According to estimates, there are currently over 422,000 insurance brokers and agencies in the US.
Are you thinking of breaking into an insurance sales career and joining these ranks? If so, it’s essential that you scope out the market and determine whether it’s a smart career choice.
As it happens, selling insurance has a lot of advantages and offers some unique opportunities.
Don’t waste any more time. Instead, continue reading to find out why insurance sales are such a hot career choice.
Uncapped Income Potential
One of the most exciting advantages of a career in insurance sales is the uncapped earnings potential.
Unlike a lot of other professions, there isn’t an earnings ceiling if you choose an insurance sales career.
Because insurance sales income is commission-based, the more you sell the more you earn.
Insurance agents earn an average of $84,989 per year. However, this is just the average. If you become a top-performing agent, you can make far above this.
What’s more, final expense agents earn, even more, averaging over $106,000 a year.
If you have your sights set on becoming a top earner, here are some insurance sales career tips for increasing your income year-over-year:
- Get great sales and marketing training
- Invest in marketing
- Put your client’s needs above your own
- Be a life-long learner
Of course, there’s a lot more than just these pieces of insurance sales career advice. However, the big takeaway is that if you commit to constant improvement, you can continually grow your income and carve a very lucrative career in insurance sales.
One of the top concerns around branching off and being self-employed is income security.
It can be daunting to give up the safety of a steady paycheck. However, an insurance sales career is unique in that it offers a relatively high level of income security.
This is because most insurance products offer ongoing commissions. For instance, with life insurance products, you’ll be paid an upfront commission amount, as well as residual commissions, for the duration of the policy.
The more policies you sell, the more you can grow your residual commission streams. Over time this can build into a very attractive—and stable—source of passive income.
Another reason why there’s security in an insurance sales career is the growing demand for agents.
As the US population ages, more and more people need agents to help them select insurance and annuity policies. At the same time, large numbers of active insurance agents are reaching retirement age.
According to reports, the average age of insurance agents is 59 years old.
This is resulting in a talent gap in insurance sales.
The aging US population and insurance sales agent sector means that there will be lots of room for new agents in the future.
Not only can an insurance sales career offer high earning potential and security, but it allows for a lot of flexibility.
Statistics show 97% of professionals report that flexibility in their jobs would have a positive impact on their overall quality of life.
Are you craving the power to set your own schedule? Are you tired of having to stick to a pre-determined workday? Or maybe you need flexibility in your day for other responsibilities, such as children?
If so, an insurance sales career might be the perfect way to gain this. If you sell insurance as an independent agent, you can set your own hours.
You can decide whether you want to work regular hours, work in the evening, on weekends, etc. You can also choose how much you want to work and from where.
Of course, the more time you devote, the more sales you are likely to make. However, being able to dial your workload in to fit your lifestyle can be a great advantage.
What’s more, you may find that by working during off-hours you can meet more clients. A lot of insurance clients might find it more convenient to schedule meetings with you on weekends or after 5 pm.
The Opportunity to Be Your Own Boss
Do you work best under your own direction? Are you more effective without a boss or manager breathing down your shoulder?
If so, you’ll excel at a career in insurance sales.
As an independent agent, you can work in your own way, dictate your own schedule, and set your own times. You don’t have to report to anyone, and you don’t have to adhere to company rules, attend staff meetings, or get involved in office politics.
Instead, you can man your own show, set your own rules, and report to no one but yourself.
Low Barriers to Entry
Unlike a lot of other highly profitable careers, insurance sales have a low barrier to entry.
Although a degree in a related field, such as business or economics, can be useful, it isn’t required.
Different states have varying licensing requirements. However, to get started, all you’ll need is a high school certification. From here, you go on to take any state-required coursework and sit your state’s licensing exam.
State-required courses also don’t take long to complete. The exact length will depend on your state, but the average time is around 20 hours.
Once you have received your license, you’ll also need to get contracted with insurance carriers. Some carriers might require you to carry out an annual course on their products.
However, these courses aren’t lengthy, and they provide you with valuable insights into the products you’ll be selling.
Of course, if you want to kickstart your insurance sales career you should also take the time to learn sales and marketing techniques.
However, you can do a self-paced training program in your own time, in conjunction with your career in insurance sales.
You Can Start Part-Time
Another attractive advantage of an insurance sales career is you can start part-time.
Switching career paths can feel daunting, especially if you’re relying heavily on your current salary. If you can’t afford to take a risk or live on a varying income, you can always start selling insurance in your free time.
Once you have built up your sales numbers and commission streams, you can then look at transitioning to pursuing your insurance sales career full-time.
Being able to start selling insurance on the side allows you to dip your toes into the industry and see whether you like it.
A Challenging and Stimulating Career
Are you someone who thrives on challenges? Another of the advantages of an insurance sales career is it offers ongoing stimulation and challenges one to keep growing and learning.
If you bring your best to the table every day, you’ll make more sales and build more connections.
If you let it, a career in insurance sales will help you build skills in:
A career selling insurance will also help you hone a plethora of soft skills such as empathy, active listening, time management, and communication.
You Get to Meet People and Build Connections
A big part of being an insurance agent is meeting and communicating with clients. If you’re someone that thrives on interacting with others, an insurance sales career will give lots of scope for this.
Being able to meet people from all walks of life can be very interesting. It also allows you to build up a large network of contacts, something which is always valuable.
An Insurance Sales Career Allows You to Help People Make Savvy Financial Decisions
Last but not least, an insurance sales career gives you the opportunity to give back to your community.
Insurance is a valuable financial product for a lot of people to have. It can protect homes and livelihoods and keep people safe from financial disasters.
However, for insurance to really work, people need to choose the right plans. If you focus on the needs of your clients and make sure they pick appropriate plans for their needs, you’ll be helping them to make savvy financial decisions for their futures.
Besides this, you’ll also make more sales. Insurance agents that put their clients’ needs above their own are typically more successful.
This is because people can pick up on whether you’re really trying to help them or if you have an agenda.
Punting specific plans simply because they have higher premiums and commissions is not going to win your success down the road.
Therefore, one of the best pieces of insurance sales career advice is to always do what’s right for the client and go out of your way to help them make sound decisions.
Are You Considering a Career in Insurance Sales?
As you can see, an insurance sales career offers a host of advantages. Not only can it be highly lucrative, but it’s also stimulating and challenging, with low barriers to entry and the potential to start part-time.
Besides this, a career in insurance will also give you the opportunity to help others, build a network, and make connections.
The key to success? The right training and support.
At InsuranceSales101, we’re committed to giving new and established agents the resources and training they need to be highly successful.
If you’re ready to press go on your plans to create a career selling insurance, check out our training program today.