Insurance licenses come in many types depending on the type of insurance a prospective agent or established agent wishes to sell. Insurance licenses are issued by each state's department of insurance after paying a fee and passing a licensing certification test. Insurance licenses are available for property and casualty lines such as automobile and homeowners. An insurance license can also be obtained to allow an agent to sell life insurance products.

Fire and Casualty

Individuals that want to sell insurance, act as an insurance representative or start their own insurance agency will require a fire and property license. This type of license authorizes an individual to offer various types of general insurance products provided by a property and casualty insurer. These include automobile, personal property, motorcycle as well as flood and earthquake insurance. A license also authorizes 24-hour care coverage, bodily injury and long-term care insurance.

Limited Lines Automobile

This type of license authorizes a representative of insurance products to conduct only automobile insurance business is a particular state. A limited lines automobile license in some states may also include motorcycles. Many states have insurance laws that specifically define an automobile for the purposes of insurance. The most common definition is a private passenger vehicle that is intended only for private use.

Personal Lines

A personal lines license is similar to a fire and casualty insurance license but limits insurance products to only personal insurance products such as automobile and personal property. This type of license also authorizes personal watercraft, umbrella and excess liability insurance. Excess liability is insurance coverage that is provided above the underlying limits of a standard automobile or personal property insurance policy.

Life-only Agent

Individuals that obtain a life-only agent license are authorized to conduct only life insurance business in a particular state. This includes providing coverage on human lives that provide benefits to the policyholder or a beneficiary. Coverage can consist of standard life insurance, annuities, accidental death or dismemberment and disability income. Specific types of insurance products that can be offered are listed on the license.

Accident and Health

An accident and health agent is similar to a life-only license but includes additional insurance products. One type of insurance product included with this type of license is health insurance, which provides coverage for accidents and sickness. Another is worker's compensation. Individuals with this type of license can also provide credit disability insurance.