Is there a high demand for life insurance agents?
Asked by: Ruby Yundt | Last update: July 22, 2025Score: 4.8/5 (54 votes)
Are life insurance agents in demand?
Job Outlook
Employment of insurance sales agents is projected to grow 6 percent from 2023 to 2033, faster than the average for all occupations. About 47,100 openings for insurance sales agents are projected each year, on average, over the decade.
Is there a shortage of life insurance agents?
But as the need for life agents intensifies, the industry last year—particularly in the early months of the pandemic—saw its number of agent recruits fall 6%, according to LIMRA.
Why is life insurance so hard to sell?
Selling insurance is difficult for a number of reasons. Most of the time when people buy something it is tangible and they can see it in front of them where with insurance it is not. The buyer is purchasing something that covers risk which many do not believe they need to pay for until something goes wrong.
Why do most life insurance agents quit?
Research shows (opens in a new window) that 80% of finance and insurance agents feel they aren't valued at work; they feel they are “only evaluated on what went wrong or could have been done better.” This is a major issue for finding and retaining top talent, which is more important than ever (opens in a new window).
I Asked 166 Life Insurance Agent How Much Money They ACTUALLY Make Per Month
What is the failure rate for life insurance agents?
More than 90% of new agents quit the business within the first year. The rate increases to greater than 95% when extended to five years.
Which life insurance agents make the most money?
Top paying companies in Insurance for Life Insurance Agent are National Agents Alliance, New York Life, and National Income Life.
Is selling life insurance a good hustle?
In our opinion, it doesn't hurt that insurance is a lucrative business. You can gain commissions on the plans that you sell, so it's entirely up to you how much you want to hustle. You can also make more money with consistent renewals, so it pays in the long run to have loyal clients.
How much do life insurance agents make per policy?
Typically, a life insurance agent receives anywhere from 30% to 90% of the amount paid for a policy (also known as the premium) by the client in the first year. In later years, the agent may receive anywhere from 3% to 10% of each year's premium, also known as "renewals" or "trailing commissions."
What is the hardest part of selling life insurance?
Life insurance is a very difficult product to sell. Simply getting your prospect to acknowledge and discuss the fact they are going to die is a hard first step. When and if you clear that hurdle, your next task is creating urgency so they buy right away.
Can you make a living as a life insurance agent?
The most common way life insurance agents make money is through commissions. Generally, agents receive front-loaded commissions of 40% to up to 115% of the policy's first-year premiums, although the figure for renewals falls steeply to about 1% or 2%.
What is the average age of life insurance agents?
Insurance agents make on average $51,936 per year. The average age of an Employed insurance agent is 45.9 years old.
How many hours a week do insurance agents work?
How many hours per week does an insurance agent work? Most agents work full time and some work over 40 hours per week.
Is it worth it to become a life insurance agent?
A career selling insurance can be a good way to make money. It provides many opportunities to earn a high income with strong potential for growth. Because your income will mostly come from commissions, there can be no limit to how much you earn.
What is the most lucrative 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.
What is the turnover rate for insurance agents?
By their third year in an agency, 83% of agents have switched agencies—or worse, left the industry altogether. The costs associated with that type of employee turnover can be monumental, including lost productivity and increased recruiting, hiring, and training costs.
How hard is it to sell life insurance?
A career as a life insurance sales professional can be challenging. The competition is fierce, and you may experience a lot of rejection before a successful sale. Conducting business in the comforts of your home isn't any different. You should be willing to put in the effort for your venture to grow.
Which insurance company pays the highest commissions?
Some of the companies that offer high commission rates to their agents are HDFC Life, Max Life, ICICI Prudential, and Kotak Mahindra. These companies also have attractive incentive schemes and bonus programs for their top-performing agents.
Why do life insurance agents make so much money?
Many life insurance agents receive sales commissions for the products or services they sell. Agents will receive a large upfront commission based on the cost of the first year's policy premium.
What are the cons of being an insurance agent?
Cons of working in insurance sales
For some people, the thought of earning commissions is appealing. For others, it can cause stress and worry about their future financial situation. New insurance agents often work long hours to build and strengthen relationships and get their names out in the industry.
Can you become a millionaire being a life insurance agent?
Some agents, advisors, and multi-line agents made a million dollars in the first year they worked with us selling life insurance! While most of the others it took 2, 3, or more years to make a million dollars per year selling life insurance.
What is the downside of selling your life insurance policy?
Not all proceeds received from the sale of your life insurance policy are tax-free. It is important to know that the proceeds you receive from a life settlement may be accessible by your creditors.
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.
Who is the richest life insurance agent?
- Meet the world's highest earning insurance agent.
- Gideon du Plessis failed in the 10th standard and never went to college. ...
- A record he has maintained over the last 12-14 years, selling 700 policies yearly. ...
- What is Plessis' secret of success?
How many policies does an insurance agent sell per month?
How many policies does an insurance agent sell? According to the financial reports, the Official Number is 2.5 policies per month. However, many people just do it part-time.