Arizona Life & Health Insurance Exam: Complete Guide

The Arizona Life and Health insurance exams are your gateway to selling life, health, disability, and annuity products in one of the fastest-growing states in the country. Arizona's exam structure has a feature that distinguishes it from most other states and catches many candidates off guard: both the General Knowledge section and the Arizona State Law section must independently score 70% or higher. The two scores are not averaged. A strong performance on general insurance content cannot save you from a failing Arizona state score — and vice versa.

Here's the complete guide to the Arizona Life and Health insurance exams.

Who Administers the Exams

Arizona insurance licensing exams are administered by PSI Services, which replaced the previous vendor effective September 1, 2025.

Important: If you have an account from the previous testing vendor, it does not transfer. Create a fresh account through PSI's Arizona portal.

PSI Arizona contact:

Website: test-takers.psiexams.com/anzins

Phone: (877) 215-7924

Pay the $59 exam fee at registration

Testing Options — In-Person and Remote

Arizona offers both exam formats:

PSI Testing Centers: Physical locations in Phoenix, Tucson, Flagstaff, and other Arizona cities. Also at Northern Arizona University (Flagstaff) and PSI centers in neighboring states (Nevada, Utah, New Mexico).

PSI Bridge Remote Testing: Remote proctored exam from home or office. Check system compatibility at syscheck.bridge.psiexams.com before scheduling.

Cancel or change: Contact PSI at least 48 hours in advance or forfeit the $59 fee.

Arizona Exam Structure — Life & Health

Arizona issues separate exams for each line plus combined options:

Questions are randomly scrambled — not grouped by category. This is typical for PSI exams and doesn't require different strategy, but expect to move between topics throughout.

Experimental questions: Some questions are unscored experimental items being tested for future use. You won't know which ones they are — answer every question as if it counts.

The Two-Section Scoring Requirement

Arizona's most critical and distinctive exam feature: BOTH sections must independently score at least 70%. The scores are not averaged.

Section 1 — General Knowledge: Covers national insurance principles applicable in any state.

Section 2 — Arizona State Law: Covers A.R.S. Title 20 (Arizona Revised Statutes, Insurance) and Arizona Administrative Code Title 20 Chapter 6.

Why this matters: Scoring 92% General + 68% State = FAIL Scoring 70% General + 85% State = PASS Scoring 72% General + 71% State = PASS

Both sections must independently clear 70%. Neither strong section can compensate for a weak one. This is the single most important fact about Arizona's exam and the primary source of preventable failures.

After a failure: PSI provides section-level score reports. You'll see your exact score for each section — use this diagnostic information precisely to target your retake preparation.

Life Insurance Exam Content — General Section

The General section of the Life Producer exam covers:

Insurance Regulation (approximately 20%, 20 questions):

Principles of insurance law

License types and requirements (general framework)

Producer regulations

Company regulations

General Insurance (approximately 10%, 10 questions):

Insurance concepts and principles

Risk management

Insurer types and structures

Producers and agency law

Contract principles

Life Insurance Basics (approximately 15%, 15 questions):

Personal uses of life insurance

Determining life insurance needs

Business uses (key person, buy-sell agreements)

Classes of life insurance policies

Premium structures

Individual underwriting and risk classification

Life Insurance Policies (approximately 20%, 20 questions):

Term life (level, decreasing, increasing, renewable, convertible)

Whole life (straight life, limited pay, single premium)

Universal life

Variable life and variable universal life

Indexed life

Group life insurance

Life insurance policy law

Life Insurance Policy Provisions, Options, and Riders (approximately 20%, 20 questions):

Standard provisions (grace period, reinstatement, incontestability, misstatement of age)

Beneficiary designations (revocable, irrevocable, per stirpes, per capita)

Non-forfeiture options (cash value, reduced paid-up, extended term)

Policy loan provisions

Dividend options

Settlement options

Common riders (waiver of premium, accidental death benefit, guaranteed insurability, disability income)

Annuities (approximately 10%, 10 questions):

Fixed, variable, and indexed annuities

Immediate vs. deferred

Accumulation and distribution phases

Tax treatment of annuities

Suitability considerations

Federal Tax Considerations (approximately 5%, 5 questions):

Income tax treatment of life insurance

Modified Endowment Contracts (MECs)

Tax treatment of non-qualified annuities

Individual retirement plans (IRA, 401k, etc.)

Section 1035 exchanges

Rollovers and transfers

Accident & Health Exam Content — General Section

The General section of the A&H exam covers:

Accident & Health Insurance Basics:

Types of health insurance policies (HMO, PPO, POS, EPO)

Classes of health insurance policies

Limited policies

Common exclusions

Producer responsibilities

Individual underwriting

Individual A&H Policy Provisions:

Uniform required provisions

Uniform optional provisions

Other general provisions

Disability Income Insurance:

Qualifying for disability benefits

Individual and group disability income

Business disability insurance

Social Security disability

Workers' compensation coordination

Medical Plans:

HMO structures

PPO structures

Health Savings Accounts (HSAs)

Health Reimbursement Arrangements (HRAs)

Group Health Insurance:

Group underwriting

Group continuation (COBRA)

Group conversion rights

Senior Health:

Medicare Parts A, B, C, D

Medicare supplement (Medigap) standardized plans

Long-term care insurance basics

Federal Regulations:

HIPAA (portability and privacy)

ERISA

ACA provisions (essential health benefits, guaranteed issue, etc.)

