How to get a title producer license

A title insurance agent is a person, whom a title insurer appoints to issue and countersign binders, commitments, title insurance policies, or guarantees of title in its behalf. Becoming a title insurance agent can turn into a fulfilling career for someone interested in real estate. A person can earn over $50,000 on an average title agent salary , with room for increase. To achieve this, you'll need to obtain a title agent license. Each state has its own requirements and qualifications for obtaining a title agent license.

Most states require coursework and a passing grade on a state-mandated titling test. Licensed title agents examine private and public real estate records and insurance documents to ensure properties are clear of all liens. Some title agents work for law firms and perform legal searches. Others work for private businesses and help finalize real estate transactions, including property purchases.

Title Agent License Opportunities

Most states require a title insurance agent applicant to be at least 18 years old, and usually allow both in-state and out-of-state residents to apply. There are exceptions, however. In Florida, for example, according to the state's Department of Insurance Agent and Agency Services, the state law for title insurance agents says that to be a title insurance agent, one must be a U.S. citizen and a resident of Florida. The person may not hold a resident license in another state.

Verification is also part of the application process. Most states require fingerprints of title agent applicants to ensure there are no legal issues that might affect an agent's credibility and decision-making responsibilities.

Coursework Requirements for Title License

Some states require coursework and provide handbooks and study guides to help applicants prepare for title agent exams. This is a crucial part of becoming a title insurance agent. Each state has their own test, so you shouldn't use a Texas study guide for a Missouri exam. For example, Florida test takers must complete a 40-hour classroom course in title insurance and at least one year of title insurance duties, under the supervision and direction of a title agency, title agent, attorney or title insurer.

Once a Florida resident applies for a license, that person has four years to complete the requirements above. Pennsylvania requires applicants to take a state-issued course on title insurance guidelines. According to Pennsylvania Land Title Institute, the course follows the test outline published in the state licensing bulletin and includes interactive quizzes to help applicants prepare for the test.

The National Insurance Producer Registry is a helpful site where applicants can see an overview of the requirements for each state.

License Exam in Pennsylvania

Even though each state has its own licensing requirements, some states such as Pennsylvania and Ohio, require title agent license applicants to use the Prometric website to register for a titling exam. Testing sites are located throughout each state, so test takers can choose an exam location that fits their needs. Applicants receive electronic notification detailing the results of their exam and some states also issue hard-copy certificates when applicants pass the test. Title agent applicants should contact their state's titling department or visit the titling department's website to determine re-testing requirements if they didn't pass.

Exceptions to the Rule

Some states offer exemptions for taking the title agent exam. For example, Florida applicants don't have to take the test and qualify for a letter of clearance if they held a title agent license for a minimum of one year in their home state and applied for a license in Florida within 90 days after relocating to Florida. Title agent license applicants in Florida can also bypass the test if they are licensed, practicing attorneys and are in good standing with The Florida Bar.

Title Insurance agents and title agencies must obtain a license in the states where they plan to work. Separate licenses may be required for agencies to do business within the state. Some states license business entities and others only license individual agents and producers.

Each individual agent and each business entity must generally obtain different licenses. Residents of a state are often licensed differently than non-residents. Application and title agent and title agency license fees vary depending on the state.  Every state requires license renewal every 1-3 years.

A Title Agent is an authorized or acknowledged agent of a title insurance corporation, and any subagent or other representative of such an agent, who for commission, compensation, or any other thing of value, performs the following acts in conjunction with the issuance of a title insurance policy:

• sells, or negotiates the sale of a title insurance policy;
• evaluates the insurability of title, based upon the performance or review of a title search; and
• performs one or more of the following functions:
  1. Collects, remits or disburses title insurance premiums, escrows or other related funds;
  2. Prepares, amends, marks up or delivers a title insurance commitment or certification of title for the purpose of the issuance of a title insurance policy by a title insurance corporation;
  3. Prepares, amends or delivers a title insurance policy on behalf of a title insurance corporation; or
  4. Negotiates the clearance of title exceptions, in connection with the issuance of a title insurance policy.

Prelicensing Requirements

To qualify for a license, the licensing candidate must meet the following prelicensing requirements:

• complete a Department approved prelicensing education course totaling not less than 20 hours of instruction. Visit the Prelicensing Provider/Course List on the portal for provider contact information. 
• pass, within 2 years of applying for the license, the licensing exam administered by PSI Services.  Visit the Exam Vendor Information page for registration and scheduling instructions. 

Exceptions from the prelicensing requirements:

A candidate is exempt from the course and exam requirements if he/she is a New York licensed attorney in good standing with the NYS Office of Court Administration.  You must submit a currently dated (within 90 days) Certificate of Good Standing with your application.

Application Requirements

Match the submission code numbers listed under the Resident or Non-Resident columns with the corresponding numbers on the Submission Requirements Chart to determine what must be submitted with the license application.

Any required documentation must be uploaded on the license application.

Fees and Renewal Period

Licenses are issued for up to 2 years.  Individual/tba licenses will be issued with an expiration date determined by the applicant’s date of birth:

• If born in an even numbered year, the license will expire on the birthday in an even numbered year.
• If born in an odd numbered year, the license will expire on the birthday in an odd numbered year.

All licensing fees are non-refundable. A full fee is charged when a license is issued for a licensing period of more than one year; a half fee is charged when a license is issued for a period of one year or less.

For New York residents the full fee is $80, half fee is $40.

Non-residents please see the Fee Schedules to determine the licensing fee.

Payment Options

Licensing fees may be paid by credit card, electronic funds transfer (e-check) or paper check.  If electing to pay by paper check, the application will remain pending until the Department receives and processes the check.

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