by Guest » Sat Mar 08, 2008 07:41 pm
Insurance agents can have quite a rewarding career. The commission that they earn from each policy they sell can be handsome, depending on the policy as well as the company they belong to. It is a job that requires a lot of hard work and success does not come easy. However, once you learn the ropes of the trade, there may be no limit to how much you can earn.
How much do life and health insurance agents earn?
- Life Insurance Agents: Commissions earned by agents selling life insurance can vary depending on the kind of policy sold. It may also vary from one insurer to another but in general, the insurance agent typical commissions would be around 30% - 50% in case of a term policy and 90% - 95% in whole life policy. This would be the earning in the first year. However, the earnings from premiums in the subsequent years would be much lower. The average earning then would be around 6% from whole life policies and 4% per year from term policies for as long as they last.
Some companies do not offer any fees. The only money their agent earns is from the commission he/she gets by selling a policy. Such agent may have a tendency to push a policy to the customers in order to earn more from the commissions. - Health Insurance Agents: Commissions paid on health insurance is almost 20% of the premiums for the first year and 5% for the subsequent years till the duration of the policy.
Some insurance companies may have flexible work policies while some may have very rigid ones. Not all insurance companies are like that, and if you are an independent agent, you need not be under the control of any company. However, independent insurance agent commission also centers on the number of products he/she can sell. Know more about how much insurance agents make.
Hello all,
I have decided to pursue a career as an independent ins. agent and am thinking of just focusing on health and life. I want to get to know all I can about these two lines of insurance and I am wondering if these two are a good choice to pursue as far as insurance agent commission goes. Can some one tell me what an average premium is for each of these policies and how this relates to my commission. How much do insurance agents make ? Thank you and I understand there are many variables but I am just talking about a ballpark figure. Say something like an auto policy 1000/yr and 15% new insurance agent commission, 10% renewal. TRhanks again.
I have decided to pursue a career as an independent ins. agent and am thinking of just focusing on health and life. I want to get to know all I can about these two lines of insurance and I am wondering if these two are a good choice to pursue as far as insurance agent commission goes. Can some one tell me what an average premium is for each of these policies and how this relates to my commission. How much do insurance agents make ? Thank you and I understand there are many variables but I am just talking about a ballpark figure. Say something like an auto policy 1000/yr and 15% new insurance agent commission, 10% renewal. TRhanks again.
Posted: Sun Nov 23, 2008 01:34 pm Post Subject:
actually it is quite tough to be full-timer in the long run for this insurance business. becoz you may find 'auto 'a easy deal being it a mandatory for state but what about life?you need to work hard on it.health is very easy to pitch. :lol:
Posted: Sun Oct 18, 2009 01:11 pm Post Subject: life, health vrs P &C
Sounds like none of you even own an agency. I actually own a rather large agency and sell all lines of insurance. Life and Health are good commissions for the short term as the renewals tend to be extreamly low. P & C is what really pays the bills. You need high renewals just to grow and keep the bills paid. In this economy life sales are way down and unless you represent the top health companies your health product probably won't be competitive at all. Starting out if you're not writting at least $3,000 a month in commission on the P & C side of things you won't be in business for more than 2 years.
Posted: Mon Oct 19, 2009 11:25 am Post Subject:
Starting out if you're not writting at least $3,000 a month in commission on the P & C side of things you won't be in business for more than 2 years.
It seems you're indicating that a guy who's not writing $3k a month has failed to understand the tit bits of selling P & C. It could also mean, a lesser motivation would be the cause to drive him out. Please explain it to us in a vivid way.
Posted: Sat Oct 24, 2009 12:06 am Post Subject: new broker
I am curious. I have "inherited" a insurance company with a very large affinity. Bringing a friend in to help direct the company how should they be compinsated ?
Posted: Sat Oct 24, 2009 08:43 am Post Subject:
I think it would be better if you'd break the compensation into fixed and variable components. you'd definitely need to see that the fixed element is good enough to help him sustain in that particular region. Apart from that you'd need to pay commissions upon achieving different levels of sales. Conduct market researches to know more about the earnings of your competitors in that particular field. This would probably give you an idea of the sales potential for your kind of business.
Posted: Fri Nov 06, 2009 10:11 pm Post Subject: help!
P&C - The base salary is 25,000 plus commission. Commission paid on new business is 25% and renewal is 15% - is this good?? how much can i expect to make on commission??
Posted: Tue Apr 06, 2010 04:38 pm Post Subject: Life insurance agent
I have an interview tomorrow with American income life for a buisness manager possition, ive been googleing all day too gain info on the subject of it and the income rates for the job and i havent found a thing, would that be commission or salary paid?
Posted: Fri Apr 09, 2010 08:01 pm Post Subject: auto/home policies
How many auto/home policies can an independent agent sell the first year realistically? and what would be the earnings on 850 dollar premium on average?
Posted: Fri Jun 25, 2010 09:56 am Post Subject:
I'm with AmeriPlan. Even though I'm personally not an Insurance Agent, I have a lot of them on my team.
They do really well because they already have prospects coming in and they just have one more service to offer them. I think it really works out great for them since if you are working with someone that will not quailify or simply can not afford the monthly premium you'd then be able to present AmeriPlan.
Being licensed and selling life/health insurance is very profitable...its also very expensive to purchase leads, continuing education, etc. Things that are very hard to maintain if you are just starting out, you don't make a profit initially. AmeriPlan is different considering the monthly maintenance fee and the marketing is very affordable.
AmeriPlan offers daily pay, weekly bonuses, monthly residual income, awesome and easily attainable commission plan, bonus builder overrides etc.
Just thought I would share that for those looking to add a product line to your exisiting portfolio and in turn increasing your income.
Much success to you all!
~TaVona
Posted: Fri Nov 12, 2010 06:52 am Post Subject: commission
the insurance agent that wants to hire me is offer me 8% commission for auto insurance and 8% for house, 20% for life.. and no commission when renewing.. is this a fair offer?
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