Tennessee Insurance Practice Exam 2026 – All-in-One Resource for Exam Success!

To sell Variable Whole Life insurance products, an agent must possess a FINRA securities registration. This requirement stems from the nature of Variable Whole Life insurance, which combines life insurance coverage with investment components, allowing policyholders to allocate their premiums to various investment options. Since these investment options are considered securities, agents must be registered with the Financial Industry Regulatory Authority (FINRA) to legally sell these products.

This registration ensures that the agent has the necessary knowledge and understanding of securities regulations and investment risks, safeguarding both the consumer and the integrity of the financial markets. Simply having a state insurance license or knowledge of insurance policies alone is insufficient because they do not cover the complexities involved with the investment aspects of Variable Whole Life insurance. Similarly, a property and casualty license pertains to different types of insurance and would not provide the necessary qualifications to sell these specific products.