State Requirements

Business Rules

• Check Your Application Status:  https://www.insurance.ca.gov/0200-industry/0038-CLASS/
  Whether you submitted your license applications to CDI online through NIPR.com, Sircon.com, or by paper through the mail, CLASS will enable you to check the status of your license applications.  

• Business Entity Applicants will be required to provide Name Approval (BENA) Confirmation number provided by California. You can obtain this number on the Business Entity Name Approval Request page at www.sircon.com/california.

• Sole Proprietorship may not apply electronically using the business entity uniform application, they must apply as an individual. Section 6 - California NIPR product participation.

• There must be no serious:
  • Regulatory Information Retrieval System (RIRS) actions for the applicant.
  • Special Activities Database (SAD) actions for the applicant.

• Section 1729.2 of the California Insurance Code requires a licensee to notify the department within thirty (30) days of the date the licensee learns of any change in their background information. For further clarification regarding this requirement, including the definition of background information, please refer to CIC 1729.2 or the California Department of Insurance website.

• Definition of Criminal Conviction: For the purposes of the California application, you have been "convicted" if you were ever found guilty by verdict of a judge or jury; and/or ever entered a plea of guilty, nolo contendre or no contest. You must disclose all convictions, even if the charges were later dismissed or expunged, your guilty plea was withdrawn pursuant to Penal Code Section 1203.4, or you were placed on probation, received a suspended sentence or just ordered to pay a fine.

• Driving Under the Influence: You must also disclose all driving related misdemeanors including, but not limited to, driving under the influence, reckless driving, driving without a valid license, or driving with a suspended or revoked license. If you fail to disclose all convictions, your application may be denied. You may exclude juvenile offenses tried in juvenile court."

• If applicant responds "yes" to one of the background questions please submit supporting documents electronically via NIPR's Attachments Warehouse. The documents may also be submitted to the state via mail at California Department of Insurance, 320 Capitol Mall Sacramento CA 95814, email at LicDocuments@insurance.ca.gov), or fax at 916-327-6907.

• Applicant applying for Variable Life and Variable Annuity  must hold an active Life.

• Applicant may not hold a Personal Lines license and apply for a Property and Casualty license, or a Limited Lines Automobile Insurance Agent lines of authority.

• Applicant may not hold a Property AND Casualty  along with Limited Lines Automobile Insurance Agent.

• Property and Casualty may not apply for Personal Lines.

• Applicant cannot hold a Life AND Burial and Funeral Expense license.

• Travel applicants must actively hold or apply simultaneously for Property  AND Casualty  OR Life AND Accident & Health or Sickness.

• Surplus Lines applicants must actively hold or apply simultaneously for Property AND Casualty  lines of authorities.

• Special Lines SL Broker applicants must actively hold or apply for Property AND Casualty lines of authorities.

• At least one Designated Responsible Producer is required on the application. Except for the following lines of authority:
  • Credit Registered Agent 
  • Portable Electronics 
  • Car Rental
  • Self-Service Storage Agent

• The Designated Responsible Producer or Producers cumulatively must have equivalent LOA's in CA.
  • The Designated Responsible Producers for Limited Line Auto Insurance Agent must hold an active Property and Casualty OR Personal Lines OR Limited Lines Automobile Insurance Agent lines of authority .
  • The Designated Responsible Producers for Travel  line of authority must ALL actively hold Property  AND Casualty OR Life AND Accident & Health or Sickness lines of authority on PDB.

• Portable Electronic applicants must submit the following items to meet the license requirements:
  • Insurer Notice of Appointment:  The portable electronics insurance agent must be appointed by an authorized insurer.  The insurer, or insurer's managing agent, must sign a notice of appointment form (LIC PE 1) stating that the insurer has satisfied itself that the named applicant is trustworthy and competent to act as its insurance agent limited to this purpose.  The insurer will appoint the applicant to act as its agent to transact portable electronics insurance. (Section 1758.62(a)(2) of the California Insurance Code (CIC))
  • Training Requirement:  Each portable electronics vendor licensed pursuant to this article shall provide for the training of its endorsees under a program developed by a licensed property and casualty broker or agent prior to allowing its endorsees to offer or sell insurance products. (Section 1758.63 (c) of the CIC).
  • Please visit http://www.insurance.ca.gov/0200-industry/0050-renew-license/0200-requirements/comm-equipment/ for more information.

