Is it hard to get an insurance agent license?
Asked by: Coby Williamson | Last update: July 22, 2025Score: 4.4/5 (73 votes)
Is becoming an insurance agent hard?
It is a very difficult occupation but, if you can do it, it can be extremely rewarding. I am not just talking about income. Every year, in virtually every state, 100s or 1000s of people take the insurance license exam. Of the ones that pass, a small % are eventually successful.
Which insurance license is hardest to get?
Each insurance licensing exam presents its own challenge. Between Life and Health, students say that the Health insurance exam is the more difficult. Health insurance policies are simply more complicated than life insurance policies. The Property insurance exam is easier than the Casualty insurance exam.
Is it hard to become an insurance sales agent?
A lot goes into working as an insurance agent, starting with paying for and completing a state-approved insurance course and passing a licensing exam. In some states, you'll need an employer to sponsor you. And to maintain your license, you'll have to complete continuing education and periodically renew it.
Is it hard to pass insurance license exam?
An insurance licensure exam is one of the most difficult tests to take because of the range of topics covered. Data gathered by professional licensing resource website State Requirement shows the passing rate to be around 60%.
How To Get An Insurance License
What disqualifies you from getting an insurance license in PA?
(A) Examples of criminal violations which the Department may consider related to the applicant's suitability to engage in the business of insurance are unlawful advertising of insurance business, unlawful coercion in contracting insurance, furnishing free insurance as an inducement for purchases, unlawful collection ...
Are insurance agents paid well?
As of early 2023, the average annual pay for a Life insurance agent in the United States was $83,442 a year. The top four paying states for Life insurance agents are New York, New Hampshire, Vermont, and Maine. Life agents in these states earn higher salaries than the national average.
What is the best insurance to sell?
Life insurance is the most profitable—and the hardest—type of insurance to sell. With the highest premiums and the longest-running contract, it brings in cash over a long period of time. In the first year, agents make the largest annual sum on a policy, bringing in anywhere from 40–120% of the policy premium.
Why did I quit being an insurance agent?
There's two big reasons why insurance agents quit: they don't feel valued, and they aren't given the technology they need to do their jobs well. In addition, managing commissions while hitting performance goals is a stressful part of the job for many insurance agents.
What type of insurance license pays the most?
While there are many kinds of insurance (ranging from auto insurance to health insurance), the most lucrative career in the insurance field is for those selling life insurance.
What's the hardest license to get?
The United States Medical Licensing Examination (USMLE) takes the top spot as the most challenging exam in the US, with an average preparation time ranging from 200 to 400 hours for each of its three steps.
Why do most life insurance agents fail?
The most commonly cited reason insurance agents fail is that they fail to listen to their customers and take the time to find the best product to suit their needs. Agents who bring the right solutions to customers build trust, and that helps them build a book of loyal customers.
How many insurance agents quit?
You Don't Get Fired As A Life Insurance Agent... You Quit. We often hear about the statistic that 93% of agents leave this business within the first three years, but one thing that struck me during the live session is that agents don't actually fail out of this business.
Do you have to be good at math to be an insurance agent?
Math. Because insurance relies on many financial principles, it's essential for insurance agents to possess competency with numbers. The ability to make error-free calculations and analyze numerical data about insurance trends can help agents perform their work more effectively.
Can you make a living selling insurance?
The Bottom Line. Life insurance agents make a living selling insurance policies, either to individuals or businesses. They are generally paid in commissions and must find customer leads on their own. Being successful in this type of career takes time and perseverance.
Which type of insurance is most profitable?
Life insurance stands out as one of the most profitable types of insurance due to its steady demand, attractive commissions, high premiums, and long-term policy tenure.
Why do people who sell insurance make so much money?
In essence, insurance brokers provide invaluable expertise to clients, ensuring they have the coverage they need. Their compensation, through commissions and fees, reflects the vital services they offer within the industry.
What are the cons of being an insurance agent?
- Unpredictable income. Working in a commission-based role has its drawbacks. ...
- High-pressure work environment. Selling insurance can be stressful. ...
- Finding new leads can be challenging. ...
- Limited paid time off. ...
- Experiencing a lot of rejection.
How much do home insurance agents make per policy?
The average commission rate for insurance agents ranges from 10% to 20%, with some agents earn as much as 30% or more. For example, if an agent sells a policy with a $1,200 annual premium, and the commission rate is 15%, the agent would earn $180 per policy.
Is there a demand for insurance agents?
Job Outlook
Employment of insurance sales agents is projected to grow 6 percent from 2023 to 2033, faster than the average for all occupations.
Can I get an insurance license with bad credit?
Getting an insurance license with a bad credit
Getting approved as an insurance agent if you have a bad credit score is not impossible. However, you need to keep in mind that most insurance agencies are very selective about their review process.
How long is the PA insurance exam?
The length of a Pennsylvania insurance exam can range anywhere between 80 and 200 minutes, depending on the exam.
Is the test to become a licensed insurance agent hard?
The difficulty of the Property and Casualty Exam varies for each individual, depending largely on their background knowledge and preparation. Generally, it's considered challenging due to the extensive range of topics covered.