Being an insurance broker is a great career – jobs are in high demand, there’s plenty of room for growth and do different things, the industry is diverse, and it’s just challenging enough that you’ll never get bored. But unlike most jobs, there are requirements you have to meet first. This is a guide on how to become an insurance broker in BC (British Columbia).
What licenses do I need to become an insurance broker in BC?
While requirements vary from province to province, I’ll be focusing exclusively on the requirements for BC. In this province, there are 3 levels of licensing that require different levels of education and grant you more and more responsibility as you move up.
- Level 1 License: This is the first level that all insurance brokers start at after studying and passing either the Fundamentals of Insurance or the CAIB 1 exam AND the Insurance Council of BC rules course. At this stage, you have a basic knowledge of the different types of insurance policies you’re able to sell. The restriction is that you have to work under supervision.
- Level 2 License: You get this license after you pass the CAIB 2 (commercial property insurance) and CAIB 3 (liability & specialty insurance) exams. With this license, you’re able to work without supervision. Most importantly, you’re able to work independently outside the office earning a commission if you so choose.
- Level 3 License: You get this by passing CAIB 4 where you learn brokerage management skills. At this level, you’re able to be the nominee and manage or run your own insurance brokerage.
CAIB 1 vs Fundamentals of Insurance for Level 1
In BC, you can get your Level 1 license via passing Fundamentals of Insurance or CAIB 1 – but which one should you pick?
For most new brokers, I recommend Fundamentals of Insurance. The exam is cheaper ($195 vs $395) and it’s easier for most people (100 multiple choice questions with no short answer questions).
For brokers that are a little bit more ambitious, CAIB 1 is a good option because it counts as one of the four courses required to earn your CAIB Designation.
I hope this was able to help you understand what your options are. If you have additional questions, please let me know. You can contact me via live chat or using the contact us page.