Property and Casualty Insurance License Exam — Everything You Need to Know in 2026

The Property & Casualty (P&C) insurance license is what lets you sell home, auto, business, and liability coverage. It is the bread-and-butter credential for most insurance agents — separate from the Life & Health license, though plenty of producers eventually hold both.

The exam is 150 scored multiple-choice questions with a 3-hour time limit and a 70% passing score. Content splits across a national section on general insurance principles and a state-specific section covering your state's licensing laws, producer responsibilities, and policy forms. The national pass rate hovers around 50–60% on a first attempt — which tells you most people who fail underestimated it rather than overestimated it.

Because P&C is state-regulated, the exact question count, time limit, and fee varies slightly by state. Some states (like California) split property and casualty into two separate exams. Always verify the blueprint from your state's department of insurance before you schedule.

You need 70% to pass — that's at least 105 correct out of 150 scored questions.

50–60% nationally for first-time test takers (some state sections run lower — California casualty-only posts ~32%)

Registration goes through your state's approved testing vendor — usually PSI Services or Prometric. Find your state on their site, pick a center, and book. Exam fees run $40–$100 depending on the state and whether it's combined or split.

You must finish your state's required pre-licensing education before you register. After you pass, apply for the license through your state department of insurance; most issue it within a few business days once your fingerprints and background check come back clean.

Most states require 20–40 hours of pre-licensing education before you can sit for the exam. Texas and Florida run about 40 hours for general lines; California is around 20; New York requires roughly 90 hours for a combined P&C credential. A handful of states waive the hours entirely if you already hold a CPCU or similar designation.

Pre-licensing courses are available online from providers like Kaplan, ExamFX, and A.D. Banker. You'll get a certificate of completion that you upload when you register for the state exam — no certificate, no test slot.

The Bureau of Labor Statistics puts the median annual pay for insurance sales agents at $60,370, with the top 10% earning $135,000+. About 568,800 agents are employed nationally, and BLS projects 4% job growth through 2034 — roughly average across the economy, but with a much bigger pool of openings because of retirements.

Most new P&C agents start at captive agencies (State Farm, Allstate, Farmers) or independent shops. Captives hand you a product line, training, and leads; independents let you quote across carriers but expect you to build your book. Commission is the big number: it's uncapped, it renews every year the policy stays in force, and a mature book can compound into six figures of predictable income.

P&C is recession-resistant — people keep their auto and homeowners policies even when they cut other spending — and renewals make the income curve get steadier every year you keep writing. It's one of the few white-collar careers where passing one exam genuinely opens the door.

Most candidates need 3–6 weeks to be ready. The candidates who fail typically do one of three things: they cram at the last minute, they study everything equally instead of targeting their weak areas, or they read passively without testing themselves. All three are fixable.

The most effective approach: take a practice test first, before you've studied anything. Your score tells you exactly which of the 6 topics need the most attention. Then focus your flashcard sessions on those weak areas using spaced repetition — reviewing at increasing intervals so the information actually sticks.

As your exam date gets closer, switch to full timed practice tests under realistic conditions. You want to be scoring comfortably above the passing threshold before you walk in.

Once you know your weak areas, flashcards are the fastest way to close the gaps. Prepdex builds your study sessions around the topics where you're losing points — not a generic review of everything.

Each session takes about 10-15 minutes. You study the topics that matter most for your score, in the order the exam weights them. The spaced repetition scheduling makes sure you see things again before you forget them.