1.2 Kentucky Producer Licensing Requirements

Kentucky regulates insurance producer licensing under KRS 304.9 (Agents and Consultants subtitle). The licensing requirements ensure that producers have adequate knowledge and ethical standards to serve Kentucky consumers.

Pre-Licensing Education Requirements

Education Hours Required

Kentucky requires 40 hours of pre-licensing education for a combined Property & Casualty license:

Approved Pre-Licensing Courses

• Pre-licensing courses must be approved by the Kentucky Department of Insurance
• Courses available through approved education providers in classroom or online formats
• Course providers include Kaplan Financial Education, XCEL Solutions, A.D. Banker, and others
• Courses must cover national P&C concepts and Kentucky-specific laws and regulations

Exemptions from Pre-Licensing Education

Applicants holding the following professional designations are exempt from pre-licensing education for property, personal lines, and casualty lines:

• CPCU (Chartered Property Casualty Underwriter)
• CIC (Certified Insurance Counselor)
• AAI (Accredited Advisor in Insurance)
• ARM (Associate in Risk Management)

Exam Tip: Remember the four designations that exempt from pre-licensing education—CPCU, CIC, AAI, and ARM. This is a frequent exam question.

Basic Eligibility Requirements

Age and Citizenship

Minimum Age:

• Applicants must be at least 18 years old

Citizenship/Residency:

• U.S. citizens may apply for resident or non-resident licenses
• Non-citizens must provide work authorization or permanent resident card (green card)
• Non-resident applicants must hold an active license in their home state

Criminal Background Check

All applicants must:

• Complete a criminal background check through the Kentucky Administrative Office of the Courts
• Background check report must be filed with the Kentucky Department of Insurance
• Felony convictions may disqualify applicants (especially fraud or dishonesty crimes)
• Applicants with criminal history must disclose on application

Exam Tip: Kentucky requires a criminal background check from the Administrative Office of the Courts, not the FBI or State Police. This is specific to Kentucky's process.

Licensing Exam Requirements

Exam Structure

Exam Content Areas

General and Coverage Units (46 Property / 45 Casualty questions):

• General insurance principles and policy provisions
• Property insurance (homeowners, dwelling, commercial)
• Casualty insurance (auto, general liability, workers' comp)
• Commercial lines and specialty insurance

Kentucky Law (4 Property / 5 Casualty questions):

• KRS Chapter 304 provisions
• Kentucky Department of Insurance regulations
• Kentucky auto insurance requirements (25/50/25, PIP)
• Producer responsibilities and ethics
• Consumer protection laws

Exam Scheduling and Administration

Scheduling:

• Schedule by appointment through a Kentucky DOI eServices account; there is no outside testing vendor and walk-ins are not accepted
• Exams are given at the DOI office in Frankfort and at regional community college sites throughout Kentucky
• Testing is in person only; no remote online proctoring is offered

Exam Day Requirements:

• Valid government-issued photo ID (driver's license or passport)
• Confirmation number from testing provider
• Arrive 15-30 minutes before scheduled exam time

Results:

• Results provided immediately upon completing exam
• Pass/fail notification with score report
• Score report shows performance by content area

Retaking the Exam

If you don't pass:

• An exam cannot be retaken the same day; reschedule through eServices for the next business day or later
• Full $50 exam fee required for each retake attempt
• No limit on retake attempts within the 120-day application window
• Review score report to identify weak areas

License Application Process

Step-by-Step Application Process

Step 1: Complete Pre-Licensing Education

• Complete all 40 hours through Kentucky-approved provider
• Obtain certificate of completion
• Education must be completed before taking exam

Step 2: Pass Licensing Exam

• Schedule and pass the separate 50-question Property and Casualty exams
• Achieve at least 70% on each (35 correct answers)
• Receive passing score report

Step 3: Complete Criminal Background Check

• File criminal background report from Administrative Office of Courts
• Report must be current and complete
• Disclose any criminal history on application

Step 4: Submit License Application

• Apply through National Insurance Producer Registry (NIPR) at www.nipr.com
• Complete application accurately and completely
• Pay $100 resident producer license fee
• Provide proof of pre-licensing education completion
• Provide passing exam score

Step 5: Receive License

• Kentucky DOI reviews application
• Processing time approximately 5 days if no issues
• License issued electronically through NIPR
• License information available at insurance.ky.gov

Exam Tip: Kentucky uses NIPR (National Insurance Producer Registry) for license applications. The application fee is $100 for a resident producer license. Applications typically process in about 5 days if there are no complications.

Lines of Authority

Kentucky issues separate lines of authority for different insurance types:

Available Lines of Authority

Adding Lines of Authority

To add additional lines of authority:

• Complete required pre-licensing education for the line
• Pass the licensing exam for that line
• Submit application through NIPR
• Pay applicable fees

License Renewal and Continuing Education

License Renewal Requirements

Kentucky producer licenses must be renewed biennially (every two years):

Renewal Period:

• Licenses renew on a two-year cycle
• Renewal deadline based on birth month of licensee
• Renewal applications submitted through NIPR
• Renewal fee: $100 for resident producers

Renewal Requirements:

• Complete required continuing education
• Maintain active status
• Pay renewal fee
• Update contact information

Exam Tip: Kentucky licenses renew biennially (every 2 years), not annually. The renewal is based on the licensee's birth month.

Continuing Education (CE) Requirements

Kentucky requires 24 hours of approved continuing education every two years:

CE Requirements for P&C Producers:

• 3 hours Ethics: Must be taken in each two-year period
• 6 hours Line-Specific: Must relate to Property and/or Casualty insurance
• 15 hours General: Any approved insurance CE topics

CE Course Approval:

• CE courses must be approved by Kentucky Department of Insurance
• Courses available in classroom, online, and self-study formats
• Providers include Kaplan, WebCE, XCEL Solutions, and other approved vendors

CE Compliance:

• Producer responsible for tracking own CE credits
• CE credits reported to Kentucky DOI by course providers
• CE requirements must be completed before renewal deadline
• Failure to complete CE results in license lapse

CE Carryover:

• Excess CE hours beyond 24 do NOT carry over to next renewal period
• Ethics hours must be completed in each two-year period

Exam Tip: Kentucky requires 24 hours of CE every 2 years, including 3 hours of ethics and 6 hours line-specific. The ethics requirement must be met in each renewal period and does not carry over.

License Reinstatement

If a license lapses due to failure to renew:

Within 12 Months of Lapse:

• May reinstate without retaking exam
• Must complete all CE requirements for lapsed period
• Pay renewal fee plus late fee
• Submit reinstatement application through NIPR

More Than 12 Months:

• Must retake pre-licensing education
• Must retake and pass licensing exam
• Complete new license application
• Pay all applicable fees

Exam Tip: Kentucky allows license reinstatement within 12 months without retaking the exam, but all CE requirements must be completed. After 12 months, the licensee must start over with pre-licensing education and exam.