Arizona Insurance Agency License: Fees and Renewal

Let's set the stage

Arizona is a neighbor state for us in Utah, and its rules are clean. A.R.S. 20-282 says a person may not sell, solicit or negotiate insurance in Arizona unless licensed for that line, and A.R.S. 20-281 defines a person to include a business entity: a corporation, association, partnership, LLC or LLP. The Arizona Department of Insurance and Financial Institutions (DIFI) also says that if a business entity's name is used in insurance transactions, the entity must hold a license.

Arizona agency license at a glance

Who must hold an Arizona agency license

DIFI says its business entity requirements "apply to both resident and nonresident businesses." A nonresident must be licensed as a resident and in good standing in its home state, with reciprocity (A.R.S. 20-287). Its home state is where it keeps its principal place of business and holds a resident producer license. NIPR rejects a nonresident application if the entity already holds an active Arizona resident license. Sole proprietors cannot use the business entity application.

The DRLP

A.R.S. 20-285(C)(3) requires the entity to designate "an individually licensed insurance producer who is responsible for the business entity's compliance" with Arizona law. NIPR is specific: "Exactly one Designated Responsible Licensed Producer (DRLP) must be provided on application," and that person must hold an active equivalent Arizona license. The application must also list all members, officers and directors (A.R.S. 20-285(D)).

Here's the thing about changes. Report a new member, officer or director on Form L-177 and a new DRLP on Form L-CHG, both within 30 days (A.R.S. 20-286(C)). For Arizona resident entities, each new member or officer must also submit fingerprints on Form L-FPV.

How to apply, step by step

1. Form the entity as a partnership, LLC, LLP or corporation.
2. Use a street business address. NIPR does not accept a P.O. box or PMB.
3. Confirm your DRLP holds an active, equivalent Arizona license.
4. Apply through NIPR. DIFI's instruction is simply "Submit your application via NIPR."
5. List owners, partners, officers and directors in the OPOD section.
6. If you will use any name other than your legal name, file Form L-193, Certificate of Assumed Name. DIFI recommends also registering it as a trade name with the Arizona Secretary of State.
7. Answer deficiency letters within 60 days, or the application is withdrawn and the fee is forfeited.

NIPR says most Arizona applications are processed within 30 days, and DIFI says applications can take up to one month.

Arizona agency license fees

Renewal

Arizona licenses expire every four years under A.R.S. 20-289(B), on the last day of the same month four years after issuance or the renewal due date. Residents and nonresidents renew online through NIPR. Let's be real: DIFI's producer section does not print the business entity renewal fee. The statute sets the quadrennial fee for "all other licenses" in a range of $60 to $180 (A.R.S. 20-167), and DIFI lists $120 per class for adjuster and navigator entity renewals, but confirm the producer amount before you budget. A late renewal adds a $100 fee for up to one year; after that you file a new application.

Bond and E&O

Neither DIFI's producer section nor NIPR's Arizona business pages state a bond, E&O or net worth requirement for a producer business entity. The $10,000 surety bond on Form L-195 applies to bail bond agents. Carriers may still ask for E&O; see do agencies need E&O.

Other Arizona requirements

• The entity must act within the scope of its chartering documents (A.R.S. 20-285(C)).
• Report address, name and personnel changes within 30 days (A.R.S. 20-286(C)).
• Report administrative actions within 30 days of final disposition, and criminal prosecutions within 30 days of the initial pretrial hearing (A.R.S. 20-301).
• DIFI issues no paper certificates. Verify the license through DIFI License Search.

What we could not verify

We could not confirm the producer business entity renewal fee, whether a new resident entity must fingerprint its principals at the first application, or whether an Arizona Corporation Commission filing is a stated prerequisite. Call DIFI Licensing at (602) 364-3100 or email [email protected].

After the license

A licensed Arizona agency still needs carrier contracts before it can earn a dollar. We are a licensed agency in Draper, Utah, and we contract agencies across the country. Start at agency contracting with ESI, check what agency licenses cost in other states, or compare states on our agency license hub.

Updated October 13, 2026 by the Everything Senior Insurance Data Desk.