The State of Nj Requires Completion of a Total of How Many Continuing Education Credits

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Frequently Asked Questions

Common questions regarding... Licensing > Prelicensing Education > Continuing Education > Education Providers

Licensing

Q: How do I obtain a letter of certification? Many states no longer require a written letter of certification in order to process your nonresident application or license renewal. They participate in the Producer Database (PDB) maintained by National Insurance Producer Registry (NIPR), a non-profit affiliate of the National Association of Insurance Commissioners (NAIC). The PDB is an electronic database consisting of information relating to insurance agents and brokers (producers). The PDB links participating state regulatory licensing systems into one common repository of producer information. Participating states can verify your license right over the Internet without the need for a letter of certification. To save time, check with the state to see if they still require the document.

Q: If I change my home or business address, do I need to tell the Department? Yes. Insurance producer licensing laws require you to notify us of any change within 30 days of the time that it occurs. Failure to do so could result in administrative penalties. If you are an individual, now you can change your address in your resident state and all participating states in which you are licensed with just one online form. This service is provided to you free of charge. To change your address online, please visit the NIPR's Producer Address Change Request web site. Link: https://pdb.nipr.com/ACR/SignIn The online address process is not available if you are changing your resident state or if the change is for an agency, not an individual. In those cases, please use our address change request form or notify us by submitting a letter indicating your name, license reference number, current address, new address and effective date of the change. Please sign and date the notice. If the change is for a business entity, the letter should be signed by an owner or officer/director. Change your address online through NIPR OR Send form (PDF) to: NJ Department of Banking and Insurance Licensing Services Bureau PO Box 327 Trenton, NJ 08625 FAX: 609-984-5263

Q: Does New Jersey license agencies as well as the individual producers? Yes. If you are doing business as an agency and not solely as an individual, you must license the business entity. If it is a resident applicant, all officers, partners, and owners of 10% or more of the business must have their fingerprints processed through Live Scan. Every business entity, resident or nonresident, must list on the application one or more designated responsible producers with active NJ licenses cumulatively covering all lines of authority requested on the application.

Q: I am a nonresident and wish to apply for a producer license in your state. How can I do this? Under current insurance laws, if your license is in good standing in your home state, you may apply for a license in New Jersey simply by completing the application for any or all of the lines of authority you have in your home state and paying the required application fee. The fastest way for you to obtain a nonresident license is to apply online through the National Insurance Producer Registry (NIPR), a non-profit affiliate of the National Association of Insurance Commissioners (NAIC). To learn more about the online electronic nonresident licensing (ENRL) application process, visit the NIPR web site.

Q: How do I add a line of authority to my existing license? If you are a non-resident, you must be licensed in good standing in your home state in the line of authority for which you wish to add. The fastest way for you to obtain this addition to your nonresident license is to apply online through the National Insurance Producer Registry (NIPR), a non-profit affiliate of the National Association of Insurance Commissioners (NAIC). As an alternative, you may apply by returning a copy of your New Jersey license or a letter that includes your New Jersey license reference number with a dated and signed request to add the line of authority and a check made payable to the State of New Jersey General Treasury for $40. If your home state participates in the Producer Database (PDB) maintained by National Insurance Producer Registry (NIPR) a non-profit affiliate of the National Association of Insurance Commissioners (NAIC), you do not need to submit a letter of certification. If we cannot verify your licensing status in your home state via PDB, we do require a letter of certification from your home state. Apply online through NIPR OR Send dated and signed request (include license reference number) to: NJ Department of Banking and Insurance Licensing Services Bureau PO Box 327 Trenton, NJ 08625

Q: What is involved with obtaining a Limited Lines Insurance Producers license? Individuals and business entities must apply for a license and comply with all producers law and regulations for standards of conduct, record keeping, fees and management of funds. Applications and criminal background are reviewed.

Q: What types of limited lines licenses are there? The types are: Bail bonds, credit insurance, legal insurance, car rental insurance, travel insurance, group mortgage cancellation, self-storage personal property, and special nonresident limited lines (for limited lines offered by other states, but not New Jersey).

