Insurance agents need a license in each state where they work, and life and health insurance is licensed separately from property and casualty, so the first decision is which line to get. The Bureau of Labor Statistics (BLS) says most states require specified courses plus a state exam on insurance fundamentals and state law. How heavy that first step is depends on the line and the state. In Florida, the prelicensing course for a life license is 30 hours, while the full property and casualty license needs 200.

This guide is desk research from the Texas Department of Insurance (TDI), the Florida Department of Financial Services (DFS) and BLS data, checked between October 5 and October 9, 2026. Fees change, so check them with your state.

What the lines cover

BLS says agents commonly sell one or more of these types of insurance:

  • Property and casualty: policies that protect people and businesses from losses from auto accidents, fire, theft and other property damage. For businesses this also covers workers’ compensation, product liability and medical malpractice claims.
  • Life: policies that pay beneficiaries when the policyholder dies. Life agents also sell annuities.
  • Health and long-term care: policies covering some or all medical costs and assisted-living services for older adults, plus dental and short- and long-term disability insurance.

BLS says separate licenses are required to sell life and health insurance and property and casualty insurance. Agents can specialize in one or work as generalists. Some, most commonly life agents who already sell annuities, also get licensed by the Financial Industry Regulatory Authority (FINRA) to sell securities such as mutual funds and variable annuities.

Who you’d work for

BLS says insurance sales agents held about 572,600 jobs in 2025:

Employer type Share of jobs
Insurance agencies and brokerages 63%
Self-employed 12%
Property and casualty carriers 8%
Health and medical carriers 5%

BLS also separates the ways agents are tied to companies. Captive agents work for one company and sell only its policies. Independent agents may sell policies from several companies. Brokers work for brokerage firms and represent their clients rather than insurers.

Two states compared

The rules vary enough that two large states show the range.

Texas (TDI) Florida (DFS)
License names General lines: life, accident, health and HMO; or property and casualty Life (2-14), health (2-40), health and life (2-15), personal lines (20-44), general lines (2-20)
Prelicensing course Not listed in TDI’s general lines steps 30 hours life; 40 health; 60 health and life; 60 personal lines; 200 general lines
Exam Pass before applying; Pearson VUE Required after an approved course
Sponsored start One-time 180-day temporary license Temporary general lines, personal lines and life licenses listed

Texas. TDI’s general lines pages say you must pass the state licensing exam before you apply, and then apply within one year of passing or retake the exam. TDI points to Pearson VUE for where and how to take the exam, its candidate handbook and its exam outlines. Most applicants must also get a fingerprint background check. Applications go through Sircon or the National Insurance Producer Registry (NIPR).

Texas also offers a sponsored route. A company, agency or agent considering you as a full-time agent can sponsor a one-time 180-day temporary general lines license. The sponsor confirms it will supervise your training, which must be at least 40 hours given by the appointing company. You must pass the state exam within the 180 days, and the temporary license can’t be renewed.

Florida. DFS publishes a qualification sheet for each resident license. Each of the five below requires you to be at least 18 and a Florida resident, and the course routes end in a state exam. The course hours differ by line:

  • Life (2-14): 30-hour life and variable contracts course
  • Health (2-40): 40-hour health course
  • Health and life (2-15): 60-hour course, or the 30-hour life course plus the 40-hour health course
  • Personal lines (20-44): 60-hour course covering property, casualty and inland marine insurance sold to individuals and families
  • General lines (2-20): 200-hour property and casualty course, or at least one year within the last four years in responsible insurance duties as a full-time employee in all property and casualty lines

For the life, health, health and life, and general lines licenses, DFS says the course must be completed within four years of applying. Study manuals are required for everyone attending a prelicensing course. Florida’s life license sheet lists 24 hours of continuing education every two years.

How to choose your first line

Use the jobs you can actually get to decide, then let your state’s rules set the timeline.

