Insurance Agent: How to Become One?

There is a reason why so many people are switching their careers to be an insurance agent. It’s receiving great traction due to the potential and fruitful results offered by this field.

Insurance agents deal with a number of policies to protect their house, business, health, life, car, and several other important aspects.

The fees and salaries are received in the form of commission by insurance agents, adding in their profit as more clients come on board. 

If you have been considering this option of becoming an insurance agent for a while now, it is time for you to put it in action because of the growing opportunities. As people are getting more aware of being safe and preventing hazards, they are getting increasingly insured.

However, you need to possess a few important skills such as fluent conversational and communication power, persuasive nature and being competent with the figures.

How Can You Learn the Skills?

Learning the skills and work profile to become an insurance agent can be achieved either by taking a short course online for a certain number of hours or registering in a training center for a few weeks.

You don’t need any specific formal qualifications to enter this field, but it can surely increase your chances.

When you decide on becoming an agent, you have the option of spending around three to four years to gain a college degree or take a pre-licensing course for a few weeks. At times, gaining experience through references or a traineeship can also result in improved skills, making you a reliable agent. 

These steps are required to be followed to become a registered insurance agent:

Choosing the Sub Discipline

The first step you need to take is to choose the subcategory in the world of insurance. This is the type of insurance you will be selling for the rest of your life, so choose wisely. Formally known as ‘lines of authority’, the various insurances can be categorized as:

Personal lines such as life insurance, home insurance, car or motor insurance and health insurance, and

Commercial lines such as business insurance, which can have several policies to protect the property, fire, or general liability.

You are given the option of combining two or more lines of authority to increase your market presence. Insurance agents usually deal with similar lines of authority.

Getting your License

• Get Relevant Information

Depending on the country and state you reside in, you need to check the laws and requirements of being an insurance agent. The procedure and laws might also differ based on different kinds of insurance.

Talk to experienced insurance agents or contacts who have gained the license after taking a short course. Figure out how the license exam works and the relevant format that your state carries to be thoroughly prepared. Also, collect information on the differing types of exams based on various licenses.

• Take the Exam

Once you have taken the pre-licensing course and jotted down the insurance license exam requirements, it is time to take the major step, which is writing the exam and putting in all your learned skills to action. A few testing sites also ask for proof of training and certification before you can take the exam.

Some important factors need to be considered like gaining a non-resident insurance license upon moving to another state, depending on your location. 

• Receive your License

Passing the license exam will register you as an official insurance agent. Receiving a license in your line of authority is mandatory. If you haven’t appeared for the license exam and fail to hold a license, you could face legal action.

You need to apply your license documents and exam results to the relevant licensing department followed by a background check as proof. You will receive your license within a few weeks depending on your state’s bureaucracy speed.

Searching for a Company

You need to apply to suitable companies and gather chances of interviews to sell their products. It is not allowed to sell the products of any company until you are appointed by them. 

Building your Network

People will only buy your insurance policies when they know you exist in the first place. Marketing your agency and finding contacts will not only gather more clients but also establish your name in the market.

You can start by pitching in your policies among your family and close contacts, requesting to spread the word. And if you are doing a fantastic job, more people would automatically seek your services.

Becoming an insurance agent is a simple and wise career-changing decision. We highly recommend taking this route if you have been thinking about it.

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