How to Pass Your Texas Insurance License Exam

Trying to earn your insurance license in Texas can be a stressful process, and it’s natural to want as much information in advance as possible, especially about your licensing exam. This exam tests your knowledge of insurance principles, state laws, and specific product knowledge.

Below, we’ll cover everything you need to know to get ready for your Texas insurance exam and pass it on the first try.

STEPS FOR EARNING YOUR TEXAS INSURANCE LICENSE

Your licensing exam is only one part of earning your license, so let’s start with a quick review of the whole process.

STEP 1: COMPLETE YOUR TEXAS INSURANCE PRE-LICENSING COURSE

Texas Department of Insurance (TDI) doesn’t actually require any specific pre-licensing courses unless you’re applying for a temporary license. However, a state-specific course from a reputable provider will help you learn everything you need to know for the required exam. This is critical to passing on the first try.

You should also look for packages like ours with an exam preparation component. More on this later.

STEP 2: PASS THE TEXAS INSURANCE LICENSING EXAM

This step is mandatory, and the exam is offered at Pearson VUE testing centers throughout the state. We’ll talk about the exam in detail below.

STEP 3: GET FINGERPRINTED

Texas Department of Insurance requires you to complete a fingerprint-based background check before you apply for your insurance adjuster license. Fingerprints are taken electronically through IdentoGo.

STEP 4: SUBMIT YOUR APPLICATION

You need to submit your Texas insurance adjuster application through Sircon within one year of passing the licensing exam.

WHAT TO EXPECT FROM THE TEXAS INSURANCE LICENSING EXAM

Now, let’s focus on the licensing exam itself. Here are some Texas insurance exam FAQs we run into frequently.

WHAT TOPICS ARE COVERED ON THE TEXAS INSURANCE LICENSING EXAM?

There are four different Texas insurance licensing tests divided up by line.  You can take Property & Casualty, Life & Health, Life only, or Personal. Each line has its own set of extensive and subject-to-change topics, so it’s best to check the content outlines on Pearson VUE for comprehensive, up-to-date information.

The majority of the questions for each exam are “national,” meaning they address general concepts and federal legal considerations, while a smaller number are “state” questions focused on state-level laws and regulations.

National and state questions will be mixed together into a single pool. The total question pool is huge, so the exact questions will be different from person to person and test to test.

WHAT’S THE FORMAT OF THE TEXAS INSURANCE LICENSING EXAM?

All four Texas insurance licensing exams are computer-based and multiple-choice. You’ll have a chance to take a short practice test before the real exam to help you learn the system.

There are three general question types on the exam that occur in equal proportions. Roughly a third of the questions relate to dollar amounts or timeframes, such as the required notice period insurance agents must give and the length of grace periods. Another portion will test your knowledge of terminology and definitions. The remaining questions will test your knowledge application. This means the question gives you a short story about an insurance situation, and you have to pick the right solution or course of action.

HOW MANY QUESTIONS ARE ON THE TEXAS INSURANCE LICENSING EXAM?

The length of your insurance licensing exam in Texas will depend on which test you’re taking. All questions are multiple-choice, and test takers generally report that they have enough time for the number of questions without feeling too rushed.

The lengths for the exams are:

• Property & Casualty: 150 questions (2.5 hours)
• Life & Health: 150 questions (2.5 hours)
• Life only: 95 questions (2 hours)
• Personal: 116 questions (2 hours)

Roughly 10-15% of these questions are “pretest” questions that won’t count toward your score. However, pretest questions won’t be marked separately or sectioned off from scored questions, so you won’t know which are pretest questions for sure. Just keep in mind that if a question stumps you or seems out of left field, it may not even count.

WHAT SCORE DO I NEED TO PASS THE TEXAS INSURANCE LICENSING EXAM?

You need to answer 70% of the questions correctly to pass any of the Texas insurance licensing exams. You’ll know your score before you leave the testing center, but this won’t include the answers to individual questions.

TIPS FOR PASSING THE TEXAS INSURANCE EXAM ON THE FIRST TRY

You’ll need to pay a fee to both Pearson VUE and the Texas Department of Insurance for each exam attempt, not to mention the stress and inconvenience of preparing and taking the test. If possible, you want to get it right the first time.

We have over 20 years of experience helping prospective insurance adjusters earn their licenses. Here’s our best advice.

TAKE THE PRE-LICENSE COURSES SERIOUSLY

Your pre-license insurance courses will cover everything you need to know for the Texas insurance exam (and your future career!), so you should approach them with a serious desire to learn the material. You don’t get points simply for attendance!

CONSIDER ONLINE LEARNING

Many students find that online, self-paced courses like ours help them get the most out of their course dollars. Online courses are less expensive to begin with, but they have many other benefits:

• You can take the courses in a place and time of your choosing.
• You can review the material as fast or slow as necessary.
• You can take breaks on your own schedule.
• You can review the lessons whenever and as many times as you want.
• Your understanding will be frequently checked with in-course quizzes.

You can use this freedom to set yourself up for success. Study when you can minimize distractions, take things at your own pace, and step away when you get tired.n

TAKE PRACTICE EXAMS

Our Texas All-Lines Ultimate Success package adds a downloadable study guide and unlimited practice exams on top of your coursework.

These practice exams are:

• In the same format as the real state-mandated exam.
• Generated from a databank of thousands of possible test questions.
• 100% online, so you can take them anytime and anywhere.

This allows you to take the practice exam over and over without much repetition and gets you ready for the real thing. You’ll have a good idea of whether you’re ready to pass the exam, so you can wait to sign up until you’re sure you’ll pass on the first try.

READ QUESTIONS CAREFULLY

On the day of the exam, don’t rush through the questions. They’re multiple-choice, but sometimes the wording is tricky.

Pay close attention to the wording of the question. Look for double negatives, qualifiers, or conditions that change the meaning.

Read all options carefully. If two choices are similar, consider how they’re different from one another. Watch out for options that use absolute terms like always, never, all, or must – these are often (though not always) incorrect.

JOIN US FOR SUCCESS

For over 24 years, 360training has helped millions of adult learners on their path to professional achievement.

Our Texas All-Lines Ultimate Success package will set you up for success with:

• Courses written by insurance education professionals and approved and regulated by the Texas Department of Insurance
• A downloadable study guide of key concepts
• Unlimited practice exams pulled from a databank of thousands of questions
• Instructor Connect support for personal attention and assistance
• Exam Remediation in the event that you don’t pass on the first try

Join more than 4 million satisfied students by enrolling today!