•  Credit Insurance Agent applicant must submit the following items to meet the license requirements:
  • Notice of Appointment:  The credit insurance agent must be appointed by an authorized insurer.  The insurer must sign a Credit Insurance Agent Notice of Appointment, form LIC CI 20, stating that the insurer is satisfied that the named applicant is trustworthy and competent to act as its insurance agent limited to this purpose. The insurer will appoint the applicant to act as its agent to transact credit insurance.
  • Fingerprint Impressions:
  • Fingerprint impressions are required for Branch Manager at each location. You must call Accurate Biometrics at (866) 361-9944 to schedule an appointment to have your fingerprint impressions taken prior to submitting your application.  Fingerprint impressions will not be accepted from any other source. You must bring a copy of your Request For Live Scan Service, form LIC 442-39A to the site where your fingerprints are taken, have Accurate Biometrics complete their portion of the form, and submit the completed form to the Department with your application verifying your prints were taken.
  • Endorsee Application:  All employees (endorsees) that will be selling credit insurance on behalf of the business entity must file an Individual Application for Insurance License, form LIC 441-9, and must be named in the Business Entity Application as a designated/responsible producer.  If the employee is being endorsed to an existing business entity license then the endorsee applicant must file an Individual Application for Insurance License, form LIC 441-9 and must complete a Business Entity Endorsement, Form LIC 411-8A to be endorsed to the existing business entity license.
  • Training Materials:   The Outline for Required Training Elements is stated in form LIC CI 30.  The Annual Training Material Submission Form – Credit Insurance Agent, form LIC CI 10 (training materials) must be filed with the application for license.
  • Employee Affidavit of Training and Knowledge:  Each endorsee must have a completed Form LIC CI 50 submitted with the application.
  • Please visit http://www.insurance.ca.gov/0200-industry/0050-renew-license/0200-requirements/credit-insurance/ for more information.
     
• Car Rental applicants must submit the following items to meet the license requirements:
  • Insurer Certification: A Rental Car Agent Notice of Appointment, form LIC RCA 3 must be completed by an authorized insurer certifying that the insurer has satisfied itself that the named applicant is trustworthy and competent to act as its insurance agent limited to this purpose.  The insurer will appoint the applicant to act as its agent to transact rental car insurance.
  • Initial Certification of Authorized Employees: The applicant must certify on the Initial Certification – Rental Car Agency, form LIC RCA 1 that all employees who offer or sell rental car insurance have completed the required training.
  • Training: Employers must provide training on ethical sales practices, personal accident insurance, liability insurance and personal effects as they pertain to renters and rental vehicles.  Training in roadside assistance insurance and emergency sickness insurance may also be included. The endorsee training is described in Required Training Elements – Rental Car Agency, form LIC RCA 4.
  • Limited liability companies (LLC's):  LLC's are required to provide proof of satisfying the security requirements of Section 1647.5 of the California Insurance Code when applying for an insurance license and once licensed, must also file with the Commissioner an annual confirmation of coverage demonstrating continued compliance with the financial security requirements. 
  • Additional LLC application filing information, annual certification of coverage information, and links to forms that can be used as proof of fulfilling the security requirements, please go to the following link for Business Entity Limited Liability Company Requirements  http://www.insurance.ca.gov/0200-industry/0020-apply-license/0300-business-license/business-entity-limited-liability.cfm
     
• Self Service Storage Agent applicants must submit the following items to meet the license requirements:
  • Insurer Certification:  A Self-Service Agent Notice of Appointment LIC SSA 2 must be completed by an authorized insurer certifying that the insurer has satisfied itself that the named applicant is trustworthy and competent to act as its insurance agent limited to this purpose. The insurer will appoint the applicant to act as its agent to transact self-service storage insurance.
  • Training:  Employers must provide training pursuant to California Insurance Code Section 1758.72(a) and outlined in Required Training Elements – Self-Service Storage Facility, form LIC SSA 3.
  • Please visit http://www.insurance.ca.gov/0200-industry/0050-renew-license/0200-requirements/self-service-storage/ for more information.

