Application Review And License
After you have submitted all of your required documents, taken your pre-license education course, passed your state insurance license exam, and your background check has been completed, your states insurance authority will review your application.
This can take anywhere from a few days to a few weeks. If your processing authority has questions, they will follow up with you.
Once your application has been approved, you will receive notification and a copy of your official insurance license. Print this for your records, as well as to have available for potential clients.
You should always be able to show your state insurance license if asked. When applying for a new job within the insurance industry, your employer will ask for your license number and National Producer Number .
Tip:
Can You Sell Your Life Insurance Policy
Yes, you can sell your life insurance policy by obtaining a life settlement. The process of obtaining a life settlement involves selling a life insurance policy to a third-party buyer for a cash payout that is more than the policys cash surrender value but less than the total face value of the policy.
Another type of settlement that follows a very similar process is known as a viatical settlement. While similar to a life settlement, a viatical settlement is the process of selling a life insurance policy to a third-party buyer where the insured has a chronic or terminal illness.
While the viatical settlement process is mostly the same as a life settlement, the tax implications and state regulations differ drastically.
Sell Your Life Insurance Policy
Your life insurance policy is a financial asset And it can be sold for cash!
Our mission is to make the process of selling your policy as easy and fast as possible. Thats why weve developed a simple process aimed at getting you cash faster than you can sing 877-SELL-EASY!
$450,000
$85,000
$225,000
Insureds age: 77 & 73
You May Like: Does Home Insurance Cover Plumbing
Tip #1: Thank Your Clients For Their Time
Your clientâs time is valuable, and you should show your appreciation that they have agreed to hear your sales presentation. Be respectful of the scheduled time allotment for your presentation and donât go over it.
Acknowledging that you value the clientâs time will go a long way toward building trust in your professional relationship with them. A small token of appreciation, such as a hand-written thank you card, is a personal touch that will let prospective clients know you value their time.
Bring Up Life Insurance In Every Conversation
- The strategy at a glance:
- Develop the habit of mentioning life insurance to every customer and prospect and encourage staff members to work life insurance into every conversation
Don’t Miss: Does Progressive Offer Renters Insurance
Why Would I Want To Sell My Life Insurance
Life insurance is a great financial tool for protecting your family. But as you grow older and those needs change, it may not make sense to maintain your policy any longer. Rather than lapsing or surrendering it back to the carrier, you can sell it for cold hard cash. You should consider selling your policy if . . .
You don’t need it anymore.
Your kids are grown and financially independent, youve outlived your beneficiary, youve sold your home or business . . . whatever the reason, you can sell your policy.
You can’t afford it any longer.
Selling your policy means you get a lump-sum cash payment and no longer have to pay premiums. Its a win-win!
You need cash more than coverage.
Unexpected medical expenses, youd rather spend your money on experiences, you need to move into assisted living . . . the reasons are vast.
How To Sell Your Life Insurance Policy: The Process
Once you know if you qualify, the next steps usually will look something like this:
1. Detailed health questionnaire
If the basic qualifying factors are met, youll complete a detailed health questionnaire that provides a more in-depth look at the insureds health.
2. Authorization
The insured and the policyowner will need to authorize the life settlement provider to access medical records and contact the insurance company on the policyowners behalf.
3. Insurance Policy Review
Youll need to provide a copy of the policy contract and a premium illustration. These documents will provide more insight into the specifics of your policy and can be acquired from the insurance company if you dont have copies available.
4. Underwriting
This is the process of evaluating all the specifics of the policy and medical records to help determine value and calculate an approximate life expectancy for the insured.
5. Offer
Once the life settlement provider has all the necessary information and would like to proceed with making an offer, your dedicated representative will present the specifics of the offer and explain next steps. You can accept the full cash offer or opt for an alternative such as a Retained Death Benefit where you can receive a smaller cash payment while also keeping a portion of your policys benefits with no future premium obligations.
6. Closing
Are you eligible to sell your life insurance policy?