Q: Do I need to license my legally formed business entity, corporation, LLC, or is my individual license sufficient? According to New Jersey law, any legally formed business entity transacting insurance related business must maintain a separate producer license. Any individual producer licensee transacting insurance related business through a non-licensed business entity is in violation of the New Jersey Insurance Producer Licensing Act of 2001 and subject to an administrative penalty. In addition, each business entity must have at least one New Jersey licensed individual producer. N.J.A.C. 11:17-2.8 states that the New Jersey Department of Banking and Insurance (NJDOBI) must approve all business and trade names of applicants for a resident New Jersey insurance producer license. It is strongly recommended that name approval by this Department is obtained prior to submitting an application for a resident New Jersey insurance producer license. Additionally, please be advised that recording of the name by the County Clerk or government entities does not guarantee acceptance by this Department. For this, as well as other reasons, all name requests should be approved by the Department of Banking and Insurance before the recording of the name by a County Clerk or other government entity. Names that do not comply with N.J.A.C. 11:17-2.8 will not be approved. After obtaining approval of the business name by NJDOBI follow the steps below to obtain licensing. The approved organization name can be filed with the New Jersey Department of Treasury, Commercial Recording at 609-292-9292. (If the word "Insurance" is contained in the name the Department of Treasury will not permit you to file online); Obtain the Certificate of Formation of LLC or Articles of Incorporation currently stamped filed by the Secretary of State; You may apply for the business license online via www.NIPR.com

Q: Are there any changes that affect surplus lines producer licenses? Nonresidents may now obtain surplus lines authority; a bond is no longer a condition for licensure; and a New Jersey office is no longer required. These changes assure compliance with the reciprocity provisions of the federal Gramm-Leach-Bliley Act.

Q: What are the fees charged? Major line license $150 for a 2 year license Limited lines license $75 for a 2 year license Late renewal fee, major line $100 Late renewal fee, limited lines $50 Application fee (new application) $20 Additional processing fee for paper (rather than online) applications and renewals $20

Prelicensing Education

Q: What are the mandatory prelicensing education classroom hours for the various insurance producer lines of authority? (These hours include the instruction topics covered during the previously mandated 15 hours in insurance regulation. ** ) Life 20 hours Health 20 hours Combined Life and Health 40 hours Property 20 hours Casualty 20 hours Combined Property and Casualty 40 hours Personal Lines 20 hours Title 20 hours Surplus Lines None Limited Lines - Bail Bonds 10 hours Approved insurance education providers may offer a supplemental prelicensing education course to assist those license candidates who feel the need for more detailed instruction. This course may be of any duration but is not mandatory. All required instruction will be included in the mandatory course lasting 20 hours for the major lines identified above or 10 hours for Limited Lines - Bail Bonds.

Q: Where can I get information on insurance education providers? Information on approved insurance education provider (MS Excel) may be obtained from our web site. These providers may offer prelicensing education courses, continuing education courses, or both. The courses they offer may be in a traditional classroom setting, a self study format, or both. Our list contains contact information for each provider and the type of courses they offer. We hope that you will search our list to find an insurance education provider that meets your professional needs and personal instruction preference.

Q: Do I have to complete prelicensing courses? All individuals applying for a resident insurance producer license requesting authority to transact Life, Health, Property, Casualty, Personal Lines, Title and Limited Line Bail Bonds who do not qualify for a waiver of prelicensing education must complete a prelicensing education course offered by an approved insurance education provider. We have enacted regulatory reforms that will now permit insurance education providers to offer prelicensing education courses in a self study format. Please see our listing of approved insurance education providers (MS Excel) for those that offer courses in a traditional classroom setting and those that offer the required courses through a self study format. Review the waiver form (PDF) to determine if you qualify. (We also address waivers below.)

Q: How much is the examination fee? The fee is $47 per examination.

License candidates now have the option to take producer license and public adjuster license examinations remotely or in person at one of the PSI Services testing centers. In-person and remote exams may be scheduled online at: https://www.psiexams.com/njin Q: When and where are the examinations given? Examinations are administered remotely at your home or private office, or at a test center operated by by our contracted vendor, PSI Services LLC, throughout the week and occasionally on Saturdays. After completing the required prelicensing education requirements, contact PSI Services to schedule an appointment.

Q: Can the examinations be waived? All individuals applying for a resident insurance producer license requesting authority to transact Life, Health, Property, Casualty, Personal Lines, Surplus Lines, Title and Limited Line Bail Bonds must successfully pass our licensing examination for the specific line of authority unless the individual previously held a resident license for the same lines of authority in another state and that license is either current or became inactive within the previous 90 days.

Q: How do I obtain study material to aid in passing the examination if I have received a waiver of the education requirements? The responsibility of preparing for the examination rests with the applicant and should be considered when applying for the waiver (PDF). Applicants may contact the prelicensing education providers (MS Excel) located in our listing to obtain the names of publishers and study materials.

Continuing Education

Q: How many continuing education credits will I need prior to the renewal of my license? Individuals renewing their license after a 2 year period should complete 24 credits with 3 of these 24 approved for ethics instruction. In addition individuals who are authorized to sell flood insurance have a one time requirement to take 3 credits in approved course(s) on flood insurance and the National Flood Insurance Program. Those 3 credits are a part of the 24 credit total.

Q: The continuing education course I completed did not meet my expectations. What can I do? Please write your concerns to: Office of Consumer Protection Services – Insurance Education New Jersey Department of Banking and Insurance 20 West State Street, 9th Floor PO Box 329 Trenton, NJ 08625-0329 Or via e-mail

Q: Currently, I have more than the required credits to renew my license. Can I carry them over to the next licensing cycle? No, allowing continuing education credits to carry over from one renewal cycle to the next would defeat the purpose of requiring continuing professional education.

Q: How can I check my credits? New Jersey has contracted with PSI Services LLC to act as our prelicensing examination and continuing education reporting vendor. Producers may access their continuing education records from PSI Services' web site. In addition, you may contact PSI Services at 1-877-526-6833 to receive information on your credits.

Q: I maintain a non-resident New Jersey producer license. Do I have to meet continuing education requirements? No, non-resident licensees are not required to meet our continuing education requirements.

Q: Do continuing education requirements apply to attorneys? What if the attorney has authority only to transact Title lines of coverage? The answer to both questions is "Yes." The exemption from continuing education requirements formerly enjoyed by attorneys who are authorized only to transact Title insurance was eliminated with the adoption of the New Jersey Insurance Producer Licensing Act of 2001.

Q: Do I have any alternative to taking a traditional prelicensing or continuing education class? Yes, enactment of the New Jersey Insurance Producer Licensing Act of 2001 expanded your options to include interactive online courses and self study courses for continuing education. Regulatory changes effective January 1, 2007, permit required prelicensing training to be completed using interactive online courses and self study courses. All prelicensing education and continuing education courses must be approved by this office and offered by an approved insurance education provider (MS Excel) .

Q: I have an insurance designation that has its own continuing education requirement. Does the state have any other continuing education requirements for me? No,  If your certification is granted by your trade or professional association, and you maintain that certification, the Department considers that the equivalent of 12 continuing education credits per year. To have credits banked for maintaining the designation with a continuing education requirement, the producer must forward a completed Alternative Continuing Education Credit Application - Designation form (PDF) to the trade or professional association for completion. The completed form must be submitted to the Department for consideration.  Remember, the designation must have its own continuing education requirement to qualify and verification must be forwarded from the granting organization.

Q: Credits were not banked for a course I completed several months ago. N.J.A.C. 11:17-3.6 mandates that schools file each producer's credits within 15 days of the completion of the course. The school may be fined or lose its approval and the school director can have his or her insurance producer's license suspended or revoked for failing to bank credits within this time frame. Producers who are entitled to have credits banked must have them banked in a timely manner. Write to us at the above address if a school does not bank your credits on time.

Q: I am disabled and cannot sit in classes. Contact the Department in writing or call 609-940-7480 to discuss your options. Please be advised that producers may now satisfy prelicensing education requirements and earn continuing education credits through nontraditional methods involving self study. When needed, special accommodations will be made for you.

Q: When do I have to send in a late fee for renewal? An applicant may apply for late renewal of a license within one year after the date the license expired, provided the following is submitted to the Department: 1.   Proof of completion of 48 or when appropriate 24 continuing education credits; and 2.   The applicant's certification stating whether the applicant has transacted any business as an insurance producer during the unlicensed period and, if so, the number of policies written. The late renewal fee is $100 for major lines and $50 for limited lines only. If you did not submit a renewal application within 30 days after the expiration date of your license you must submit this information and pay the late fee. Late renewals may be processed via our online services.

Education Providers

	OPRA is a state law that was enacted to give the public greater access to government records maintained by public agencies in New Jersey.			You will need to download the latest version of Adobe Acrobat Reader in order to correctly view and print PDF (Portable Document Format) files from this web site.

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Source: https://www.nj.gov/dobi/insliced/prodfaqs.htm

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