Skip to main content

Pre-appointment states and how they affect your business

Christy Gass
Licensing & Contracting

Are you ready to solicit your next case? Have you checked on your appointment status? Are you already appointed with that carrier in the application state? Does the application state require you to be appointed before you can solicit the product? Having the answers to these questions before you solicit new business can save you time and headaches during the application process.

Why are these such important questions to ask? Some states require agents to be appointed with the state and carrier before soliciting business. These states are known as pre-appointment states. If an agent solicits and submits an application in a pre-appointment state before their state appointment is complete, the application cannot be accepted by the carriers forcing the agent to obtain a new application dated after the effective date of the appointment. Obviously, this is not an ideal situation for anyone involved. Not only does it create more work, but it can slow down the application process.

How do you know if the state you are selling in is pre-appointment? Unfortunately, there is no cut and dry list of pre-appointment states for all carriers. You would think that if a state is a pre-appointment for one carrier, that state would be a pre-appointment for all carriers. This is not always the case. Some states are pre-appointment with one carrier, but not with another. For example, Kansas is a pre-appointment state for Pacific Life, but not for Principal. Each carrier interprets the rules differently and has different states they consider to be pre-appointment.

However, don’t despair! The Licensing Team at First Heartland has been tracking the pre-appointment state requirements for years. Feel free to give us a call or send an e-mail to check if your application state and carrier require a pre-appointment.



Share this