AID consumer protection oversight
- Standard licensing requirements
- Pro-business regulations
Arkansas Auto Insurance Requirements
All Arkansas drivers must maintain minimum liability coverage:
| Coverage Type | Minimum Limit |
|---|---|
| Bodily Injury (per person) | $25,000 |
| Bodily Injury (per accident) | $50,000 |
| Property Damage | $25,000 |
Exam Tip: Arkansas's auto minimums are 25/50/25. Memorize these limits - they're frequently tested on the state exam.
Additional Auto Coverage Notes
- Uninsured Motorist (UM): Must be offered; written rejection required to decline
- Underinsured Motorist (UIM): Must be offered with UM
- Personal Injury Protection (PIP): Not required (Arkansas is a tort state)
- Financial Responsibility: Required for all registered vehicles
License Application Process
Step-by-Step Process
-
Complete Pre-Licensing Education
- Finish 40 hours from AID-approved provider
- 20 hours Property + 20 hours Casualty
- Pass certification exam (70%)
- Receive Certificate of Completion
- Certificate valid for 2 years
-
Submit License Application
- Apply through NIPR online
- Complete Arkansas State Police background check
- Submit required fee to ASP
- Wait 2-5 business days for clearance
-
Receive Authorization to Test (ATT)
- AID processes application and background check
- Receive ATT with exam scheduling instructions
- ATT contains important information for scheduling
-
Schedule and Pass the Exam
- Register with PSI Services online at psiexams.com
- Pay $50 exam fee
- Choose in-person or remote proctored option
- Pass with 70%+ score on both sections
- Receive immediate results
-
Receive License
- License printable from NIPR 24 hours after passing
- Valid for 2 years
- Begin selling P&C insurance in Arkansas
90-Day / 3-Attempt Policy
| Policy Detail | Requirement |
|---|---|
| Time Window | 90 days from application approval |
| Maximum Attempts | 3 attempts within 90 days |
| Wait Between Retakes | Can reschedule immediately |
| After 3 Failures | Must reapply and start over |
WARNING: If you don't pass within 90 days or 3 attempts, you must reapply and pay all fees again. Study thoroughly before your first attempt!
Exam Retake Policy
| Situation | Policy |
|---|---|
| Failed Exam | Schedule again within 90-day window |
| Retake Fee | Pay full $50 exam fee |
| Max Attempts | 3 within 90-day window |
| After 3 Failures | Reapply with new fees |
Total Costs Summary
| Item | Cost |
|---|---|
| Pre-License Education (40 hrs) | $200-400 |
| Exam Fee | $50 |
| Background Check (ASP) | ~$25-40 |
| License Application Fee | ~$100 |
| TOTAL (Estimated) | $375-590 |
License Maintenance
| Requirement | Details |
|---|---|
| License Term | 2 years |
| CE Hours | 24 hours every 2 years |
| Ethics Hours | 3 hours (included in 24) |
| Renewal Fee | Varies |
| Late Renewal | Additional penalty fees apply |
Continuing Education Details
- 24 hours required every 2-year license period
- 3 hours must be in ethics
- Must be completed before license expiration
- From AID-approved CE providers
- Online and classroom options available
Arkansas Insurance Department Contact
| Resource | Details |
|---|---|
| Website | insurance.arkansas.gov |
| Address | 1 Commerce Way, Suite 102<br/>Little Rock, AR 72202 |
| Phone | (501) 371-2600 |
| Consumer Hotline | (800) 852-5494 |
| Licensing Division | (501) 371-2640 |
| PSI Registration | psiexams.com |
What This Guide Covers
This FREE study guide focuses on Arkansas state-specific content for the P&C exam:
Chapter 1: Arkansas Insurance Regulation & Licensing
- Arkansas Insurance Department (AID) structure
- Commissioner authority (appointed by Governor)
- Producer licensing requirements and CE
- Prohibited practices and penalties
Chapter 2: Arkansas Property Insurance Laws
- Homeowners insurance requirements
- Tornado and severe weather coverage
- Commercial property regulations
- Claims handling timeframes
Chapter 3: Arkansas Casualty Insurance Laws
- Auto insurance minimums (25/50/25)
- Uninsured/underinsured motorist requirements
- Workers' compensation regulations
- Liability insurance requirements
Chapter 4: Ethics & Consumer Protection
- Unfair trade practices
- Claims handling requirements
- Arkansas Insurance Guaranty Association
- Producer conduct standards
national Property & Casualty exam prepFree exam prep with practice questions & AI tutor
Study Tips for Success
Key Numbers to Memorize
| Topic | Number |
|---|---|
| Pre-license hours | 40 hours (20 per line) |
| Exam questions | 160 (150 scored + 10 pretest) |
| Exam time limit | 3.5 hours (210 minutes) |
| General Knowledge time | 160 minutes |
| State Law time | 50 minutes |
| Passing score | 70% |
| Exam fee | $50 |
| Application window | 90 days |
| Max attempts | 3 in 90 days |
| Certificate validity | 2 years |
| License term | 2 years |
| CE hours per renewal | 24 |
| Ethics CE required | 3 hours |
| Auto minimum liability | 25/50/25 |
Arkansas-Specific Topics to Master
- 40-Hour Pre-Licensing Requirement
- 90-Day / 3-Attempt Policy
- 25/50/25 Auto Liability Minimums
- 2-Year Certificate Validity
- ASP Background Check Process
- AID Structure and Authority
- Tornado/Severe Weather Coverage
Next Steps
Ready to begin? Here's your action plan:
- Enroll in 40-hour course - AID-approved provider
- Pass certification exam - 70% required
- Apply via NIPR - Complete background check
- Receive ATT - Wait for authorization
- Complete this FREE study guide - Read all 4 chapters
- Study national P&C concepts - See our Property & Casualty exam prep
- Register with PSI - Schedule your exam
- Pass exam - With 70%+ on both sections
- Print license - From NIPR 24 hours later
Remember: Arkansas requires 40 hours of pre-licensing education and gives you 90 days with 3 attempts to pass. Plan your timeline carefully!
Let's get started with Chapter 1: Arkansas Insurance Regulation & Licensing!
How many hours of pre-licensing education does Arkansas require for a P&C license?
How long is the Arkansas pre-licensing certificate valid?
How many questions are on the combined Arkansas P&C exam?
How many attempts do Arkansas candidates have to pass the exam?
What are Arkansas's minimum auto liability insurance limits?
Which testing provider administers the Arkansas P&C insurance exam?