1.3 License Maintenance and Continuing Education

Biennial Renewal

Tennessee licenses run on a two-year (biennial) cycle tied to your birth month and the odd/even nature of your birth year.

Worked example: a producer born in March 1985 (odd year) renews by March 31 in odd-numbered years; a producer born in August 1990 (even year) renews by August 31 in even-numbered years. Renewing late puts the license in expired status; reinstatement may require fees and, if lapsed too long, re-examination.

Continuing Education — 24 Hours

To renew, a resident producer must complete 24 hours of approved continuing education each biennial cycle.

"Non-License-Type-Specific"

Tennessee CE is non-license-type-specific: the 24 hours may be earned in any TDCI-approved subject, not just your line of authority. A Life & Health producer could satisfy electives with property/casualty or general-practice courses, provided each is TDCI-approved and at least 3 hours are an approved ethics course.

Exam Tip: "Non-license-type-specific" is a tested phrase. It means subject flexibility — it does not waive the 3-hour ethics requirement, which is always mandatory.

CE Rules, Carryover, and Exemptions

Course Mechanics

• Courses must be taken from TDCI-approved providers (online or classroom)
• Credit must be earned before the license expiration date
• A given course generally cannot be repeated for credit within the same cycle
• Providers report completion electronically; keep certificates for audit

Carryover

Excess CE earned in one cycle can be carried forward (subject to TDCI limits, commonly up to 12 hours). Excess ethics hours beyond the 3-hour minimum count as general carryover credit, not as future ethics credit.

The January 1, 1994 Exemption

This is Tennessee's signature CE rule:

Important: The exemption requires continuous licensure since January 1, 1994 — any lapse breaks it permanently. Limited-lines licensees are likewise generally exempt from standard CE.

Product-Specific Training

Beyond general CE, certain products carry their own training mandates:

Trap: Producers exempt under the 1994 rule still must complete the initial 8-hour LTC course to sell LTC, even though they skip the 4-hour ongoing refresher. The exemption covers general/ongoing CE, not initial product certification.

Combination-License CE

A producer who also holds certain adjuster authority faces a higher total. For example, a multi-peril crop adjuster combined with a Life/Health or P&C producer license carries a higher biennial CE total (commonly 48 hours, including 4 hours of ethics). For a standard resident Life & Health producer, the baseline remains 24 hours / 3 ethics.

Mandatory Reporting to TDCI

Producers must notify TDCI of material changes, generally within 30 days:

• Change of business or residence address, or legal name
• Administrative actions taken by any other state or jurisdiction
• Criminal charges or convictions (felonies and certain misdemeanors)
• Updates are filed through the NIPR portal

Failure to report timely is itself a violation that can support discipline.

Discipline Under Chapter 56-6

TDCI may discipline a licensee after notice and an opportunity for hearing. Grounds include:

• Violating any insurance law or TDCI regulation
• Fraud, misrepresentation, twisting, or rebating
• Misappropriation or commingling of premium/client funds
• Failing to maintain CE or to report required information
• A disqualifying criminal conviction

Penalty Ladder

License Status Types

Scenario: A producer deposits a client's premium check into a personal account "temporarily." Even if later repaid, this is commingling/misappropriation under 56-6 and can support suspension or revocation plus a per-violation fine.

Prohibited Practices You Must Recognize

The state-law portion leans heavily on named unfair trade practices drawn from Chapter 56-8 and Chapter 56-6. Match the definition to the term:

Trap: Twisting and churning are easily confused. Twisting involves replacing with a different insurer through misrepresentation; churning reuses the same insurer's values. Both harm the consumer and both are prohibited.

Renewal, Reinstatement, and Lapse Timeline

Understanding the lifecycle of a license prevents costly gaps:

1. Active — CE complete, renewed on time by the birth-month deadline
2. Grace / late renewal — short window where renewal plus a late fee restores the license
3. Expired — term ended; producing during this period is unlicensed activity and is itself a violation
4. Reinstatement — possible for a limited period with fees; a long lapse forces re-examination and a fresh application

Important: A license that has been revoked is not merely expired — the producer must wait the period set by TDCI before reapplying, and approval is discretionary. Always renew early; CE certificates can take days to post to the Producer Database.