Arizona State Law Section — What's Tested

The Arizona State Law section is where candidates who relied solely on national study materials often fall short. Key Arizona-specific topics:

DIFI Authority (A.R.S. Title 20):

Role of the Director of Insurance

DIFI's authority to license, examine, investigate, and discipline

DIFI as integrated financial regulator (insurance + banking + mortgage + credit unions)

DIFI enforcement powers under A.R.S. § 20-141 et seq.

Arizona Producer Licensing:

License requirements under Arizona law

Application process and NIPR submission

Fingerprinting requirements (Fieldprint)

Four-attempt exam limit (A.R.S. § 20-284)

Exam validity (1 year)

License renewal (December 31 per HB 2054)

CE requirements (48 hours/4-year cycle, 6 hours ethics)

Relocating producer provisions

Arizona Unfair Trade Practices (A.R.S. § 20-441 et seq.):

Misrepresentation

Twisting

Churning

Rebating

Defamation

Unfair discrimination

Prohibited practices in advertising

Arizona Policy Provisions:

Free-look periods:

10 days — standard for most policies

20 days — annuities sold to seniors age 65+

30 days — Medicare supplement policies

Grace periods

Replacement regulations and required forms

Annuity suitability standards

Arizona Life and Health Insurance Guaranty Association:

Coverage limits (critical exam content):

$300,000 for life insurance death benefits

$250,000 for annuity values

$500,000 for health insurance benefits

What the Guaranty Association protects

What's excluded from protection

Arizona LTC Partnership Program (A.R.S. § 20-1691.12):

LTC partnership connecting insurance benefits to Medicaid asset protection

LTC training requirements before selling LTC products

Arizona-specific LTC policy requirements

Arizona Health Coverage:

Arizona's use of Healthcare.gov (federal marketplace — no state-based exchange)

AHCCCS (Arizona Health Care Cost Containment System) — Arizona's Medicaid program

KidsCare — Arizona's CHIP program

Arizona mental health parity requirements

Records Retention (A.R.S. § 20-290):

3-year retention minimum from transaction completion date

Note: clock starts at transaction completion, not policy issuance date

Critical practical point for producers

Arizona CE Requirements:

48 hours per 4-year cycle (distinctively long cycle — most states use 2-year cycles)

6 hours ethics required

No carryover allowed

$1.50/hour reporting fee

CE self-study: no proctor required

Exam Day Procedure

Arrive 30 minutes early at the PSI testing center.

Bring one valid government-issued photo ID with signature. Driver's license, passport, or military ID acceptable.

No personal items in testing room.

Results appear immediately on screen after exam completion. Printed score report provided before leaving.

If you pass: PSI notifies DIFI electronically within 48 hours. Proceed to fingerprinting and NIPR application. You must apply within 1 year of passing.

If you fail: Separate section scores reported. PSI's system takes 24-48 hours to update before you can reschedule. Schedule a retake after reviewing diagnostic results.

The 4-attempt limit: Arizona law (A.R.S. § 20-284(H)) limits candidates to 4 attempts per line per year. Four failures means a 1-year wait from the last attempt before retesting.

Failing a combined exam: Arizona treats failure of a combined exam as failure on each individual line of authority covered.

5 Frequently Asked Questions

• What's the most important thing to know about Arizona's exam scoring? Both the General Knowledge section and the Arizona State Law section must independently score 70% or higher. Scores are NOT averaged. A failing state section score fails the entire exam regardless of your general section performance.
• What are the Arizona Guaranty Association limits? $300,000 for life insurance death benefits, $250,000 for annuity values, and $500,000 for health insurance benefits. These are specific, frequently tested figures.
• What are Arizona's free-look periods? 10 days for most policies, 20 days for annuities sold to seniors age 65 or older, and 30 days for Medicare supplement policies.
• How many attempts do I get if I fail? Four attempts per line per year under A.R.S. § 20-284(H). After four failures, you must wait one full year from the date of the last attempt. Each attempt costs $59.
• Is the A&H exam harder than the Life exam? Arizona candidates and instructors consistently report the A&H exam as more difficult — the health and disability products tested tend to be more complex than life insurance products, and the federal regulatory overlay (HIPAA, ERISA, ACA, Medicare) adds significant content volume.

Walk Into the Arizona Exam Prepared

Both sections must pass independently — that means preparation must give both equal attention. At JustInsurance, our Arizona exam prep courses cover both the general insurance content and Arizona-specific A.R.S. Title 20 provisions with the depth both sections require.

Enroll today and prepare for both sections of Arizona's exam.