Is insurance sales difficult? (2024)

Is insurance sales difficult?

A sales career in health insurance (or virtually any industry) can be challenging. Clients are not always easy to deal with; some may view your role negatively. Rejection is a routine part of the job. The burnout rate for first-year insurance agents is high; according to some sources, it tops 90%.

How hard is it to be successful in insurance sales?

Insurance sales jobs are highly stressful with little pay guarantee and is an industry with a high quit rate. To be successful in the industry, new agents should understand the skills and attributes that are common among top producers.

Is selling insurance hard to learn?

Selling insurance might seem challenging at first, but with an in-depth understanding of the landscape, effective marketing strategies, and a repertoire of essential skills, it's a mission that's entirely achievable. For more information on successful selling, have a look at our How to Sell Insurance article.

Is insurance the hardest thing to sell?

Life insurance is a very difficult product to sell. Simply getting your prospect to acknowledge and discuss the fact they are going to die is a hard first step. When and if you clear that hurdle, your next task is creating urgency so they buy right away.

Is insurance sales a stressful job?

CareerCast ranked being an insurance agent 155^th out of 200 on the worst jobs list. They rank the stress as “average,” whatever that means. A good income makes up for a lot of stress for many people, so that helps.

Why I quit being an insurance agent?

Money typically plays a role, as does helping people. But it's very common for agents who just focus on money to fail or decide to quit. The best insurance agents will want to help their clients. Clients can tell the difference and are more likely to stick with an agent and agency that prioritizes their best interests.

Do you actually make money selling insurance?

For auto and home policies, captive insurance agents earn about 5% to 10% of the entire premiums paid for the first year, while independent agents receive about 15%. Commission rates for renewals range between 2% and 15%, averaging around 2% to 5%, regardless of the type of agent.

Is selling insurance a good side hustle?

Becoming an insurance agent can be a great side hustle for those looking to earn extra income while helping others and growing personally. With a bit of training and networking, you can start building your client base and earning commissions in no time.

Why not to sell insurance?

Unpredictable Income

While the insurance industry is stable and the income is lucrative, it can sometimes be hard to plan ahead and know where your next paycheck will come from, since your income may be solely based on sales made. To succeed in this field, you must be a go-getter.

What is the hardest part of being an insurance agent?

Dealing with rejection is one of the most complex challenges of being an insurance agent. Remember that not every prospect will say yes, but you should keep going. Stay positive and focus on the prospects that are interested in what you have to offer.

What type of insurance sales makes the most money?

While there are many kinds of insurance (ranging from auto insurance to health insurance), the most lucrative career in the insurance field is for those selling life insurance.

How fast can I make money selling insurance?

Most businesses don't make any profit in their first year of operating. It could take anywhere from 18 to 24 months for your insurance sales to actually provide profit. Don't feel discouraged. Every small business owner has to clear this hurdle.

What is the best insurance product to sell?

If you're wondering what types of insurance are the most profitable, life insurance is a good pick. Life insurance offers some of the highest commissions in the business. Health insurance products offer around 7 - 22% in commissions. Auto insurance yields agents roughly 10% to 15% in commissions.

How many insurance agents fail?

That is a 90% failure rate for new agents.

Most independent marketing organizations will train insurance agents on all the products they want them to sell.

Is insurance a stable career?

Insurance is widely considered an “evergreen career,” one which typically offers excellent job security. Bureau of Labor Statistics research predicts that positions for insurance professionals will likely grow by 6% from 2021 to 2031, with approximately 32,900 new jobs per year.

Is insurance a good career for introverts?

As an insurance agent, you may think that being an introvert is a disadvantage when it comes to selling insurance. However, being introverted can be an advantage in this industry, as introverts often excel at building deep relationships and listening to the needs of clients.

What percentage of insurance agents quit?

The burnout rate for life insurance sales agents is high. More than 90% of new agents quit the business within the first year. The rate increases to greater than 95% when extended to five years.

What is the disadvantages of being an insurance agent?

Cons of working in insurance sales

For some people, the thought of earning commissions is appealing. For others, it can cause stress and worry about their future financial situation. New insurance agents often work long hours to build and strengthen relationships and get their names out in the industry.

Why do most life insurance agents fail?

The most commonly cited reason insurance agents fail is that they fail to listen to their customers and take the time to find the best product to suit their needs. Agents who bring the right solutions to customers build trust, and that helps them build a book of loyal customers.

How do I succeed in insurance sales?

How do I succeed in selling insurance?

How do people who sell insurance make so much money?

Insurance agents usually make money through commissions, with the commission amount often depending on the type and number of insurance policies they have sold and whether these policies are new or renewals.

Can I become a millionaire selling insurance?

But like any other job, it takes time to be good at what you do and attain such income levels. Top agents earn anywhere between $100,000 to one million dollars. Others make more than that, so yes, it's very much possible. Still, it depends on your commitment, strategies, the type of products you sell, and patience.

What is the best life insurance company to work for?

How does selling life insurance work?

In return for their help, you pay your broker a sales commission when you sell your policy. A person or company that buys other people's life insurance policies. Providers pay cash for your policy and continue paying premiums as the new owner. In exchange, providers get the death benefit when you die.