Arkansas Life and Health Insurance Agent Exam

Need of a License: An individual who is acting as an agent or producer needs a license to sell life and health insurance in Arkansas.

Who Grants a License: Licenses are granted by the Arkansas Insurance Department.

Qualifications to receive a License: Applicants must fulfill prelicensing education requirements, apply for a license, pass the appropriate examination, and be appointed by an insurance company. This application checklist will help you ensure you’ve completed necessary requirements. Applicants must possess a certificate of completion of prelicensing education before they may take the licensing exam. Basic eligibility requirements include:
  • Submission of background question documentation
  • Must be 18 years old
  • Must submit a business email address
  • Must not have an inactive resident or non-resident license in Arkansas
 
Applying for the Producer Exam:  Candidates should thoroughly review the State of Arkansas Insurance Licensing Candidate Handbook prior to applying for the exam. When ready, exam reservations can be made online at www.pearsonvue.com, by faxing the Reservation Form (found in the back of the handbook) to 888-204-6291, or by calling Pearson Vue at 888-204-6259. Candidates must make a reservation by phone at least one (1) business day before the desired examination date or by fax at least four (4) business days before the desired examination date.
 
Test Information: Practice tests are available online through Pearson Vue to help you prepare. Each major lines examination is given in a multiple-choice format and consists of two parts. The general portion deals with basic insurance product knowledge and contains 60 scoreable questions, with 90 minutes for completion. The state portion deals with state-specific insurance laws, rules, regulations, and practices and contains 50 scoreable questions plus 10 pretest questions, with 60 minutes for completion. The Life and Health Exams can be taken together.
 
Each examination is based on a detailed content outline of topics, subtopics, and references to applicable state laws, statutes, and regulations. Content outlines are updated periodically to reflect changes in practice, state laws, and regulations. General outlines follow, with specific details contained in the State of Arkansas Insurance Licensing Candidate Handbook.
 
LIFE: GENERAL KNOWLEDGE CONTENT OUTLINE

Product Knowledge, Terms and Concepts (50 scoreable questions plus 10 pretest questions)
 
I. TYPES OF POLICIES (9)
                A. Traditional whole life products
                B. Interest-sensitive life products
                C. Term life
                D. Annuities
                E. Combination plans and variations
 
II. POLICY RIDERS, PROVISIONS, OPTIONS, AND EXCLUSIONS (21)
                A. Policy riders
                B. Policy provisions and options
                C. Policy exclusions
 
III. COMPLETING THE APPLICATION, UNDERWRITING, AND DELIVERING THE POLICY (12)
                A. Completing the application
                B. Underwriting
                C. Delivering the policy
                D. Do Not Call List
 
IV. TAXES, RETIREMENT, AND OTHER INSURANCE CONCEPTS (8)
                A. Third-party ownership
                B. Group life insurance
                C. Retirement plans
                D. Business insurance
                E. Social Security benefits and taxes
                F. Tax treatment of insurance premiums, proceeds, dividends
                G. Accelerated Death Benefits—Living Benefits
 
LIFE: ARKANSAS SPECIFIC CONTENT OUTLINE - State Statutes, Rules and Regulations (30 scoreable questions plus 10 pretest questions)
 
I. ARKANSAS STATUTES, RULES, AND REGULATIONS COMMON TO LIFE AND HEALTH INSURANCE
                A. The Insurance Commissioner
                B. Definitions
                C. Licensing
                D. Producer responsibilities
                E. Life and Health Insurance Guaranty Association Act
                F. Marketing practices
 
II. ARKANSAS STATUTES, RULES, AND REGULATIONS PERTINENT TO LIFE INSURANCE ONLY
                A. LIFE INSURANCE POLICIES
                B. Group Life
                C. Industrial policies
                D. Credit Life insurance
                E. Replacement
 
HEALTH: GENERAL KNOWLEDGE CONTENT OUTLINE - Product Knowledge, Terms and Concepts (50 scoreable questions plus 10 pretest questions)
 
I. TYPES OF POLICIES (14)
                A. Disability income
                B. Accidental death and dismemberment
                C. Medical expense insurance
                D. Medicare supplement policies
                E. Group insurance
                F. Long Term Care
                G. Cancer (for specified diseases) plans
                H. Critical illness plans
                I. Worksite (employer-sponsored) Plans
 
II. POLICY PROVISIONS, CLAUSES, AND RIDERS (20)
                A. Mandatory provisions
                B. Optional provisions
                C. Other provisions and clauses
                D. Riders
                E. Rights of renewability
 
III. SOCIAL INSURANCE (3)
                A. Medicare
                B. Medicaid
                C. Social Security benefits
 
IV. OTHER INSURANCE CONCEPTS (4)
                A. Total, partial, and residual disability
                B. Owner’s rights
                C. Dependent children benefits
                D. Primary and contingent beneficiaries
                E. Modes of premium payments (annual, semiannual, etc.)
                F. Nonduplication and coordination of benefits (e.g., primary vs. excess)
                G. Occupational vs. nonoccupational
                H. Tax treatment of premiums and proceeds of insurance contracts 
                 I. Managed care
                J. Workers Compensation
                K. Subrogation
 
V. FIELD UNDERWRITING PROCEDURES (9)
                A. Completing application and obtaining necessary signatures
                B. Explaining sources of insurability information
                C. Initial premium payment and receipt and consequences of the receipt 
                D. Submitting application (and initial premium if collected) to company for underwriting
                E. Assuring delivery of policy and related documents to client
                F. Explaining policy and its provisions, riders, exclusions, and ratings to clients
                G. Replacement
                H. Contract law
 
HEALTH: ARKANSAS SPECIFIC CONTENT OUTLINE - State Statutes, Rules and Regulations (30 scoreable questions plus 10 pretest questions)
 
I. ARKANSAS STATUTES, RULES, AND REGULATIONS COMMON TO LIFE AND HEALTH INSURANCE
                 A. The Insurance Commissioner
                 B. Definitions
                 C. Licensing
                 D. Producer responsibilities
                 E. Life and Health Insurance Guaranty Association Act
                 F. Marketing practices
 
II. ARKANSAS LAWS, RULES, AND REGULATIONS PERTINENT TO HEALTH INSURANCE ONLY
                A. Policy Provisions
                B. Medicare Supplement
                C. Health advertising
                D. Long Term Insurance Care Act
                E. Group/Blanket health
                F. Small Group coverage
                G. Health Maintenance Organizations
                H. Comprehensive Health Insurance Pool Act
                I. COBRA Health- State Continuation
 
The passing score is 70%. Candidates will receive a score report that indicates “pass” or “fail”.  Candidates who fail the exam will receive a score report that includes a numeric score and diagnostic information relating to the general portion of the exam, as well as information about retaking the test.

How to Apply for the License:  Candidates may contact the Arkansas Insurance Department with questions about obtaining or maintaining a license:

Arkansas Insurance Department
1200 West Third Street
Little Rock, AR 72201-1904
(501) 371-2750
(501) 371-2618 (fax)
www.insurance.arkansas.gov
 
Candidates may also obtain license applications online at www.pearsonvue.com, or by calling 888-204-6259. Instructions for completing the application are available in the State of Arkansas Insurance Licensing Candidate Handbook. Applicants must apply for a license before actually taking the examination.

License Renewal Requirements: Individual Producer licenses must be renewed every year and there is a continuing education requirement.

Applicable Regulations: Life and health insurance agents in Arkansas are regulated by the Arkansas Insurance Department.
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For more information on life and health insurance agent licensing and exam preparation, go to Tests.com’s Life and Health Insurance Exam Guide.

And take Tests.com’s free Life and Health Insurance Agent Practice Test.

For life and health insurance agent exam preparation products, such as study guides, flashcards and courses, go to Tests.com’s Life and Health Insurance Sales Exam listings.

 

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