Embarking on a career in the insurance industry as an insurance agent presents an attractive prospect for both newcomers and seasoned professionals.
This career path offers flexibility and a diverse array of intriguing clients, depending on the chosen specialization. The requirements to become an insurance agent vary from insurer to insurer. Today’s blog will discuss mainly the basic process of how to become an insurance in India.
If you are ready to jump into the world of insurance sales, consider these steps to becoming an insurance agent.
1. Identify the Insurance Company
The first and foremost step to becoming an insurance agent in India is to identify the insurance company. Do detailed research about them, their offerings, where they are situated, credibility, etc. If you are planning to start your career in the insurance sector, join PBPartners the leading PoSP platform in India. Work like a boss and grow exponentially. Partner with us and become a part of the family at PBPartners.
2. Decide what kind of insurance agent you want to become
Captive Insurance Agent
A captive agent is an individual exclusively affiliated with a single company, usually a prominent national insurance provider like a LIC insurance agent or National Insurance Agent. As a stipulation, these agents are not allowed to sell insurance policies for any competing insurance provider.
PoSP (Point of Sales in Insurance)
A PoS insurance agent/ PoS advisor is someone who works with more than one insurance company. The agent provides clients with policy quotes from multiple companies to find the best policies and prices.
Become a PoSP insurance agent have greater flexibility in their product offerings but receives less training and support from the insurance carriers they work with.
Agents must also build their brand in the markets they work in, rather than relying on marketing support from well-known insurers, which can make the path to becoming an independent insurance agent more challenging.
Key benefits of becoming a PoSP insurance agent
- Start earning at an early age. Many companies recruit agents of age between 18 to 55 years.
- You are your boss
- Flexible work timings
- No investment required
- Build a stable income and earn as much as you wish to
- Make a difference in people’s lives
- Win rewards and recognition
3. Check the eligibility Criteria
Another step on how to become an insurance agent in India is meeting the eligibility criteria.
- You should be at least 18 years old.
- You need to have completed at least 10th standard education. Some companies may prefer higher educational qualifications.
4. Complete your training
Upon meeting the eligibility criteria, the next step is to undergo the mandatory basic training set by the IRDAI, which is available in both online and offline formats. This training generally spans 15 hours. Following the successful conclusion of the training, the applicant will receive a certification as an insurance agent.
5. Appear for the exam
Once the training is complete, the applicant must sit through a pre-licensing exam to qualify for the insurance agent training. The format of this exam is objective. One is required to score a minimum of 17 out of 50 marks to qualify as an insurance agent.
6. After qualifying for the exam, get the license
Upon successful completion of the training and examination, and after the company’s approval, you will get an insurance agent license from IRDAI.
7. Start Selling
As you become a Licensed Certified insurance agent, you can start selling. This is not the end; this is just the start, to become a successful insurance agent, always stay updated on industry trends, product changes, and regulatory updates through continuous learning and professional development programs.
Who can become an Insurance Agent in India?
- College Students: College students can become insurance agents in India, provided they meet the eligibility criteria. Many insurance companies welcome students who are at least 18 years old and have completed their 10th-standard education. This provides students with an opportunity to gain practical experience, earn an income, and build valuable skills while pursuing their education.
- Homemakers: Homemakers, with a keen interest in the insurance industry, can become insurance agents as well. This role offers flexibility, allowing homemakers to balance their family responsibilities while engaging in a fulfilling and financially rewarding career. It can be a way for homemakers to contribute to the household income while managing their time effectively.
- Part-Time Role: One can take the role of an insurance agent in India on a part-time basis by individuals with other professional commitments. This is particularly appealing for those who are looking for some passive income. It provides an avenue to diversify income streams and explore a career in the insurance sector without making a full-time commitment.
- Businesspersons: Businesspersons, whether running their enterprises or involved in other business ventures, can become insurance agents to expand their service offerings. Insurance sales complement entrepreneurial skills and allow businesspersons to provide comprehensive solutions to their clients.
- Retired Professionals: Retired professionals from various fields can transition into becoming insurance agents in India. This allows them to stay active, continue learning, and utilize their professional networks. Many retirees find the role of an insurance agent fulfilling as it provides an opportunity to share their expertise, maintain social connections, and earn supplemental income during retirement.
Bottom Line
Remember that the specifics may vary, and it is essential to check with the IRDAI and the insurance company you are interested in for the most accurate and up-to-date information. Additionally, some companies may have additional requirements or steps in their onboarding process for new insurance agents.
Gain a thorough understanding of the insurance products you will be selling. Develop strong communication and sales skills helping you to effectively interact with potential clients.
Master the path to becoming an insurance agent with our ultimate guide. Discover steps, requirements, and strategies for success in the industry.
FAQs
When I can start selling insurance?
As soon as you have registered with us, you may begin your training for the POSP exam. On taking and passing the exam, you will receive a certificate. You are then ready to start selling insurance as a POSP agent.
Is it compulsory to undergo any training to become certified as a POS person?
Yes, you will have to complete the training to become a POSP. It will include topics ranging from basics of insurance, policy types, process for issuance and claims, rules, etc.
How can I keep enhancing my knowledge after completing the POSP certification?
Become a PoSP with PBPartners, and offer extensive training programs to our PoSP after certification also. We often hold the Pathshala events to enhance your PoSP insurance knowledge and improve your sales and servicing skills.
How long does it take to become an insurance agent in India?
The training typically takes two to three days to complete. After finishing the training and passing the IRDAI exam, you can proceed with the application process.
Is there a background check during the application process for becoming an Insurance Agent in India?
Yes, some insurance companies may conduct a background check as part of the application process.
Can I sell policies for more than one insurance company?
It depends on whether you choose to be a captive agent, representing only one company, or an independent agent, allowing you to work with multiple companies. Suggest you become a PoS advisor, if you are interested in selling insurance policies of more than one insurance company.
