Michigan Life Producer, Series 16-65

The Michigan life insurance exam.

The Michigan life insurance exam is 100 scored questions, in 120 minutes, passing at 72%, $41 per attempt, administered by PSI Exams. We sell study materials and practice exams for it, written from the official Michigan outline. The first questions are free, and the full License Pass is $149, yours until you pass. Below are the licensing steps, exactly what the exam covers, and free practice questions written to this state's outline.

At a glance

ExamMichigan Life Producer, Series 16-65
Scored questions100
Pretest questionsvaries
Time limit120 minutes
Passing score72% cut score (72 correct of 100)
Exam fee$41
Testing vendorPSI Exams
Retake rulesNo fixed waiting period; same-day rebooking not possible - fail Wednesday, can call Thursday and retest as soon as Friday, subject to availability
Prelicensing educationrequired, from a state-approved provider

Verified against official PSI Exams materials, Outline PDF created 9/2/2021; linked as current from the PSI Michigan DIFS Candidate Information Bulletin updated 6/10/2025 (test-takers.psiexams.com/midifs). Specs change; confirm when you register.

How to get your Michigan life insurance license

  1. 1

    Meet the basics

    Be 18 or older and able to pass the background screening. Michigan handles licensing through the NIPR system like most states.

  2. 2

    Complete the required prelicensing education

    Michigan requires prelicensing education from a state-approved provider before you can test. Complete it with that provider, keep your completion record, then drill practice questions until the material sticks.

  3. 3

    Book the exam with PSI Exams

    Register at PSI Exams, pick a test center or online proctoring where offered, and pay the $41 exam fee.

  4. 4

    Pass the exam

    Walk in knowing the format, 100 scored questions in 120 minutes, passing at 72%. About 62% of first-time life exam takers pass nationally (NAIC, latest published data).

  5. 5

    Apply for the license and get appointed

    Submit the license application (fingerprints where required), then get appointed with carriers so you can write business.

What the Michigan exam covers

From the official exam outline, each section's share of the exam and how many of the 100 scored questions it earns.

SectionWeightQuestions
Insurance Regulation17%17 questions
General Insurance18%18 questions
Life Insurance Basics21%21 questions
Life Insurance Policies12%12 questions
Life Insurance Policy Provisions, Options, and Riders21%21 questions
Annuities6%6 questions
Federal Tax Considerations for Life Insurance, Annuities, and Qualified Plans5%5 questions

Free Michigan practice questions

Original questions written to the Michigan outline, the same bank our students drill. Tap a question to check the answer.

Question 1

When an insurer ends its appointment of a producer, what must the insurer do?

  1. A. Nothing, because the producer's license automatically ends too
  2. B. File a notice of termination with the director within the required time
  3. C. Refund the producer's unearned commissions to the state
  4. D. Publish the termination in a local newspaper
Show the answer

Answer: B

When an appointment is terminated, the insurer must notify the state director of the termination within the time the law requires. The producer's license does not automatically end; it stays active even without an appointment. There is no requirement to refund commissions to the state. Newspaper publication is not part of the process.

MCL 500.1209 (termination of appointment; concept, not exact day count)

Question 2

An insurer authorizes James to act as its producer by doing what?

  1. A. Filing a notice of appointment with the state
  2. B. Paying his continuing education fees
  3. C. Signing a replacement disclosure
  4. D. Endorsing his prelicensing certificate
Show the answer

Answer: A

An appointment is created when the insurer notifies the state that it is appointing the producer to represent it. Paying CE fees relates to keeping a license active, not appointment. A replacement disclosure is a document used when replacing policies, not for appointment. A prelicensing certificate proves education was completed, it does not create an appointment.

MCL 500.1208a (appointment)

Question 3

Diane lets her Michigan producer license lapse but keeps selling insurance and collecting commissions; what enforcement tool is most directly aimed at stopping her ongoing unlicensed activity?

  1. A. A cease and desist order
  2. B. A free look extension
  3. C. A guaranty association claim
  4. D. A grace period notice
Show the answer

Answer: A

A cease and desist order is the direct tool to stop someone from continuing prohibited conduct such as transacting insurance without a license. A free look relates to a policyowner's right to return a new policy, not enforcement. The guaranty association protects policyholders when an insurer becomes insolvent. A grace period concerns late premium payment, not unlicensed sales.

MCL 500.2038 (cease and desist for prohibited acts)

Question 4

What is the practice of offering a customer something of value not stated in the policy to induce the purchase of insurance?

  1. A. Rebating
  2. B. Twisting
  3. C. Coercion
  4. D. Defamation
Show the answer

Answer: A

Rebating means giving back part of the premium or offering any valuable consideration not specified in the policy to persuade someone to buy. Twisting is using misrepresentation to convince someone to replace an existing policy. Coercion is using force or pressure to affect an insurance transaction. Defamation is making false statements that harm an insurer's reputation.

MCL 500.2024 (rebating); Michigan Insurance Code unfair trade practices

Question 5

A producer named Marcus is convicted of committing an insurance fraud act in Michigan. What consequence can he face?

  1. A. Only a written warning with no further penalty
  2. B. Criminal penalties and possible suspension or revocation of his producer license
  3. C. A guaranteed second chance with no license impact
  4. D. Automatic transfer of his book of business to another agent
Show the answer

Answer: B

Fraud convictions can bring criminal penalties and administrative action against the producer's license, so the key is correct. A mere warning understates the seriousness of a fraud conviction. There is no guaranteed second chance for fraud. A book of business is not automatically transferred as a penalty.

MCL 500.4511 (penalties); MCL 500.1239 (license actions)

Take the free Michigan practice test, every question with the answer and the explanation

Michigan exam FAQs

How many questions are on the Michigan life insurance exam?

100 scored questions, with 120 minutes on the clock.

What score passes the Michigan exam?

You need 72% to pass.

How much does the Michigan life insurance exam cost?

The exam fee is $41 per attempt, paid to PSI Exams. Licensing application and fingerprint fees are separate.

What happens if I fail the Michigan exam?

No fixed waiting period; same-day rebooking not possible - fail Wednesday, can call Thursday and retest as soon as Friday, subject to availability. About 62% of first-time life exam takers pass nationally (NAIC, latest published data). Failing once is common, and the fix is drilling the sections your score report names.

Does Michigan require prelicensing education before the exam?

Yes. Michigan requires prelicensing education from a provider your state insurance department lists before you can sit for the exam. We sell study materials and practice exams, not prelicensing education, so plan for both, the required education first, then practice here until the exam feels familiar.

What RingReady is, and is not

RingReady sells study materials and practice exams for the life insurance licensing exam. We are not a state-approved prelicensing education provider, and practicing here does not by itself satisfy any state's education requirement.

If your state requires prelicensing education, you must complete it with an approved provider; your state insurance department publishes the approved list. What we do is make sure that when you sit down for the real exam, the questions feel familiar.

Practice the Michigan exam until it feels familiar.

Practice questions written to every section of the outline above, full timed practice exams matched to the real format (100 questions, 120 minutes), and a mastery map that shows what to study next.

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Take the free Michigan practice test · How to pass the exam