Key Takeaways
- Montana requires 40 hours of pre-licensing education (20 property + 20 casualty) for P&C licensure
- The P&C exam consists of approximately 150 questions with a 70% passing score required
- Licenses expire on the producer's birth month every two years (biennial renewal)
- Continuing education requirement is 24 hours per biennium including 3 hours of ethics
- Background checks including fingerprinting are required for all license applicants
Last updated: January 2026
Montana Producer Licensing Requirements
License Types
Montana issues several types of insurance producer licenses:
Lines of Authority
| Line of Authority | Coverage Types |
|---|---|
| Property | Homeowners, commercial property, fire, inland marine |
| Casualty | Auto, liability, workers' comp, surety |
| Property & Casualty (Combined) | All property and casualty lines |
| Personal Lines | Personal auto, homeowners, dwelling fire |
License Categories
| Category | Description |
|---|---|
| Resident Producer | Montana resident selling insurance |
| Non-Resident Producer | Licensed in home state, selling in Montana |
| Business Entity | Corporation, LLC, or partnership |
| Temporary License | Limited duration for special circumstances |
Pre-License Education
Requirements
| Requirement | Details |
|---|---|
| Property Hours | 20 hours |
| Casualty Hours | 20 hours |
| Total P&C Hours | 40 hours |
| Provider Approval | Must be Montana-approved |
| Completion Certificate | Required for exam registration |
| Certificate Validity | 12 months from completion |
Approved Education Providers
Pre-licensing education must be completed through a Montana-approved provider. Options include:
- Classroom instruction
- Self-study courses
- Online courses with proctored final exams
- Insurance company-sponsored programs (if approved)
Topics Covered
Property Insurance (20 hours)
- Principles of property insurance
- Homeowners policy forms (HO-2, HO-3, HO-5, HO-6, HO-8)
- Commercial property coverage forms
- Inland marine insurance
- National Flood Insurance Program
- Montana property regulations
Casualty Insurance (20 hours)
- Personal auto policy (PAP)
- Commercial auto coverage
- Commercial general liability (CGL)
- Workers' compensation principles
- Professional liability
- Montana casualty regulations
Examination Requirements
Exam Structure
| Component | Details |
|---|---|
| Testing Provider | PSI Services or Pearson VUE |
| Number of Questions | ~150 scored + pretest |
| Time Limit | 2.5 hours (150 minutes) |
| Format | Computer-based, multiple choice |
| Sections | National P&C + Montana State Law |
Passing Requirements
| Requirement | Standard |
|---|---|
| Passing Score | 70% on each section |
| Sections | Must pass national AND state sections |
| Retake Policy | May retake after waiting period |
| Retake Fee | Full exam fee applies |
Exam Day Procedures
- Arrive Early: 30 minutes before scheduled time
- Identification: Two valid forms of ID required
- Primary: Government-issued photo ID (driver's license, passport)
- Secondary: Credit card, Social Security card, or second photo ID
- Prohibited Items: No phones, notes, calculators, or study materials
- Provided Materials: Scratch paper and basic calculator (if needed)
Exam Tip: Names on your IDs must match your exam registration exactly. Any discrepancy may prevent you from testing.
License Application Process
Step-by-Step Application
| Step | Action | Timeline |
|---|---|---|
| 1 | Complete pre-license education | 1-4 weeks |
| 2 | Pass licensing examination | 1 day |
| 3 | Submit application through NIPR or CSI | Same day as passing |
| 4 | Complete background check | 2-4 weeks |
| 5 | Pay license fee | At application |
| 6 | Receive license | Upon background clearance |
Application Fees
| License Type | Fee |
|---|---|
| Resident Producer | $50 |
| Non-Resident Producer | $100 |
| Business Entity | $100 |
| Exam Fee | ~$54 |
Background Check Requirements
Montana requires fingerprint-based background checks:
- Criminal history review (FBI and state databases)
- Disclosure of felony convictions
- Disclosure of misdemeanor convictions involving moral turpitude
- Review of administrative actions by other states
Disclosure Requirements
Applicants must disclose:
- All criminal convictions (except minor traffic violations)
- Administrative actions by any regulatory agency
- License denials, suspensions, or revocations in any state
- Bankruptcy filings
- Civil judgments related to insurance activities
License Maintenance
Renewal Period
| Aspect | Requirement |
|---|---|
| Renewal Cycle | Biennial (every 2 years) |
| Expiration Date | Last day of birth month |
| Grace Period | 30 days after expiration |
| Reinstatement | Available within 12 months of expiration |
Continuing Education Requirements
| Requirement | Hours |
|---|---|
| Total CE Hours | 24 hours per biennium |
| Ethics Hours | 3 hours required |
| Elective Hours | 21 hours |
| Carryover | Limited carryover allowed |
Approved CE Topics
- Insurance law and regulation updates
- Risk management and loss control
- Insurance products and coverages
- Ethics and professional conduct
- Montana-specific requirements
- Technical insurance topics
CE Compliance
- Complete CE before license expiration
- Maintain CE certificates for 4 years
- Report CE through provider or NIPR
- CSI may audit CE compliance
Exam Tip: Montana requires 24 hours of CE every 2 years, including 3 hours of ethics. Failure to complete CE before renewal will result in license expiration.
Non-Resident Licensing
Requirements for Non-Residents
| Requirement | Details |
|---|---|
| Home State License | Must be licensed in home state |
| Good Standing | Home state license must be active |
| Application | Submit through NIPR |
| Exam | Not required if home state has reciprocity |
| Fee | $100 non-resident fee |
Reciprocity
Montana has reciprocal licensing agreements with other NARAB states:
- No Montana exam required if home state license is in good standing
- Must comply with Montana laws while selling in Montana
- Must maintain home state license as active
License Suspension and Revocation
Grounds for Discipline
| Violation | Potential Action |
|---|---|
| Fraud or Misrepresentation | Revocation, fines |
| Misappropriation of Funds | Revocation, criminal referral |
| Unfair Trade Practices | Suspension, fines |
| Felony Conviction | Revocation |
| CE Non-Compliance | Suspension until compliant |
| Failure to Respond to CSI | Suspension |
Disciplinary Process
- Investigation: CSI investigates complaint or allegation
- Notice: Producer receives notice of charges
- Response: Producer may respond in writing
- Hearing: Administrative hearing if disputed
- Decision: CSI issues final order
- Appeal: Producer may appeal to district court
Reinstatement After Revocation
- Minimum waiting period before reapplication
- Must demonstrate rehabilitation
- May require retaking exam
- Subject to enhanced supervision
Test Your Knowledge
When do Montana P&C producer licenses expire?
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Test Your Knowledge
How many hours of continuing education must Montana P&C producers complete every two years?
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Test Your Knowledge
What is the resident producer license application fee in Montana?
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