Illinois
Insurance producer license is required to correct answerssolicit,
negotiate,
advice for asell,
fee,give
and receive
commissions
An agency contract correct answersis an agreement between the
producer and
insurance the
company which authorizes the producer to act as the insurance
representative and
company's
sell
Brokering correct answersis selling policies issued by insurance companies
which
producer thedoes not regularly represent, does not have an agency contract
which the producer
with and/or for only
infrequently sells
Penalty for not being properly licensed correct answersClass A
Misdemeanor
and/or up to 1($1000
year in jail)
Class 4 Felony ($5000 and/or up to 5 years
1&1
in jail)
5&
Injunction filed by the State Attorney General; restraining the ind from
5
further selling of
insuranc
e
Producer License Qualifications correct answersat least age 18,
must pass
examinatio
n,
Controlled Business correct answersinsurance sold to oneself, spouse, or an
employer;
must be only 50% of
sales
Pre-license education requirement correct answers20 hours of pre-license
per line of insurance with 7.5 in classroom and 12.5
education
self-study
Producer continuing education correct answers24 hours of continuing
education every term prior to license renewal for as long as the ind
two year license
holds an insurance
resident Illinois producer license; ethics must be
classroom taught
Countersignature/disclosure correct answersstate insurance laws
require thatTemporary
Producers, all Producers, and Business Entities involved in an
insurance
be disclosed sale in the
policy
Insurance Producer license brokers bond correct answersevery Insurance
Producer or Business Entity who brokers insurance must maintain a surety
bond that is in favor of the people of the State of Illinois; the bond must be
continuous in form; the face amount
, of no less than $2500 or if greater, 5% of the premiums brokered in the
previous
does not year;
have to exceed
$50,000
Business Entity License requirements correct answerscomplete a Uniform
Business
Entity Application and pay $150 two
year fee
Change of Address correct answersInsurance Producer must report to the
Director a change of resident address within 30 days; a business entity
Insurance
must report
change a
of business address within 30
days
Limited Lines Producer License correct answersan insurance company must
apply for
limited lines
a producer license for an
individual
Limited Lines Producer License Qualifications correct answersat least 18
years
and noofexamination,
age pre-license education, continuing education or bond
appl
requirements
y
Limited Lines Producer License Requirements correct answersan appointing
insurance
company must make application and must pay $50 per
year fee
Termination of License correct answersThe state Insurance Director
cannot use any
information provided by the insurance company about an insurance
producer
lines or limited
producer against the insurance
company
Termination of License day requirement correct answersProducer of
Limited Lines
Producer has 30 days to file comments with the insurance
director
Revocation of LIcense correct answerspermanently; the person or org must
be reapply
to allowedevery 3
years
Temporary Insurance Producer License correct answers90 day period;
only 1 temp
license per
lifetime
Temporary Insurance Producer License Requirements correct
answersinsurance
company must apply and pay 1 time $50 license fee and applicant must be
enrolled in
qualified training
a
program
An insurance company is considered by the state to have a qualified
training correct
when... program answerseach 6 month period at least 50% of its Temporary
Producers obtain Insurance Producers licenses prior to the expiration of their
Insurance
temporary
Insurance Producer
license
Temporary Insurance Producer License in case of death, disability, or
correct
militaryanswersit
service is issued for a period of 180 days and may be
renewed for
additional 180one
day
term