Best Ways to Start a Career as a General Insurance Agent
Thanks to increased internet penetration and greater financial awareness among individuals, demand for general insurance plans has risen significantly. As a result, the need for general insurance agents is also increasing in tandem, creating lucrative career prospects.
If you are wondering how to become an insurance agent, be aware of the process, eligibility requirements, and associated roles and responsibilities. This guide helps you take that initial step towards a fulfilling, rewarding career in insurance.
How to Become a Successful General Insurance Agent?
To become a POSP insurance agent, you should fulfil specific educational and professional requirements specified by the IRDAI (Insurance Regulatory and Development Authority of India) and acquire the necessary skills.
Follow this step-by-step guide on how to get started:
Educational Qualification
First, you would have passed at least your Class X or a similar examination from an accredited institution. Second, you should be at least 18 years of age. This is a basic requirement for eligibility to join the insurance sector as an agent.
Mandatory Training
Candidates must attend compulsory training courses totalling 15-25 hours at an IRDAI-approved institute. This training provides the knowledge required to sell and manage insurance products effectively. Passing the training is mandatory to qualify for the examination.
Examinations
For a POSP (Point of Sales Person) agent, the insurer takes the test online, assessing your product and selling skills. The insurance POSP application process involves passing this online exam and fulfilling other registration requirements as specified by the insurer.
On the other hand, to be a licensed IRDAI agent, you have to undergo an on-campus examination conducted by the IRDAI, which will test your knowledge of insurance policies, laws, and regulations.
Developing Professional Skills
To succeed in this career, you need to develop strong professional skills by gaining a deep understanding of insurance products such as motor, home, and health insurance. Besides, you need strong communication skills and sales and negotiation expertise.
Having the capability to own an insurance brokerage or agency is also imperative.
Enhancing Personal Skills
To be a successful general insurance agent, you must develop your interpersonal and customer service skills. Excellent customer service builds trust, leading to long-term business.
By meeting the IRDAI’s educational and training needs and acquiring the needed skills, you can set your own path to becoming a successful general insurance agent.
Eligibility Criteria to Become an Insurance Agent
To become a POSP insurance agent online, you must meet the following requirements:
- You must be 18 years old.
- You need to have an education till at least Class 10.
- You should have a valid Aadhaar Card and PAN Card.
- You need to undergo a required 15-hour training program as mandated by IRDAI.
Roles and Responsibilities of a General Insurance Agent
A general insurance agent plays a key role in helping customers get the appropriate insurance coverage while building enduring relationships. Their mission is to serve the diverse needs of customers through reliable service, expert knowledge, and ongoing support throughout the policy life.
If you want to become a successful general insurance agent, check out their roles and responsibilities below:
Prospecting and Business Development
General insurance agents continually seek out new clients and establish consistent customer loyalty. By using sound sales techniques, they seek to expand their customer base and grow their insurance portfolios, thus ensuring they fulfil the market demand.
Underwriting and Contract Management
They review customer requirements and suggest the most appropriate insurance policies. General insurance agents also oversee contracts, ensuring they continue to be effective during their tenure. Additionally, they address issues faced by the policyholders and facilitate required alterations or terminations of the plan.
Management of Claims
When customers make claims, the agent supports them by walking them through the process of making declarations and following up. They also make sure that the claims have been managed judiciously.
Advice and Customer Relations
General insurance agents also offer professional advice on insurance products that best suit their customers. They ensure good customer relationships by providing excellent after-sales service and always being available to respond to any questions or issues.
Career Prospects of Becoming a General Insurance Agent
A general insurance agent career provides opportunities for growth, through which one can move and specialise in other areas of the business. With proper experience and skills, agents can achieve high career growth. These include:
- Progression to Management: Senior agents with great performance records are allowed to transition into management levels in insurance firms, managing teams and operations.
- Opportunities in Brokerage Firms: Agents can look for opportunities within insurance brokerage firms or start their own independent brokerage firms, maintaining their own client portfolios.
- Asset Management Consultant: With additional knowledge, agents can pursue asset management consulting or become specialists in their fields.
As you now know how to become a general insurance agent, you can take the first step towards this developing field. This profession offers complete freedom of working hours and a stable income flow, with ample growth prospects for higher posts and even setting up your own insurance brokerage firm. Thus, people with a knack for sales and strong communication skills can consider becoming general insurance agents.
