Tennessee Property & Casualty Exam Overview

Welcome to OpenExamPrep's FREE Tennessee Property & Casualty Insurance exam prep guide. This comprehensive resource covers Tennessee-specific regulations, licensing requirements, and state insurance laws you need to know to pass your exam in 2026.

About the Tennessee P&C Exam

The Tennessee Property & Casualty insurance examination is administered by Pearson VUE on behalf of the Tennessee Department of Commerce & Insurance (TDCI). The exam tests your knowledge of:

• Tennessee Insurance Code and regulations
• Property insurance principles (homeowners, fire, commercial property)
• Casualty insurance principles (auto, liability, workers' compensation)
• Tennessee-specific policy requirements
• Severe weather and natural disaster coverage
• Ethics and professional conduct
• Consumer protection laws

Exam Structure

Exam Options and Fees

Money-Saving Tip: Take both Property and Casualty exams back-to-back on the same day and save $30! This discount makes Tennessee one of the most affordable states for P&C licensing.

Question Breakdown

Each exam includes both national and Tennessee-specific questions:

Exam Tip: Approximately 26% of questions are Tennessee-specific. Master state law to maximize your score.

Pre-Licensing Education Requirements

No Education Required!

Tennessee has NO mandatory pre-licensing education requirement:

What This Means for You

• Start studying immediately - No waiting for course completion
• Self-study permitted - Use this FREE guide and practice exams
• Cost savings - No mandatory pre-license course fees
• Flexible timeline - Schedule exams when you're ready

Study Tip: Although Tennessee doesn't require pre-licensing education, successful candidates typically spend 40-60 hours studying. The 70% passing requirement and Tennessee-specific questions require solid preparation.

Tennessee Insurance Market Context

Why Tennessee Is Unique

Tennessee has a growing insurance market with distinctive characteristics:

1. Natural Disaster Risk

   • Tornadoes: Tennessee is in Dixie Alley for severe tornadoes
   • Severe Storms: Hail, wind, and thunderstorm damage common
   • Flooding: Flash floods in many areas, especially Middle Tennessee
   • Winter Storms: Ice storms can cause significant damage

2. Market Characteristics

   • Fast-growing population centers (Nashville, Memphis, Knoxville)
   • Strong healthcare industry requiring commercial coverage
   • Music and entertainment industry with unique insurance needs
   • Agricultural sector with specialized needs
   • No state income tax makes Tennessee attractive for business

3. Regulatory Environment

   • File-and-use rate system for most lines
   • TDCI consumer protection oversight
   • Reasonable licensing requirements
   • Business-friendly regulations

Tennessee Auto Insurance Requirements

All Tennessee drivers must maintain minimum liability coverage:

Exam Tip: Tennessee's auto minimums are 25/50/15. Note the $15,000 property damage limit - lower than many states. This is frequently tested!

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 (Tennessee is a tort state)
• Financial Responsibility: Required for all registered vehicles

License Application Process

Step-by-Step Process

1. Study and Prepare (No pre-license course required)

   • Complete this FREE study guide
   • Review national P&C concepts
   • Focus on Tennessee-specific laws
   • Take practice quizzes

2. Schedule and Pass the Exam

   • Register with Pearson VUE online
   • Consider back-to-back discount ($70 vs $100)
   • Choose testing center or OnVUE online option
   • Pass with 70%+ score
   • Receive immediate results

3. Wait the Required Period

   • 48 hours after passing before applying
   • Use this time to gather application materials
   • Complete fingerprinting if not already done

4. Complete Fingerprinting

   • Required for background check
   • Schedule through approved vendor
   • State and FBI background check
   • Cost varies by provider

5. Apply for License

   • Submit application through NIPR or directly to TDCI
   • Pay license application fee
   • Provide all required documentation
   • Include exam pass documentation

6. Receive License

   • TDCI review takes 2-4 weeks
   • License issued upon approval
   • Valid for 2 years
   • Begin selling P&C insurance in Tennessee

Exam Retake Policy

Tennessee has a unique graduated retake policy:

Important: The retake waiting period increases after your first failed attempt. Plan accordingly and study thoroughly before your first attempt to avoid extended delays.

Total Costs Summary

Budget Tip: Tennessee offers one of the most affordable paths to P&C licensing when you take advantage of the back-to-back discount and the lack of pre-licensing requirements.

License Maintenance

Continuing Education Details

• 24 hours required every 2-year license period
• 3 hours must be in ethics/law
• Must be completed before license expiration
• From TDCI-approved CE providers
• Online and classroom options available

Tennessee Department of Commerce & Insurance Contact

What This Guide Covers

This FREE study guide focuses on Tennessee state-specific content for the P&C exam:

Chapter 1: Tennessee Insurance Regulation & Licensing

• Tennessee Department of Commerce & Insurance (TDCI) structure
• Commissioner authority (appointed by Governor)
• Producer licensing requirements and CE
• Prohibited practices and penalties

Chapter 2: Tennessee Property Insurance Laws

• Homeowners insurance requirements
• Tornado and severe weather coverage
• Flood insurance considerations
• Claims handling timeframes

Chapter 3: Tennessee Casualty Insurance Laws

• Auto insurance minimums (25/50/15)
• Uninsured/underinsured motorist requirements
• Workers' compensation regulations
• Liability insurance requirements

Chapter 4: Ethics & Consumer Protection

• Unfair trade practices
• Claims handling requirements
• Tennessee 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

Tennessee-Specific Topics to Master

1. TDCI Structure and Authority
2. 25/50/15 Auto Liability Minimums
3. Tornado/Severe Weather Coverage
4. 48-Hour Post-Exam Wait Period
5. 10-Day First Retake / 30-Day Subsequent Retakes
6. Back-to-Back Exam Discount
7. File-and-Use Rate System

Next Steps

Ready to begin? Here's your action plan:

1. Complete this FREE study guide - Read all 4 chapters
2. Study national P&C concepts - See our Property & Casualty exam prep
3. Take chapter quizzes - Test your knowledge
4. Take practice exams - Aim for 80%+ before real exam
5. Register with Pearson VUE - Use back-to-back discount
6. Pass both exams - With 70%+ score on each
7. Wait 48 hours - Required processing period
8. Complete fingerprinting - For background check
9. Apply for license - Through NIPR or TDCI

Remember: Take advantage of Tennessee's back-to-back discount and save $30! Schedule both exams for the same day and maintain your study momentum.

Let's get started with Chapter 1: Tennessee Insurance Regulation & Licensing!