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Insurance agents, also known as insurance brokers, help insurance companies generate new business. They contact potential customers via a variety of different methods, and sell them insurance products.
An agent will have good knowledge of the different types of insurance available, and help the customer decide on the best insurance to meet their needs. This involves introducing the products to the customer, explaining how they work, and feeding back the information to the insurance company.
Some insurance agents work for a single, large insurance company. But it’s normal practice for agents to work for several smaller companies, giving them a larger selection of products to offer.
Insurance Agent Salary
Using the statistics from the Bureau of Labor Statistics. the average insurance agent’s salary is $47,860. This is the median wage, calculated by taking the halfway point between the amount half the workers earn more than, and half earn less than.
Obviously this would vary a lot from State to State, but for the purpose of a median across
the whole of the US, this works well. Insurance starting salary also varies across different geographic locations, depending on experience, qualifications and more.
The lowest 10% however, earns less than $25,710 a year, while the top 10% earns $119,970. However, the question asking, how much do insurance agents make? Is still not straightforward, because they are often commissions and bonuses depending on the volume of sales.
Commissions are the most common forms of financial compensation on top of a salary. This is an incentive in place to help persuade agents to sell the policies of particular insurance companies that pay well. The amount of commission paid will differ across different policies, packages, terms taken out, and more.
There are usually overall goals too that are awarded with a bonus. These serve as a big motivational incentive for agents to push harder to make a certain amount of sales. These factors usually allow agents to work their own preferred hours. Evenings, weekends, and other hours that people are usually not at work are best to arrange an appointment.