Delaware 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 Delaware.

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

Qualifications to receive a License: To qualify for a resident Delaware Producer license the applicant must be:
 
• A Delaware Resident.
• At least 18 years of age.
 
It is highly recommended that the Delaware Insurance Licensing Candidate Handbook be reviewed, and special attention be given to the content outlines (available at www.pearsonvue.com), before taking an examination. Individuals who wish to obtain an insurance license in the State of Delaware must:
 
1. Make a reservation and pay the examination fee.
2. Pass the examination.
3. Apply for a license.
 
The Delaware Department of Insurance does not require a specific program of prelicensing education or otherwise prescreen examination candidates.
 
Applying for the Agent Exam:  The State of Delaware utilizes Pearson VUE to develop and administer its insurance licensing examination program. Pearson VUE is a leading provider of assessment services to regulatory agencies and national associations. Online reservations are the most efficient way for candidates to schedule their examination. Candidates must go to www.pearsonvue.com/de/insurance to make an online reservation for an examination. Candidates must make an online reservation at least twenty-four (24) hours before the desired examination date.
 
Candidates may also call Pearson VUE at (800) 274-0455 to make an examination reservation by phone.
 
Test Information: When candidates complete the examination, they will receive a score report marked
“pass” or “fail.” Candidates who pass the examination will receive a score report that includes information on how to apply for a license. Candidates who fail the examination will receive a score report that includes a diagnostic score report. The agent examinations consist of two portions: content and statutes and regulations. Agent candidates are required to retake only the portion of the examination they failed. However, a candidate must pass the failed portion within one (1) year of passing the first portion in order to pass the entire examination. If the candidate does not pass both portions within one (1) year, he/she must retake the entire examination. Each line of authority exam contains both general knowledge content, as well as state specific content. The Delaware Insurance Licensing Candidate Handbook contains specific content information beyond the following general outlines:
 
LIFE – GENERAL KNOWLEDGE CONTENT (50 scoreable questions plus 10 pretest questions)
 
I. TYPES OF POLICIES (12)
A. Traditional whole life products
B. Interest/market-sensitive life products
C. Term life
D. Annuities
E. Combination plans and variations
 
II. POLICY RIDERS, PROVISIONS, OPTIONS, AND EXCLUSIONS (19)
A. Policy riders
B. Policy provisions and options
C. Policy exclusions
 
III. COMPLETING THE APPLICATION, UNDERWRITING, AND DELIVERING THE POLICY (11)
A. Completing the application
B. Underwriting
C. Delivering the policy
 
IV. TAXES, RETIREMENT, AND OTHER INSURANCE CONCEPTS (8)
A. Third-party ownership
B. Group life insurance
C. Retirement plans
D. Life insurance needs analysis/suitability
E. Social Security benefits and taxes
F. Tax treatment of insurance premiums, proceeds, and dividends
 
LIFE – DELAWARE SPECIFIC CONTENT (40 scoreable questions plus 6 pretest questions)
 
I. DELAWARE STATUTES, REGULATIONS, AND BULLETINS PERTINENT TO LIFE, ACCIDENT AND HEALTH, PROPERTY AND CASUALTY INSURANCE (13)
A. License Regulations (5)
B. Marketing Practices (5)
C. Insurance Commissioner (3)
 
II. DELAWARE STATUTES, RULES, REGULATIONS, AND BULLETINS COMMON TO BOTH LIFE AND HEALTH INSURANCE (5)
A. Credit Life and Health
B. Life and Health Guaranty Association Act
 
III. DELAWARE STATUTES, RULES, REGULATIONS, AND BULLETINS PERTINENT TO LIFE INSURANCE ONLY (10)
A. Life insurance standard provisions
B. Annuity and endowment contracts standard provisions
C. Standard Nonforfeiture Law
D. Prohibited policies
E. Policy replacement
F. Life insurance solicitation
G. Group life insurance
 
IV. INSURANCE ETHICS (12)
A. Definitions
B. Market Conduct examination
C. Binding coverage
D. Disclosure letters and forms
E. Errors and Omissions insurance
F. Unfair practices
G. Insurance fraud and Fraud Prevention Bureau
H. Advertisement procedures
I. Privacy
J. Conflict of issues and producer’s responsibilities
 
 
ACCIDENT & HEALTH – GENERAL KNOWLEDGE CONTENT (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 (LTC)
G. Limited Benefit 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
F. Nonduplication and coordination of benefits  
G. Occupational vs. non-occupational
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. Ensuring 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
 
ACCIDENT & HEALTH DELAWARE SPECIFIC CONTENT (42 scoreable questions plus 13 pretest questions)
 
I. DELAWARE STATUTES, REGULATIONS, AND BULLETINS PERTINENT TO LIFE, ACCIDENT AND HEALTH, PROPERTY AND CASUALTY INSURANCE (13)
A. LICENSE REGULATIONS (5)
B. Marketing Practices (5)
C. Insurance Commissioner (3)
 
II. DELAWARE STATUTES, RULES, REGULATIONS, AND BULLETINS COMMON TO BOTH LIFE AND
HEALTH INSURANCE (5)
A. Credit Life and Health
B. Life and Health Guaranty Association Act
 
III. DELAWARE STATUTES, RULES, REGULATIONS, AND BULLETINS PERTINENT TO HEALTH INSURANCE ONLY (12)
A. Individual Health insurance required provisions
B. Individual Health insurance optional provisions
C. Individual accident and health minimum standards
D. Group and blanket health insurance
E. Long Term Care
F. Medicare Supplement
G. AIDS related testing
 
IV. INSURANCE ETHICS (12)
A. Definitions
B. Market Conduct examination
C. Binding coverage
D. Disclosure letters and forms
E. Errors and Omissions insurance
F. Unfair practices
G. Insurance fraud and Fraud Prevention Bureau
H. Advertisement procedures
I. Privacy
J. Conflict of issues and producer’s responsibilities

How to Apply for the License: The Delaware Insurance Department accepts only electronic license and renewal applications. Applicants may apply online through the NIPR (National Insurance Producer Registry). The NIPR Gateway is a communication network that electronically links state insurance departments with the entities they regulate. The website address to submit an application is www.nipr.com. If you need to correspond through standard mail, the following addresses are appropriate:

Pearson VUE Licensing Information:
Pearson VUE
Delaware Insurance
Attn: Regulatory Program
5601 Green Valley Dr.
Bloomington, MN 55437
800-274-0455
 
State Licensing Information:
State of Delaware
Department of Insurance
841 Silver Lake Boulevard
Dover, DE 19904
(302) 674-7390 (Licensing)
www.insurance.delaware.gov

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

Applicable Regulations: Life and health insurance agents in Delaware are regulated by the Delaware Department of Insurance.
 

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.