Types of Insurance a Licensed Producer Can Sell in Illinois

The type of insurance you can sell as a producer in Illinois depends on which lines of authority (specific categories of insurance) are included on your license from the Illinois Department of Insurance (IDOI). Each line of authority represents a class of insurance products you can represent to buyers.

Let’s look at the most common lines of authority in Illinois and find out which products you can sell when you hold the corresponding lines on your license.

Life Insurance Line of Authority

Professionals who are licensed in the life insurance line of authority are authorized to sell products that provide financial benefits to beneficiaries upon the death of the insured including:

• Term life insurance

• Whole life insurance

• Universal life insurance

Health (and Accident) Line of Authority

Professionals who are licensed in the health insurance line of authority can sell products that cover medical expenses, disability, and accidental death or injury, such as:

• Individual or group health insurance

• Dental and vision coverage

• Disability income insurance

• Long-term care insurance

Property Insurance Line of Authority

Professionals who are licensed in the property insurance line of authority are authorized to sell products that protect against financial loss due to damage or destruction of property including:

• Homeowners insurance

• Renters insurance

• Commercial property insurance

Casualty Insurance Line of Authority

Professionals who are licensed in the casualty insurance line of authority are authorized to sell products that provide liability coverage for legal obligations due to injuries or damage including:

• Auto liability insurance

• General liability insurance

• Workers’ compensation

• Professional liability insurance (e.g., errors and omissions)

Variable Insurance Line of Authority

Professionals who are licensed in the variable insurance line of authority are authorized to sell investment-based products that combine insurance coverage with financial investments, such as variable annuities.

Limited Lines Insurance

Professionals who are licensed in limited lines are authorized to sell specialty products with narrowly defined coverages such as:

• Travel insurance

• Crop insurance

• Industrial fire insurance

How to Decide Which Insurance Types to Specialize In

As an Illinois producer, you can add as many lines of authority to your license as you like. The more lines you add, the more products you can sell.

But many professionals prefer to start with two to four lines and add more once they have mastered their initial specialty.

If you’re not sure where to start, here is a simple plan with actionable steps to help you decide which types of insurance to specialize in as an IL insurance producer:

Step 1: Consider Your Interests and Strengths

What types of insurance are you most interested in? Do you have any previous career experience that would lend itself to a specific line of authority?

For example:

• If you have a background in finance, specializing in investment-related products like variables might align with your expertise.

• If you enjoy helping families prepare for the unexpected, life and health lines might be especially fulfilling.

Step 2: Research Local Market Demand

What insurance types are in demand by your local market?

For example:

• If you work in Chicago, a casualty line of authority allows you to sell professional liability insurance and worker’s comp to the many businesses headquartered there.

• If you work in rural areas outside of Peoria, you might specialize in crop insurance for local farmers.

• If you work in a college town, like Bloomington or Champaign-Urbana, there may be a higher-than-normal need for renters insurance for the students living off-campus.

Step 3: Explore Income Potential

Does one specialty pay better than another?

For example:

• Life insurance and annuities may offer higher commissions than other policy types.

• Health insurance policies may renew at higher rates than other types, so this could be good for recurring renewal income.

You might also consider starting with more lines of authority so you can be a one-stop shop for buyers, which could bring in more income.

How to Get Licensed as an Insurance Producer in IL

Earning your IL producer license is a fairly straightforward process. You simply need to:

• Be at least 18 years old.

• Complete the state-required pre-license education for each line of authority you want to be licensed in.

• Pass a state licensing exam for each chosen line of authority (Note: There is no exam required to be a limited lines producer).

Enroll in your IL Producer Pre-License Course Today!

Are you ready to launch your new career as an IL insurance professional?

With REI by Aceable, you can complete your pre-license course online! Get started with one of our popular packages:

• Life + Health, which prepares you to sell life, health, disability, and long-term care insurance

• Property + Casualty, which prepares you to sell homeowners, renters, auto, and liability insurance

• All-in-One, which includes Life + Health and Property + Casualty to give you a solid foundation across all four lines of authority at a discounted price.

Choose your pre-license course package today and get ready to launch your new career as a licensed Illinois insurance producer just a few short weeks from now!