Read Also: Cheap And Best Car Insurance
Get To Know The Process
Selling your life insurance policy is somewhat complicated, so before you get knee-deep in the process, it helps to have a solid understanding of how it works and what to expect. Make sure you know what type of policy you have, how much coverage you have and how much cash value is in the account. Also look into the rules and regulations for selling life insurance policies in your state.
Record Sales Calls To Improve Techniques
In order to sell insurance from home successfully, the key is to nail the selling aspect. Unless an agent has a background in sales, most agents are starting from square one. Theyre green, and they need to figure out whats holding them back. Sadly, many agents fail to improve their sales techniques, and they declare their businesses a failure as a result.
Consider recording sales calls and reviewing them later for any mistakes and flaws. Analyzing sales pitches in this way can work out the kinks early on and improve conversion rates.
Its also worth investing in the help of a professional industry sales coach. For a small fee, youll be able to submit a sales call and have them provide detailed feedback on what was done well and where improvements can be made.
Also Check: State Farm Home Insurance Login
Tip #: Understand Your Target Market
Once you’ve chosen your area or areas of specialization, it’s time to complete one of the most important life insurance selling tips: study your target market. Understand their challenges, goals, and how your product can help them.
For example, term life insurance is most prevalent in people aged 25-45 who are working their way through key life events. This is typically the age group buying homes, getting married, building families, and saving for kids’ college funds. They usually have a lower net-worth than older age groups and higher debt-to-income ratios.
Knowing these facts can help you understand the market on a more personal level. It’s fairly easy to see that many people in this age group worry about what would happen to their families if they passed away. A wife and mother of three, for instance, is likely concerned about whether her family could stay in their home and pay bills if she were to lose her income.
As such, she is probably looking to ensure that her spouse has everything they need to take care of these things. Insight makes it much easier to determine your target market’s needs and help find potential solutions.
Benefits Of Selling Life Insurance
There are many of positives about a career in life insurance sales. Here are just a few.
Low barrier to entry
Life insurance salespeople come from a wide range of backgrounds, and there are no specific educational requirements beyond a high school diploma. You can get certified and licensed to sell life insurance without completing a degree program. Requirements vary by state, but attaining licensure and certification usually only takes a few weeks or months at most.
Flexible hours
Life insurance sales isn’t a typical nine-to-five job. You need to be available when your clients and prospects are available. Often, that means you’re free to take off during the day and meet with a client in the evening or on a weekend.
Job opportunities
Life insurance has been around since Roman times, and the first life insurance companies in the U.S. started during the 1700s. As the population grows, so does the field of life insurance. According to the U.S. Bureau of Labor Statistics, the number of insurance sales agents will grow by 7% per year between 2020 and 2030.
High commissions
Because purchasing a life insurance policy is typically a long-term commitment, the commission for life insurance agents is much higher than for other types of insurance. Agents might earn as much as 100% of the first-year premiums for a life insurance policy, before dropping to more standard rates of around 5%.
Passive income
Also Check: Liberty Mutual Small Business Insurance Phone Number
How To Get Your Insurance License Faq
What Exam Do I Have to Take to Sell Insurance?
To sell insurance, you will need to take a state insurance licensing exam in the specific line of insurance you want to sell. For example, if you want to sell life insurance in Florida, you will need to take and pass Floridas life insurance licensing exam. Some states offer test-takers the option to combine multiple lines of insurance licenses that are commonly marketed together, such as life and health insurance or property and casualty insurance.
Is it Hard to Get Your Insurance License?
There are several steps in acquiring your insurance license, which some people find difficult to navigate without the help of a step-by-step guide. Researching what is required by your state will help you keep on the right path to get your insurance license with ease.
Of the steps to get your insurance license, passing the state insurance licensing exam is the most time-consuming step. Even if your state does not require a pre-licensing education course, spending the time to study with the help of a course will greatly increase your knowledge.
How Hard is the Insurance Licensing Exam?
- Life Insurance: 62.9%
- Fingerprinting: $38
How Much Do Insurance Agents Make?
Once you are ready to apply for a job as an insurance sales agent, check out the Insurance Job Board.
How Long Does it Take to Get Licensed to Sell Insurance?
