How to become an insurance agent from home
How to become an insurance agent from home | Insurance Business America
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How to become an insurance agent from home
Does the idea of working from home as an insurance agent appeal to you? Read this guide to get started as a work-from-home insurance agent
Guides
By
Ramon Berenguer
The pandemic changed the way many people thought about work, how they worked, and even how some companies operated. Before this global tragedy, only 30% of employees were already working remotely.
But since the pandemic, it is estimated that the number of employees working from home will increase to around 48%, or almost half the world’s workforce. This is good news for some, especially for those who were wondering how to become an insurance agent from home.
Whether you’re joining the insurance industry for the first time or are an established insurance agent transitioning from an office to working from home, then this guide on how to become an insurance agent from home is for you.
Insurance Business tackles important questions here, like:
How to start an insurance agency from home?
Do insurance agents work from home?
How do you become an insurance agent from home with no experience?
How can I sell insurance from home?
We’ll provide insight into these and more, so let’s begin.
There are many advantages from working as an insurance agent at home instead of going to an office. The most apparent benefit is forgoing long commutes, whether by driving or taking public transportation.
By itself, this is a great benefit, as you also don’t have to worry about traffic, being late, and best of all, you don’t spend money on transport fees.
When working as an insurance agent from home, you can also enjoy great flexibility with your work hours. You have the freedom to set your own hours and schedule client calls at mutually convenient times.
These are the benefits derived from being an insurance agent working from home:
increased productivity
better work-life balance
flexible schedules
saving on food and transportation costs
more quality time with the family
reduced stress and work fatigue
As with many professions, there are a few requirements you must meet before you can begin your insurance agent licensing and application process. Like insurance agents who choose to rent office space, these requirements are also part of how to become an insurance agent who works from home:
1. Meet basic eligibility
While each state has varying standards and criteria for eligibility to become an insurance agent, these are the basics:
must be 18 years old or older
not have any previous criminal record
not have any outstanding federal or state income taxes
can successfully pass a background check (no red flags come up)
2. Have a college degree
Part of how to become a successful insurance agent working from home is having a college degree. Although this is not a strict requirement, graduating from a reputable university with a college degree can give you an edge.
When you take a finance or insurance-related course like business management, accounting, business law, or marketing, this helps you become more familiar with important industry terms and concepts.
Apart from that, most insurance companies may prefer to hire college graduates since they can have the foundational skills and knowledge to become a successful insurance agent.
3. Get the relevant internships
If you cannot get a college degree, you can get an internship at an insurance company. As with becoming a home-based insurance agent, you can also choose online internship and training programs.
4. Earn your insurance license
The previous eligibility requirements are prerequisites to getting the most crucial part of becoming an insurance agent: the insurance license.
Meeting the basic requirements is often enough for you to be eligible to apply for an insurance license in your state. Getting a degree or internships are not formally required, although they can teach you the basic knowledge to help you obtain your license and become a successful insurance agent.
These are the eligibility requirements for becoming an insurance agent in any US state. You can read this more detailed guide on how to become an insurance agent.
Once you’ve passed the licensing exam, applied to become an insurance agent, and had your application approved by the relevant state authority, what next? It’s now time to set up your practice at home.
Set up your home office
Whatever the size of your home, the home office you set up should be a dedicated space that’s separate from your family members’ bedrooms or common areas. Separate areas for work increase happiness and productivity, as opposed to a cramped and disorderly office.
To maximize your productivity as an insurance agent working from home, you should set up a home office that is well-lighted and does not have any distractions. Because much of your work will be conducted over the phone or computer, these will be the most essential equipment:
laptop or desktop computer
phone
reliable, fast internet connection
high-resolution camera for videoconferencing
accounting, scheduling, social media tracking, SEO, and other software
To eliminate any noise distractions or keep them to a minimum, consider having padding or soundproofing materials installed on the walls of your home office.
There are tons of ways to block off your home office from the rest of your residence, regardless of its size. For instance, you can isolate a section of a studio apartment and make it into a tiny office by placing bookshelves.
Blocking off a space as your home office can visually and mentally condition you to work according to your schedule.
Use the right tech tools
With the right software programs, doing tasks as an insurance agent who works from home can be made easier. Apart from the typical office suite, be sure to get an insurance agency management software and other software tools.
You will also need a Customer Relations Management (CRM) tool like Zoho or HubSpot, or any of the other reputable CRM tools on the market. If you’re worried about the cost as you start out as an independent insurance agent, don’t worry – many of these software tools come with a free trial. Start with the free trial then upgrade to a paid subscription later, once you build your book.
Set your work schedule and stick to it
Working from home as an insurance agent can be challenging. If you have family, they may distract you from your tasks during your workday. To address this, be sure to set clear boundaries.
Set up a work schedule and inform family and household members that you are not to be disturbed during that time. By having a schedule, you can devote the time you need to get work done and set aside time spent with your family or do your household chores, if necessary.
What you may discover as you work from home is that it can be difficult to keep your focus; when this happens, allow for short breaks in between tasks. Make it part of your daily routine to complete your work, along with time for exercise and personal activities to maintain concentration and avoid burnout.
Build and foster your client relationships online
It’s crucial to have a dedicated home office setup and a reliably fast internet connection. These are the main tools you will use to build your client base. And thanks to the advances in communication, you have more ways to reach out to potential clients and maintain your relationship with existing ones.
Apart from the usual phone call, you can talk to clients via email, chat, and video calls. Selling insurance is very personal, so communication tools that allow for both video and audio can be indispensable for those who cannot be in the same physical space as their clients.
Get E&O protection
As you put your home office together and find new clients, don’t forget to get yourself errors & omissions insurance. Also called professional liability insurance, E&O insurance is typically required by the insurance companies that you sign up with as an independent agent.
The main purpose of E&O protection is to cover any claims against your insurance practice, should you make a mistake or fail to provide the services stipulated in your contracts with clients.
E&O insurance generally protects your business from claims based on:
negligence
malpractice
errors
omissions
Should you make any errors or acts of negligence, this type of insurance helps pay for your legal fees and any settlements or damages. Everyone can make a mistake but committing insurance fraud is another matter.
To avoid mistakes or omissions in your practice, be sure to apply due diligence and always deliver on what is outlined in your insurance contracts.
Here’s a video that offers some great tips on setting up your home office:
As a sole proprietorship working remotely, you have both the curse and benefit of doing your own marketing. Since you’ll be doing all the work from home, it makes sense to do a large part of your sales and marketing efforts online.
Start with your website
As you are your own insurance agency, you will need a website. An insurance business with an online presence has a higher chance of getting clients. Your website is just one of several forms of online presence you can have.
With your website, you can be found by potential clients when they do online searches for insurance products and services. Your website is where they can find your contact details and the platform where you can showcase your products, services, and areas of expertise. It’s important that your website looks as professional as possible and contains your contact details and other important information.
Here’s how you can build your website:
Step 1. Choose the appropriate domain name
When choosing your domain name, it should be short, memorable, and appropriate for your business.
Step 2. Create your website
You can hire a freelance website creator or use easy website-building tools like Wix.com or Squarespace.com. But before you decide on how to create your website, plan what you want to put into it. