Consultant

Vermont Law defines Consultant to mean, an individual, resident or nonresident who, for a fee, holds himself or herself out to the public as engaged in the business of offering any advice, counsel, opinion or service with respect to the benefits, advantages or disadvantages promised under any policy of insurance that could be issued in this state. See Title 8, §4791.

License Requirements

In order to obtain a Consultants license an applicant must be at least 18 years of age; must be deemed to be competent, trustworthy and financially responsible; have passed a Producer examination; file with the commissioner and keep in force a $5,000 bond with an authorized surety approved by the commissioner; submit the written agreement intended for use with clients, outlining the nature of the work to be performed by the applicant, and a description of the fee structure and submit a license application and fees.

How to Apply for A License

Nonresident

  • Nonresident Consultants who hold a Resident Consultant license in their resident state can apply electronically via NIPR.
  • Complete the online application process and pay the relevant fees.
    • Attachment #2 is no longer required for electronic submissions.
    • If your application is routine, and does not require any additional information, the license is generally issued within 48 hours.
    • If your application is not routine, you will be notified online that additional information must be submitted directly by you to the department. All additional information that must be submitted is outlined on the application, and can be faxed to 802-828-1633. Your license application will be reviewed after all required information has been received.

Resident

  • Apply online:
    • Resident Consultants can apply electronically via NIPR.
    • Complete the online application process and pay the relevant fees.
      • Attachment #2 is no longer required for electronic submissions.
      • If your application is routine, and does not require any additional information, the license is generally issued within 48 hours.
      • If your application is not routine, you will be notified online that additional information must be submitted directly by you to the department. All additional information that must be submitted is outlined on the application, and can be faxed to 802-828-1633. Your license application will be reviewed after all required information has been received.
  • Paper Application:
    • An applicant must also submit additional paperwork to the department.
      • A $5,000 bond with an authorized surety approved by the commissioner;
      • Submit the written agreement you intend to use with clients, outlining the nature of the work to be performed and a description of your fee structure; 
      • A license application fee of $30.00 and license fee of $200.00. Checks should be made payable to VT Dept. of Financial Regulation;
      • Attachment #2 Certification print a hard copy, fill in; and
      • Review the Social Security Disclosure (Attachment 1) for your information

FAQs

What is a Consultant?
What is the license term?
Is CE required for Insurance Consultants?
Can I hold an Insurance Producer license and a Consultant’s license at the same time?
Can I do business with producers or brokers?
Who should I contact with questions?


What is a Consultant?

A Consultant is an individual, resident or nonresident who, for a fee, holds himself or herself out to the public as engaged in the business of offering any advice, counsel, opinion or service with respect to the benefits, advantages or disadvantages promised under any policy of insurance that could be issued in this state. See Title 8, §4791. Further, the law goes on to state, “A consultant is obligated under his or her license, to serve with objectivity and complete loyalty the interests or his or her client alone; and to render his or her client such information, counsel, and service as within the knowledge, understanding, and opinion, in good faith of the licensee, best serves the client’s insurance needs and interests.” See Title 8, §4802.

What is the license term?

The license term is April 1st to March 31st of even years. The department will send out renewal notices for existing licensees at the beginning of the even year. Note, license fees are not prorated and the license term is fixed, regardless of time of application.

Is CE required for Insurance Consultants?

No.

Can I hold an Insurance Producer license and a Consultant’s license at the same time?

No.  No person may concurrently hold a Consultant’s license and an insurance producer’s license, surplus lines broker’s license, or limited lines producer license in any line. See Title 8, §4802(d).

Can I do business with producers or brokers?

No licensed Consultant may employ, be employed by, or be in partnership with nor receive any remuneration whatsoever, from any licensed insurance producer, surplus lines insurance broker, limited lines producer or insurer arising out of his or her activities as a consultant. See Title 8, §4802(e).

Who should I contact with questions?

For further information about insurance consultants interested parties should refer to Title 8, §4791(2) and §4802.

For answers to additional questions that have not been addressed in the FAQs above, send an email to dfr.producerlicensing@vermont.gov please be sure to provide a telephone number where we can contact you.

Vermont Department of Financial Regulation
Insurance Division – Producer Licensing
89 Main Street
Montpelier, VT 05620-3101
(802) 828-3303 Telephone
(802) 828-1633 Fax

Contact Information

Department of Financial Regulation
Commissioner Michael Pieciak
89 Main Street, Montpelier, VT 05620 - 3101
802-828-3301

Public Information
For public records, media inquiries, and press releases visit our Public Information web page

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