State RegulationsCO specificDifficulty 1/5
A Denver business entity wants to sell insurance and obtains an agency license designating a responsible Colorado-licensed producer. Under Colorado Division of Insurance licensing procedures, what is the term of the agency license?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under Colorado Division of Insurance licensing procedures, a business entity must hold an agency license designating a responsible producer, meaning a Colorado-licensed officer, partner, or director, and the agency license runs for 2 years, expiring two years from the first day of the month in which it was issued.
Why the other options are wrong
- B) The agency license is not an annual license; it runs 2 years from the first day of the month of issue.
- C) Birth-month expiration dates apply to producer license continuation, not to the agency license term.
- D) The agency license is not a 5-year license, and its renewal does not hinge on a new examination.
Memory hook
Agency license: 2 years, expiring first-of-the-month style.