Life Insurance Agent: Meaning, Job, Salary & How To Become One

5 minutes read

A life insurance agent specializes in selling contracts that pay the guaranteed sum to beneficiaries upon the insured’s passing.

To succeed as a life insurance agent, you need to deliver excellent customer service by keeping your current clientele and taking steps to grow your clientele through active marketing, social media, and other initiatives. A top-tier life insurance agent will ultimately analyze each customer’s needs to ensure that the appropriate products are suggested. Here are a few important things to remember.

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What is a Life Insurance Agent?

A life insurance agent is a professional who helps individuals and families to purchase the right insurance coverage for their needs. They may work for an insurance company and promote plans that are “carried” by that firm, or they may operate more independently and promote life insurance from a variety of providers.

When you speak with a life insurance agent, they will inquire about your life’s specifics and insurance goals. The life insurance agent must also give clients advice, act as a liaison between them and the insurance provider, and sell life insurance plans that pay out when the person who is insured dies.

What Is the Job of a Life Insurance Agent?

Life insurance agents are licensed people who sell life insurance. Life insurance agents have extensive knowledge of different policies, including term life, whole life, variable life, and universal life. They are knowledgeable about each product’s features and benefits and help clients choose the policy that fits their budget and provides protection for their loved ones in case something happens to them.

Life insurance agents often meet with prospective clients to discuss their financial situation as well as any potential risks they may face. By understanding clients’ needs, agents can then recommend specific policies that will provide adequate protection at an affordable cost. They can also explain the fine print of any policy so that customers understand exactly what they are signing up for before making a purchase decision.

Life Insurance Agent Salary

A LIFE Insurance Agent in the United States will earn, on average, $83,578 a year as of October 2022.

In case you need a quick pay estimator, that comes out to be $40.18 per hour. This is the same as $1,607 each week or $6,964 per month.

The majority of LIFE Insurance Agent salaries today range between $55,000 (25th percentile) and $100,000 (75th percentile), with top earners (90th percentile) in the United States getting $120,000 yearly, but witnessing annual wages as high as $152,000 and as low as $20,000 in the past. It is possible that there are numerous prospects for development and increased compensation based on skill level, region, and years of experience given the wide range of LIFE Insurance Agent’s typical pay (by as much as $45,000).

Becoming A Life Insurance Agent

It isn’t easy to enter or be successful in the retail life insurance market. The number of life insurance agents in the US in 2020, as reported by the Bureau of Labor Statistics (BLS), was 409,950. The scale of the life insurance market provides one agent for every 1,234 individuals, with the US population little over 332 million as of April 2020.

Although America’s need for life insurance can be met in this fiercely competitive environment, it might be challenging for a new agent who normally relies on sales commissions to succeed.

Life insurance salespeople have a high rate of burnout. More than 90% of new agents leave the first year after joining the industry. If you extend the rate for five years, it rises to more than 95%.

Life Insurance Agent Jobs

There are more than 2,074 positions available, but only a few will be discussed along with their salaries. Listed below are a few positions for life insurance agents:

Insurance Advisor, Life & Living Benefits – Remote

PolicyAdvisor
$40,000–$80,000 a year
Permanent +1
Weekend availability +3
In-person
Hiring multiple candidates
Ensure the accuracy of digital life insurance applications before sending them to the insurance provider (s). Passed the LLQP test or has a life insurance agent license (required). Full-time and permanent employment types.

Financial Advisor

Ontario
$25.96–$43.28 an hour
Full-time
Day shift
Hiring multiple candidates
Hiring Ongoing
Discounted premiums for vehicle and house insurance are exclusive. Flexible scheduling and a healthy work-life balance. Competitive pay, with starting salaries of 52 681 ($28.95/h) and 88 604 ($48.68/h).

P&C Insurance Agent – Remote

Peel Mutual Insurance
Permanent +1
8-hour shift +1
Responsive employer
Hiring multiple candidates
Hiring Ongoing
At least five (5) years of experience working as a producer or independent insurance agent who is in charge of acquiring and retaining clients. Integrated work and life and overall competitive compensation.

Remote Life Insurance Agent

Teix Financial
Remote in Vancouver, BC
$45,000–$90,000 a year
Permanent +1
8-hour shift +2
Responsive employer
Hiring multiple candidates
First-time buyer of life insurance. As an advisor, you’ll be our potential client’s first point of contact when they need life insurance information.

Life Insurance Agent – Remote

CAA Club
Hybrid remote in Thornhill, ON
Monday to Friday
Hybrid remote
Experience selling life and health insurance for 1-2 years is an advantage. Offer life and health insurance quotes and sales. Determine additional life, and offer suggestions.

Claims Adjudicator – Critical Illness – Remote

Manulife
Remote in Ontario
Full-time
One of the biggest life insurers in the country, John Hancock, offers a variety of financial products, such as investments, annuities, and life insurance, to more than 10 million Americans.

Life Insurance Agent Near Me

Here are some of the best life insurance brokers in your area, along with client testimonials for each:

Dan Ockey Financial Coaching

Top Pro Exceptional 5.0
Offers remote services
Ashley R. says, “Working with Dan is a tremendous pleasure. He makes the financial issues, which to me appear to be daunting, more manageable. I’m happy and confident that I’ve found the best spot to secure a better financial future.”

Mountaintop Wealth

Top Pro Exceptional 5.0
Offers remote services
Rakesha M. says, “Mountaintop Wealth’s Roland is incredible! He is extremely knowledgeable and goes above and above to support his clients’ financial success. He spends time learning about your retirement goals and helping you develop a strategy to reach them.”

Adam – National Association Of Retirement Services

Top Pro Exceptional 5.0
In high demand
Offers remote services
Cindi D. says, “Adam was a great assistance. We valued his openness and expertise. We never felt hurried, and his program is all-inclusive. We are excited to speak with him in the future!”

West Norman Financial

Top Pro Exceptional 5.0
Offers remote services
Paul A. says, “The financial and retirement advice Brian provided was excellent. He also helped family members manage their funds and stocks to maximize annual returns. Contacting Brian is highly advised.”

Denisse at Bay Street

Offers remote services
Ekenna A. says, “Spent time learning about my circumstance and guiding me through the beginning steps. She keeps the ball moving forward during our yearly check-ins – quite pleased with her services.”

Wrapping Up

A good insurance agent should be able to communicate and provide exceptional customer service because they frequently work closely with clients to identify their needs and discover the best plans. Additionally, they have to persuade customers to choose a policy that benefits the insurance provider as well as themselves by using their negotiating skills. Insurance agents must also possess excellent organizational skills to maintain and handle clients’ policies and personal information efficiently.

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