Other Types Of Life Insurance
These are just a few of the primary types of life insurance you can sell. Within the broad categories of term and whole life insurance, there are many different policy types to consider. Group life insurance policies are also a great way to boost your sales success. There’s a policy to fit any type of prospect you work with during your career as an agent.
Also Check: What Is Product Liability Insurance
Optimize Your Lead Strategy
Optimizing a lead strategy means selecting the right approach for the type of product and the available budget. There are so many lead strategies agents may choose to employ, such as:
- Radio and television
Not every lead strategy will suit every product. Its important to tailor the strategy to the people most likely to purchase a specific insurance product. For example, radio and television are only useful when selling to a more general audience. Agents who choose traditional media are likely to specialize in final expense or Medicare Advantage.
Start Growing Your Life Insurance Business Today
During the course of selling life insurance, you will meet a wide range of people. Everyone’s situation is different, yet they all share one thing: All of your prospects are interested in using life insurance to protect their loved ones and valuables. You’ll be surprised that most Americans do realize the value of a life insurance policy.
And if you donât have time to spend marketing and nurturing leads, Nectar can provide you with qualified life insurance leads who are eager to buy life insurance from you. We’ll only send you leads that meet your chosen criteria. This way, you can start growing your insurance business right away.
Don’t Miss: Metlife Life Insurance No Medical Exam
Ner With A Life Insurance Imo
An Independent Marketing Organization is the link between Life Insurance carriers and independent life insurance sales agents.
Its important to partner with a reputable Life Insurance IMO that offers a good mix of carriers and products, fully-vested contracts, training, support, and technology.
Selling Life Insurance can be overwhelming when youre working alone, and thats why companies like The Brokerage Inc. exist. A good IMO empowers you to sell more, earn more, and stay independent.
For more information, check out this guide on how to find the best Life Insurance IMO.
The Pros And Cons Of Selling Insurance
Lauren HaydenCopywriter
Thinking of joining the insurance industry? Great idea! We think itâs a rewarding career path to pursue.
If youâre still on the fence, this article is to help you weigh the practical pros and cons of the field so you can make an informed decision. Letâs get started!
Listen to this article:
Don’t Miss: Auto Insurance Companies In Ny
Selling Life Insurance: The Definitive Guide
Are you thinking about selling life insurance? At the time of writing, the total U.S. consumer debt is at $14.9 trillion, and millions of Americans have family members who depend on them for income. If they were to die, these debts would be passed down to their loved ones.
Selling life insurance is a rewarding opportunity where you get to help individuals and families alleviate this concern, and make a generous commission while youre at it.
Continue reading for our step-by-step guide on selling life insurance.
You can jump around using the links below:
What Is An Insurance Agent
A licensed insurance agent, or producer, is someone who sells insurance on behalf of an insurance company. Insurance agents can either be captive agents or independent agents . The most important distinction between an agent and a broker is that insurance agents work for the insurance companies they sell products that the insurer is authorized to sell in their state.
In some states, insurance agents are officially called insurance producers. Despite the difference in names, the role they play is exactly the same. Whether someone is called an insurance producer or an insurance agent, it is their job to sell insurance coverage on behalf of an insurance company. Unlike the difference between insurance agents and insurance brokers, the difference between agent and producer is just using a different title for the same job.
Don’t Miss: Progressive Car Insurance Log In
Tip #1: Leave Some Reading Materials Behind
You wonât always make a sale on the day of your presentation. Leads may need some time to think things over and decide what options fit with their current situation. If you leave some reading materials behind that go over all their options, this will help the client make an informed decision.
Make sure you also leave your contact information behind, so the client can give you a call if they have more questions.
Live In One State And Want To Sell Insurance In Another What You Need To Know About Non
If youre an insurance agent or customer service rep in the insurance industry, you probably know you need to be licensed to sell or even discuss insurance in the state where you live. But, what if you live in one state and work in another? This is a common scenario for people who live near a state border. In this case, youll need both a resident insurance license and a non-resident insurance license.
If you plan to work in another state, follow these steps to ensure you have covered all your bases.
Read Also: Is Std Testing Covered By Insurance