Non-resident license/appointment questions

Feb 3, 2007

  1. Guest
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    Guest Guest

    We are all licensed in our 'home' state. Say you want to get a license in another state, via the License Registry. It all goes well and you get the license number.

    Say you write for a national company like Aetna or UH, etc. Do you have to go thorugh the appointment process all over again with them for each new state? Or do they just want a copy of your license.

    Also do most E&O policies cover you ONLY in your home state, or in any state you are licensed?

    Thanks,

    Al
     
  2. Crabcake Johnny
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    Crabcake Johnny Guru

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    You need to get appointed by your carrier in each state you're licensed in and pay the appointment fees. So if you get a non-resident license in Virginia you cannot write an Aenta app in VA until Aetna appoints you in that state.
     
  3. Steve
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    Steve Super Genius

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    For those who aren't familiar with me, just getting in the business and will be a captive agent...

    But my question is: You have to pay for appointments? Also, you pay for appointment, and do they require a commitment to production? For example, if I (as an independent) become appointed with a dozen carriers in a specific state, am I going to lose that appointment if I can't produce "$x" amount of production for that carrier in that time period?

    Thanks for the insight.
     
  4. realistagent
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    Who are you appointed with?
     
  5. realistagent
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    realistagent Expert

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    I mean. Who are you captive with?
     
  6. Steve
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    Steve Super Genius

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    Sorry, my question wasn't clear enough. I was stating surprise that companies required a fee for appointment. I had not thought about it much in the past.

    What is the range of fee required, and what are the typical minimum production requirements to remain appointed?
     
  7. Crabcake Johnny
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    Crabcake Johnny Guru

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    Appointment fees per state are minimal - around the $10 range. Some states have no appointment fees - like MD. When you're independent there normally isn't any productions requirements. I'm still appointed with American Republic since 2004 and have yet to submit a deal. I'm appointed with 4 life companies, two of which I've never written a deal with.

    However, captive companies normally do have production requirements. When I was with Mega I think (don't quote me) that an agent had to write $10,000 per quarter or they lost their appointment.
     
  8. Crabcake Johnny
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  9. Steve
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    Steve Super Genius

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    Thank you for the response, John. That clears it up quite a bit for me.
     
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