• Travel Agent applicants must submit the following items to meet the license requirements:
  • Special Instructions Regarding Designated Responsible Producer: Section 1754(a)(3) of the California Insurance Codes states, in part, that the Limited Lines Travel Insurance agent and its designated responsible employee shall hold Property and Casualty and/or Life and Accident & Health or Sickness agent licenses based upon the types of insurance transacted by the licensee.  From a practical standpoint, all of these license types will be needed by both the licensed business entity and its designated responsible employee, as it is expected that the policies offered for sale by all Limited Lines Travel Insurance agents will include Property, Casualty, Life and Health provisions.
  • Insurer Notice of Appointment: 
  • The Limited Lines Travel Insurance agent must be appointed by an authorized insurer. An officer or managing agent of the insurer must sign a Notice of Appointment, Limited Lines Travel Insurance agent, form LIC TA 1 certifying that the named applicant is trustworthy and competent to act as its Limited Lines Travel Insurance agent and that the insurer will appoint the applicant to act as its agent if the Limited Lines Travel Insurance agent license applied for is issued by the commissioner. (Section 1755(a)(2) of the California Insurance Code)
  • Training Requirement:  All Limited Lines Travel Insurance agent licensed pursuant to this article shall provide training as stated in the Required Training Elements - Limited Lines Travel Insurance Agent, form LIC TA 3, to all employees of its travel retailers who will be transacting Travel Insurance under its license.
  • Initial Certification of Authorized Travel Retailers:   The Limited Lines Travel Insurance agent, at the time of licensure, and thereafter, must maintain a register noting each travel retailer that transacts Travel Insurance on the agent's behalf. At the time of licensure, the names of all of the travel retailers who will be transacting travel insurance under theLimited Lines Travel Insurance agent's license must be recorded on the Initial Certification of Authorized Travel Retailers, form LIC TA 2.  The initial certification must be submitted to the California Department of Insurance with the initial license application.
  • Limited liability companies (LLC's):  LLC's are required to provide proof of satisfying the security requirements of Section 1647.5 of the California Insurance Code when applying for an insurance license and once licensed, must also file with the Commissioner an annual confirmation of coverage demonstrating continued compliance with the financial security requirements. 
  • Additional LLC application filing information, annual certification of coverage information, and links to forms that can be used as proof of fulfilling the security requirements, please go to the following link for Business Entity Limited Liability Company Requirements http://www.insurance.ca.gov/0200-industry/0020-apply-license/0300-business-license/business-entity-limited-liability.cfm
  • Letter of Commitment: A business entity that receives an approved Doing Business As (DBA) is required to submit a Letter of Commitment, which is required to state the following:  I agree to use only the approved fictitious doing business as (DBA) name (___________________approved DBA inserted here) in all solicitation of insurance in the state of California.  More information can be found on the California Department of Insurance (CDI) Website http://www.insurance.ca.gov/0200-industry/0020-apply-license/0300-business-license/name-approval-criteria.cfm

• Independent Adjuster Requirements:
  • A Designated Responsible Licensed Person (DRLP) is NOT required.  This may be skipped on the electronic application.
  • Must not hold one of the other Adjuster licenses.
  • A 2,000 bond is required.  For a copy of the required Bond Insurance form 31A-14 please follow this link: http://www.insurance.ca.gov/0200-industry/0050-renew-license/0200-requirements/upload/LIC31A14BondInsAdj.pdf
  • Qualified Managers must be verified by the state after the following information is submitted to the state:
  • Copy of Personal Identification Info Form LIC 31A-9: https://www.insurance.ca.gov/0200-industry/0050-renew-license/0200-requirements/upload/LIC31a9AJPersonalID.pdf
    • Two passport sized photographs taken within the last six months.  JPG image is preferred.
    • Owners, Officers, Partners, and Directors may also request a Pocket ID card by submitting the above requirements to the state.

• Public Adjuster Requirements:
  • A Designated Responsible Licensed Person (DRLP) with an equivalent license is required.
  • Must not hold one of the other Adjuster licenses.
  • Public Adjusters must submit Public Adjuster Authorization Application Form LIC-0100A http://www.insurance.ca.gov/0200-industry/0050-renew-license/0200-requirements/upload/PJ_Authorization_LIC-0100A.pdf for each licensed adjuster employee settling claims for the business.
  • A $20,000 Public Insurance Adjuster bond, executed in California, with applicant’s full legal name.
  • A Bond of Public Adjuster Form 94A is  required and can be found at the following link:  http://www.insurance.ca.gov/0200-industry/0040-seek-producer-forms/0100-broker-agents/upload/LIC94ABondPublicAdj.pdf
  • Public Insurance Adjuster Contract. The contract you will use in your business must be approved by the department prior to the issuance of the license.