The five-step individual path

This is the stable framework for getting an individual producer licensed. The specific requirements vary by state — but the shape of the process does not. The Westmont briefing confirms resident-state licensing “usually requires some combination of pre-licensing, an exam, application, and/or fingerprints.” GROUNDED · Westmont

The five steps

1. Pre-licensing education — complete any required course hours for your line. (Hours are VERIFY.)
2. The exam — pass the general/national + state-law sections for your line. (Vendor, # questions, time, passing score are VERIFY.)
3. Background check / fingerprints — criminal background check; some states require fingerprinting. (Requirement and vendor are VERIFY.)
4. Application — file the NAIC Uniform Application with the DOI and pay the fee. (Fees are VERIFY.)
5. Appointment — a carrier formally authorizes you to act as its agent; filed with the state. This is additional to the license.

The cardinal rule: resident state FIRST

An individual must first hold a license in their state of residence. GROUNDED · Westmont

Only after the resident license exists do you “expand” to other states as non-resident licenses — usually granted by reciprocity without repeating the exam or coursework. See 06 Resident vs non-resident & reciprocity. GROUNDED · Fenwick

This resident-first rule is also why the entity track depends on the individual: an entity can only be licensed in states where its DRLP (a licensed individual) is already licensed. See 01 The DRLP. GROUNDED · Westmont

Scope: where do you need licenses?

Per Westmont’s “Scope of Licensing” rule, you need licenses in all states where you intend to sell, solicit, and/or negotiate insurance — AND all states where the (potential) insureds are located. This applies to both the individual and the entity. GROUNDED · Westmont

So the count of licenses isn’t “where my office is” — it’s “where I do business and where my customers are.” For a national Tech E&O program, that can be a lot of states.

What’s stable vs what’s VERIFY

Stable (learn it)	VERIFY (confirm it)
The five steps and their order	Pre-licensing hours per state/line
Resident-first rule	Exam vendor, # questions, time, passing score
Scope-of-licensing rule	Application / exam / fingerprint / license fees
Appointment is separate from license	Whether fingerprints are required, and the vendor
Reciprocity unlocks non-resident licenses	CE hours and the renewal cycle

All the VERIFY items are consolidated in the 16 VERIFY hub.

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→ 01 Pre-licensing education

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