What Type of
Insurance Agent
Do You Want to Be?
Maybe you’re unsure of the type of insurance agent you want to be. Maybe you’re interested in selling multiple types of insurance. Or maybe you know exactly what field you want to enter and are ready to get started! Regardless of what type of insurance you want to sell, it’s important to know the steps involved. Read on for specifics on how to become an independent insurance agent in any popular field.
Here’s what you’ll learn.
What’s the Steps to getting an insurance license
The Different Types pf Insurance Agents to Become
Continuing education is also a requirement
How to sign up for a Big “I” membership in your state?
Understanding the types of insurance.
In most states, if you want to sell life, car, home, business or commercial vehicle insurance, the process is the same, although the requirements may vary depending on the state you reside in. A college degree isn’t usually required; you only need a high school diploma.
- Complete an insurance pre-licensing course, which typically can be done online
- Pass the insurance exam
- Apply for the insurance license
- Get fingerprinted and complete a background check
- Maintain your insurance license by satisfying continuing education requirements
How to become…
More than ever, people need assistance in planning for life’s unexpected events. Life insurance agents can help them achieve peace of mind and financial security. Independent insurance agents offer a choice of life insurance policies from a number of insurance companies.
In most states, after taking the pre-licensing course, you’ll also need to pass a licensing exam. You’ll need to complete an application for a license in your state by going to the National Insurance Producer Registry (NIPR) website. You’ll also need to pass a background check and be fingerprinted as part of the application process.
In almost every state, vehicle owners are required to purchase auto insurance that meets the minimum policy limits set by their state of residence. This means there is a large segment of the population you can sell car insurance to, in addition to other types of insurance.
Car insurance agents can earn 12% to 20% in commissions for each policy they sell, and the commission is paid each time the policy renews. Independent insurance agents work with a variety of insurance companies that meet customer needs based on driving record, type of car and budget.
Be sure to read up on your state’s specific guidelines for pre-licensing courses. Take the licensing exam and apply for your license through the NIPR, pay the associated fees, complete the background check, and get fingerprinted.
What does it Take to be an Independent Insurance Agent?
Commercial vs Business agents.
Businesses typically need commercial vehicle insurance, whether it’s to make deliveries, transport goods or provide their employees with a company car. This is an important market for insurance agents. Businesses need insurance to operate. Because independent insurance agents represent a variety of insurance companies, they can tailor a business insurance policy to their client’s specific needs.
To become a commercial vehicle insurance agent, you’ll need to check your state’s specific guidelines to find out how many hours of education are required before you can apply for a license. An easy way to find these are through the National Association of Insurance Commissioners (NAIC) website, which can link you to each individual state’s department of insurance. After you satisfy your educational requirements, you’ll have to pass a licensing test, pay your state’s application fee, do a background check and get fingerprinted.
Another name for business insurance is commercial insurance. To become a commercial or business insurance agent, you’ll need to have a high school diploma. Then, it’s important to check the NAIC website to find out your state’s educational requirements and the application fee amount. You’ll need to pass the licensing exam, pay the application fee, do a background check and get fingerprinted.
How to become a home insurance agent.
Virtually everyone, whether they own a home, townhome or condo – or rent an apartment – should have an insurance policy, also known as homeowners insurance or renters insurance. Since independent insurance agents represent a variety of insurance companies, they are well suited to meet the needs of homeowners and renters.
Becoming a home insurance agent is very similar to becoming an agent in other types of personal lines coverage, and in fact, most home insurance agets sell other personal insurance too.
- Check your state’s educational requirements
- Fill out your state’s online application form
- Pay the license application fee
- Pass the state licensing exam, which is typically required
- Get a background check and get fingerprinted
- Continuing education also a requirement
- Start selling insurance with your new license!
What is the Big “I”?
The Big “I” is a national trade insurance federation. It consists of more than 50 independent state associations as well as the national association. Their mission is to provide support for independent agents and brokers by offering membership benefits and resources such educational tools, informative publications, networking, and more.
These associations also serve as advocates for independent insurance agents by working with insurance companies, state insurance departments, the federal government, and other stakeholders to maintain a stable and viable marketplace. Through the collective efforts of the Big “I,” independent agencies are better equipped to thrive.
What are the benefits of a Big “I” membership?
The Big “I” provides many benefits for those interested in becoming an insurance agent, including:
A Big “I” membership provides access to more than 30 top-tier insurance markets, including commercial auto, homeowners, flood and specialty types of insurance companies. This benefit comes with no extra fees.
Big “I” members receive a monthly copy of this magazine and weekly digital articles, including market trends and analysis to help brokers succeed.
Assistance with hiring: Big “I” membership provides hiring tools, and it provides access to interview resources and job descriptions to help your new agency hire top talent for your team.
The Big “I” Virtual University provides agents and brokers with a huge research library on numerous subjects, including certificates of insurance, commercial lines and personal lines. It also has experts standing by to answer tough coverage questions.
Periodically, the Big “I” Office of General Counsel reviews and provides observations of key provisions of insurance company agent and broker agreements.
Being independent doesn’t mean going alone. Trusted Choice, the recognizable consumer brand from the Big “I,” provides a host of tools, with a special emphasis on digital marketing and branding. You don’t give up your firm’s identity; instead, you co-brand your firm with Trusted Choice to explain to your customers what is different about your firm.
Big “I” member agencies appear on the largest directory of independent agencies available to consumers. TrustedChoice.com has driven more than 30 million insurance shoppers to independent agents over the last few years.
How to sign up for a Big “I” membership in your state.
Signing up for a Big “I” membership in your state is easy. Just fill out the online form to get started. Member dues vary by state, firm size and revenue. If you have questions, the Big “I” is standing by to answer them and assist you in every way possible.