  • Read 10 local postings for agent, account manager and customer service roles at agencies and carriers, and note which license each names.
  • Count the course load. In Florida, a life or health license is a much smaller first step than the 200-hour general lines course. Personal lines is a narrower property and casualty license limited to insurance sold to individuals and families for noncommercial purposes.
  • Ask about sponsorship. In Texas, an agency or insurer that is considering you as a full-time agent can sponsor a temporary license with company-led training.
  • Plan the second line. BLS says agents may work as generalists across lines, so a first license doesn’t have to be the last.

How agents are paid

BLS says independent agents may be paid by commission only. Agents employed by an agency or insurance carrier may get salary only, salary plus commission, or salary plus bonus. Commissions are the most common form of pay, especially for experienced agents. The amount depends on the type and amount of insurance sold and whether it’s a new policy or a renewal.

BLS measure Insurance sales agents
Median annual wage, May 2025 $62,280
Lowest and highest 10 percent Less than $37,330; more than $138,140
Median at health and medical carriers $73,440
Median at property and casualty carriers $63,810
Median at agencies and brokerages $61,550
Projected growth, 2025 to 2035 3 percent (about as fast as average)
Openings per year, on average About 43,100

One caveat matters here. BLS wage data exclude self-employed workers, so the 12 percent of agents who are self-employed aren’t in these figures. BLS expects employment growth to be strongest for self-employed agents.

Pay by state

BLS state data for May 2025 shows the five states with the most insurance sales agents, then the highest and lowest medians among the 50 states and the District of Columbia.

State Jobs Median annual wage Lowest 10% earned less than
Florida 47,560 $59,790 $37,180
Texas 47,060 $51,180 $30,140
California 41,160 $76,120 $38,560
New York 22,420 $78,110 $37,790
North Carolina 20,540 $58,710 $36,000
District of Columbia (highest median) Not released $84,530 $48,570
New Mexico (lowest median) 2,200 $45,180 $29,290

These are employee wages at every experience level, including commissions. A new agent paid mostly on commission may earn less while building a client base, so a savings cushion is part of the plan. Our guide to budgeting for a career-change transition period shows how to size one, and our guide to salary by state for operations and administrative roles covers weighing pay against local costs.

A practical order of steps

  1. Pick the line your target postings name most often.
  2. Look up your state’s insurance department for that license’s course, exam and fingerprint rules.
  3. If an agency or insurer will sponsor you, ask how its training and licensing support work.
  4. Finish any required course, then schedule the exam promptly. In Texas, apply within a year of passing.
  5. Before accepting a commission-heavy offer, ask how pay works in the first months.

If you are weighing other licensed sales paths, our real estate license guide compares hours, exams and early income.

FAQ

Which insurance license should I get first?

Start with the line the jobs near you ask for. Life and health is licensed separately from property and casualty, and the training load can differ a lot by state. In Florida, a life license needs a 30-hour course and a life and health license 60 hours, while the full property and casualty general lines license needs 200 hours.

Do I need a course before the insurance exam?

It depends on the state. BLS says most states require specified courses plus a state exam. Florida requires an approved prelicensing course for each license type. Texas’s general lines license pages list the Pearson VUE exam, fingerprints and the application, and say you must pass the exam before applying.

Can an employer sponsor my insurance license?

In Texas, a company, agency or agent that is considering you as a full-time agent can sponsor a one-time 180-day temporary general lines license. The sponsor must supervise at least 40 hours of training, and you must pass the state exam within the 180 days.

Are insurance agents paid on commission?

Often. BLS says commissions are the most common form of pay, especially for experienced agents. Independent agents may be paid by commission only, while agents employed by an agency or insurer may get salary only, salary plus commission, or salary plus bonus.

What do insurance agents earn?

BLS reports a median annual wage of $62,280 for insurance sales agents in May 2025. Its wage data exclude self-employed agents, so independent agents’ earnings are not in that figure.

Sources