Licensed Insurance Agents: How to Transfer Your License When Moving to Another State
Moving to a new residence always brings up challenges, especially when you’re changing states. There’s plenty of documents to transfer over and paperwork to fill out, in addition to moving all your stuff. If you’re a licensed insurance agent, you also need to get your insurance license transferred over to your new state of residence.
Most states will recognize your current license and the hard work you’ve put into obtaining and maintaining it. Each state has their own reciprocity system that you’ll need to work through when transferring insurance licenses. These processes are very similar from state to state, but there are some differences in protocol. Contact the state’s insurance department for specific details on this process.
You need to send an application to your new state’s insurance department for a transfer. Most of the time it’s not necessary to re-take all the coursework and exams for a new license. Many states want to see that you’ve had your license for some predetermined amount of time before you send this application.
Ensure you work through the reciprocity process in a timely fashion. Most states give you 90 days to cancel your previous license and get it transferred over. If you wait too long to complete the process, or the state you’re moving to doesn’t have a reciprocity system, then you’re out of luck; you’ll need to retake the exam and any other required coursework.
Certificate of Good Standing
Your next step to take in transferring your license is to obtain a certificate of good standing from your current state’s insurance department. Send the certificate with any other documents and materials needed for a license in your new state. Most states only require an application and a fee, but providing a certificate of good standing will make the process smoother.
Your New State May Require a Clearance Letter
Some states will also want to see a letter of clearance and certification. Sending in the request for a clearance letter to your previous state will cancel your license there. So, make sure you have all your documents in order and meet all other requirements before getting a clearance letter.
You can contact the state’s insurance department to find out exactly which form to fill out and send in for clearance. There is a fee included with this request for most states—usually around $30. Most clearance letter requests take around two weeks to process.
States will often give you the option to simultaneously transfer your resident license to the new state as well. You’ll have around 30 days to contact the insurance department with your new address. If you wait too long, you may have to submit a new application and pay licensing fees for your new resident license.
Keeping your insurance license is straightforward once you obtain it and stay active with it. Most states will let you transfer it over hassle-free as long as you fill out any paperwork they request. Get in touch with your new state’s department of insurance as soon as possible for the details of this process.