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Sell life, property, casualty, health, automotive, or other types of insurance. May refer clients to independent brokers, work as independent broker, or be employed by an insurance company.
Select a State
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U.S.
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$33,070
($15.90)
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$68,730
($33.04)
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$60,440
($29.06)
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Annual figures are on top. Hourly figures are below in parentheses.
N/A = Information not available
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Employment of insurance sales agents is expected to grow about average for all occupations through 2016, and opportunities will be favorable for persons who are college graduates and who have sales ability, excellent interpersonal skills, and expertise in a wide range of insurance and financial services.
Employment change. Employment of insurance sales agents is expected to increase by 13 percent over the 2006-16 period, which is about as fast as average for all occupations. Future demand for insurance sales agents depends largely on the volume of sales of insurance and other financial products. Sales of health insurance and long-term-care insurance are expected to rise sharply as the population ages. In addition, a growing population will increase demand for insurance for automobiles, homes, and high-priced valuables and equipment. As new businesses emerge and existing firms expand their insurance coverage, sales of commercial insurance also should increase, including coverage such as product liability, workers' compensation, employee benefits, and pollution liability insurance.
Employment of agents will not keep up with the rising level of insurance sales, however. Many insurance carriers are trying to contain costs and are shedding their captive agents—those agents working directly for insurance carriers. Instead carriers are relying more on independent agents or direct marketing through the mail, by phone, or on the Internet.
In many ways, the Internet should not greatly threaten agents' jobs as was widely thought. The automation of policy and claims processing is allowing insurance agents to take on more clients. Most clients value their relationship with their agent and still prefer discussing their policies directly with their agents, rather than through a computer.
Insurance and investments are becoming more complex, and many people and businesses lack the time and expertise to buy insurance without the advice of an agent.
Job prospects. Multilingual agents should have good job prospects because they can serve a wider range of customers. Additionally, insurance language tends to be quite technical, so agents who have a firm understanding of relevant technical and legal terms will also be desirable to employers. Many beginning agents fail to earn enough from commissions to meet their income goals and eventually transfer to other careers. Many job openings are likely to result from the need to replace agents who leave the occupation or retire, as a large number of agents are expected to retire over the next decade.
Agents may face increased competition from traditional securities brokers and bankers as they begin to sell insurance policies. Insurance sales agents will need to expand the products and services they offer as consolidation increases among insurance companies, banks, and brokerage firms and as demands increase from clients for more comprehensive financial planning.
Independent agents who incorporate new technology into their existing businesses will remain competitive. Agents who use the Internet to market their products will reach a broader client base and expand their business. Agents who offer better customer service also will remain competitive. Carriers and agencies are increasingly using call centers in an effort to offer better service to customers because they provide greater access to clients' policies and more prompt services.
Most individuals and businesses consider insurance a necessity, regardless of economic conditions, so agents are not likely to face unemployment because of a recession.
Insurance sales agents held about 436,000 jobs in 2006. Almost 50 percent of insurance sales agents work for insurance agencies and brokerages. About 23 percent work directly for insurance carriers. Although most insurance agents specialize in life and health insurance or property and casualty insurance, a growing number of "multiline" agents sell all lines of insurance. A small number of agents work for banks and securities brokerages as a result of the increasing integration of the finance and insurance industries. Approximately 26 percent of insurance sales agents are self employed.
Insurance sales agents are employed throughout the country, but most work in or near large urban centers. Some are employed in the headquarters of insurance companies, but the majority work out of local offices or independent agencies.
Job Zone 3 - Medium preparation
Overall Experience
Previous work-related skill, knowledge, or experience is required for these occupations. For example, an electrician must have gone through an apprenticeship program or several years of vocational training to perform the job.
Education
Most occupations in this zone require training in vocational schools, related job experience, or an associate's degree. Some may require a bachelor's degree.
Job Training
Employees in these occupations usually need one or two years of training, including both on-the-job experience and informal training with experienced workers.
Examples
Dental assistants, electricians, fish and game wardens, legal secretaries, personnel recruiters and recreational workers.
These occupations often involve using communication and organization skills to manage and train others.
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Occupational information about insurance sales agents is available from the home office of many insurance companies. Information on State licensing requirements may be obtained from the department of insurance at any State capital.
For information about insurance sales careers and training, contact:
- Independent Insurance Agents and Brokers of America, 127 S. Peyton St., Alexandria, VA 22314. Internet: http://www.iiaba.org
- Insurance Vocational Education Student Training (InVEST), 127 S. Peyton St., Alexandria, VA 22314. Internet: http://www.investprogram.org
- National Association of Professional Insurance Agents, 400 N. Washington Street, Alexandria, VA 22314. Internet: http://www.pianet.org
For information about health insurance sales careers, contact:
- National Association of Health Underwriters, 2000 N. 14th St., Suite 450, Arlington, VA 22201. Internet: http://www.nahu.org
For general information on the property and casualty field, contact:
- Insurance Information Institute, 110 William St., New York, NY 10038. Internet: http://www.iii.org
For information about professional designation programs, contact:
- The American Institute for Chartered Property and Casualty Underwriters/Insurance Institute of America, 720 Providence Rd., P.O. Box 3016, Malvern, PA 19355-0716. Internet: http://www.aicpcu.org
- The American College, 270 Bryn Mawr Ave., Bryn Mawr, PA 19010-2195. Internet: http://www.theamericancollege.edu
Sources: O*Net data version 12.0
Occupational Outlook Handbook
Department of Labor
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