Pre-Licensing Education FAQs
What is Pre-licensing Education (PE)?
Individuals seeking an insurance producers license must complete an approved 24-hour Pennsylvania Pre-licensing Education (PE) course. Students may prepare in either of two formats - Traditional classroom study of 24-hours with an instructor or through an independent self-study program. The Magellan Group is approved by the Pennsylvania Insurance Department as a pre-licensing education provider offering both PE formats. Students who successfully complete their PE course will be presented with a pre-licensing education certificate. The student will have to present the PE certificate at the PSI Services testing site in order to sit for their actual state insurance licensing exam.
Does everyone taking an insurance exam have to complete a Pre-licensing Education (PE) course?
No. Only individuals seeking their initial producer license are required to complete Pre-licensing Education (PE). In other words, if you have a current license (i.e., life, accident, health, property, or casualty) in force and you want to add another license authority, you do not have to complete the state mandated Pre-licensing Education (PE) requirement. You may self-study and take the exam without the need of securing a PE certificate. We also offer traditional 3-Day PE classes and concentrated 1-Day Exam Prep web-classes.
Should I begin with the Property and Casualty or the Life, Accident and Health Pre-licensing Education (PE) Course?
This decision is up to the individual student. Generally, an individual is being recruited by a prospective employer (an insurance agency or insurance company) that is providing some guidance as to which course of study to take first. If you are not currently involved with a prospective employer, it is best to begin with the course material that you are most familiar with.
What materials are needed to prepare for the Pre-licensing Education?
In addition to our study manual and access to your Exam Master Online Course, you should have a current Pennsylvania Licensing and Examination Information Booklet. This booklet provides complete details of all relevant data pertaining to the licensing process including the exam outline, examples of test questions and an application to register for the examination. Please note that our study manuals and Exam Master Online Course correspond to the state outlines and are revised annually. Currently, testing outlines are updated every July 1st. To promote the possibility of passing your exam, it is recommended you purchase the most current edition of our study manuals and companion Exam Master Online Course.
How do you access Exam Master Online?
After you have purchased one of our Pre-licensing Education study packages, you can request access to Exam Master Online by completing the Exam Master Online activation request form which is included with your study materials. Registration to Exam Master Online is valid for 90 days with a one-time 60 day extension period ($20 fee applies to the extension period). Exam Master Online is accessible from any computer, tablet or smart phone.
What is the best way to use this Pre-licensing Education study program?
The key to exam success is to understand what you have to know for exam purposes. You can start this process by briefly scanning each of the chapters in your manual. After you have completed this general overview you can begin the systematic process of reviewing your study material and your Exam Master Online Course. First, read chapter one highlighting important concepts and topics. Make sure you pay attention to bolded or italicized words or phrases. Second, review the chapter flashcards. These are key terms and concepts that you must master and understand. Third, complete the practice exams that are at the end of each chapter.
In addition to your printed manual and flash cards, your Exam Master Online Course includes over 450 animated PowerPoint slides with over 10 hours of audio chapter summaries; Electronic flash cards; and over 900 practice exam questions with rationales. We recommend that students score that least 85% or higher on each chapter exam before moving forward to succeeding chapters.
Students may secure a PE certificate by attending one of our PE classes or by independent self-study. Under the independent self-study option students will receive a PE certificate after passing an on-site (home or office) final exam that must be monitored by a disinterested third-party (anyone other than a relative or direct supervisor). Although a 70% on your final exam is required to earn your PE certificate, for actual exam purposes, we strongly recommend that you continue taking the chapter and final exams until you are scoring at least 85% or higher. This additional preparation time and effort will help you pass your state licensing exams on your initial attempt.
How does the actual state/PSI computer examination work?
The licensing exam is provided on a computer by PSI Services, Pennsylvania's testing provider. Students will have the opportunity to take a short introductory lesson to become familiarized with the computer and testing functions. The exam questions appear on the screen giving the student the option of recording the answer or to "mark" the answer for later review. At the end of the exam a pass/fail grade will appear on the screen. Students will need to score 70% or higher to pass their Pennsylvania insurance licensing exam. Effective July 1, 2020, individuals will be able to take their licensing exam at a PSI testing center or remotely from their home or office. Individuals taking their exam remotely must have a computer and webcam. Complete details on the exam process, testing options and related details are included in the Pennsylvania Licensing and Examination Information Booklet.
Are there insurance positions available for individuals who secure their insurance license?
The insurance field is looking for individuals who are licensed for immediate employment. With several weeks of study, you can be on your way to passing your Pennsylvania Insurance Licensing exam and a brand new career. Currently, the insurance industry employs more than 3 million individuals, and the industry will create more than 400,000 jobs by 2020 (Griffith Insurance Education Foundation). Employment opportunities are available with insurance agencies and insurance companies for positions as customer service representatives, account managers, and sales agents, along with other positions.
What types of positions are available to individuals with an insurance license?
Individuals possessing an insurance license would be eligible for employment at insurance agencies and insurance companies.
Insurance agencies are the local offices that sell insurance directly to the public. Examples would include State Farm, Allstate, Nationwide, and Farmers along with local independent insurance agencies which market their services under their own company name. Insurance agencies have needs for both inside-the-office support personnel, such as customer service representatives and account managers as well as outside-the-office personnel, such as insurance producers. Customer service representatives and account managers interact with insurance agency customers ensuring their coverages are in force and current, whereas, insurance producers function in a sales and marketing capacity developing new business as well as maintaining existing business.
Insurance companies are the risk bearing entities that accept applicants for insurance from insurance agencies. Examples of insurance companies located in Pennsylvania would include Erie, Liberty Mutual, Highmark and UPMC. Although insurance companies are not directly in the marketing of insurance to the public (like insurance agencies), insurance companies commonly have large call centers staffed by licensed insurance agents.