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How much an insurance agent can earn?

Date: 21 Feb 2016    Group: Finance and Investments    Category: Insurance   

We see lot of insurance agents around us. They somehow convince us to take an insurance policy. Since they are not full time employees of any company, can an insurance agent work for two different companies? How much an insurance agent earns in India?
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Author: [Anonymous]    22 Feb 2016      Member Level: Diamond     Points : 2  (Rs 2)    Voting Score: 0

Insurance agents are like self employed people. They earn depending upon the hard work they do. More they work, more they get.

They are not permanent employees who get their fixed salary at the end of the month. Agents are paid on commission basis.

The agents from government insurance firms are usually not allowed to work for other insurance firms but I have seen some agents who are working for 2-3 private insurance companies simultaneously.
They keep the documents for each company and explain it to customer. Finally customer accept any of the plan agent has explained.

Author: Mahesh    22 Feb 2016      Member Level: Gold     Points : 2  (Rs 2)    Voting Score: 0

Insurance agents are affiliates of the institution so they don;t get any sort of salary. They get the commission on the basis of the policies they sell. So you have to work on the selling of the policies. The more they sell the more percentage they are going to get. Also after certain number of sold policies the company offers them flat discount rate on further additional number of policies being taken. In order for them to earn some decent commission they have to make regular sales. Also they have regularly sale policies from different companies. This way they can make some decent money and also the income remain consistent. Earning is minimum 2000 for few policies sold to 60K for hundred or so policies sold and kept consistent.

Author: Kailash Kumar    22 Feb 2016      Member Level: Platinum     Points : 2  (Rs 2)    Voting Score: 0

The website of the Insurance Regulatory & Development Authority of India ( is a rich resource of insurance sector information including training opportunities. An insurance agent can earn depending upon efforts put in by him particularly during the initial years after acquiring training from a reputed institution. The first step is to carry out extensive research on internet resources silently on his own and prepare notes of the same for future reference. At least 12 hours should be devoted daily for doing hard work in this direction during the first one or two years. Also initially there may not be any or nil income ,but it will pick up in due course. Patience is required for succeeding in this sector.

Author: Venkiteswaran.    23 Feb 2016      Member Level: Diamond     Points : 2  (Rs 2)    Voting Score: 0

The earnings of an insurance agent depends on the policies sold, the category of those policies and whether they are first premium or renewal premia. Generally the first premium earns more commission. The rate of commission also varies with the different products.

A successful agent is one who can communicate clearly without hiding any details about the policy, compare it with competitor's product and convince the client into buying his product. The agent should also clearly evaluate what is the apt insurance product his prospective client needs. The agent should also give good after sales service to the clients and be in communication with them so that there can be some cross selling also.

Once a good quantum of policies are sold (especially I the life insurance sector) and close monitoring done to se the periodical premia are remitted by the policyholder, then the agents gets almost perennial income just by fulfilling the minimum target each year.

In addition to this there are many internal facilities like prizes, non-cash facilities and incentives, concessional loans etc depending on the business made by them.

Author: Sheo Shankar Jha    24 Feb 2016      Member Level: Gold     Points : 2  (Rs 2)    Voting Score: 0

The earning of an agent depends upon how effectively they can communicate before the buyers and more there is clarity in their approach, more is one's earning - potential.
In the initial years, the earning may not be to a satisfactory level, but certainly with the passage of time and having one's positive skills, their earnings would pick up. They take up policies of different companies and offer to the clients depending upon the suitability of such policies.
However, in the past we have seen the agents not revealing the details of the policies and even the customers on those days were not concious enough, but now the customers are concious enough of their rights and such concealments would diminish both earnings and rapports.
Commission earned by the agents depend upon no of policies and nature of the policies offered by the companies. Maximum earning from a policy is possible in the initial years and later commission drops with the progress of time and hence, they need to expand their business by having regular interaction with the customers.

Author: Purna Prasad Sharma    24 Feb 2016      Member Level: Silver     Points : 1  (Rs 1)    Voting Score: 0

An insurance agent's income vary from agent to agent and all its depends on agent , how hard work he or she can do.The income can be unlimited based on his ability to convince to sale policy to its customer.And from the same policy he / she use to get commission till to the date of last premium of the policy just need is that he/she should have to give a minimum numbers of policy on monthly basis for the survival of previous policy's commission and on selling of every further policy the same will be repeated.
As per IRDA an agent can't act for two or more companies simultaneously.

Author: Pravat Kumar Das    12 Mar 2016      Member Level: Gold     Points : 2  (Rs 2)    Voting Score: 0

Insurance policy sold by various method.
1- Insurance Agent.
2- Direct from company employee
3- Channel sales ( like banks, or other private organisation).

Insurance agents are purely self employed, they are not allowed to work for more than 1 insurance company ( 1 life insurance, 1 General insurance company).

As after getting passed from IRDA your IRDA certificate will be linked with any particular life insurance company.
And about the earning part it is purely depend upon the skill, communication, hard work, and contacts of the agent. he might earn Rs 2,000 or 2 lakh or more money.

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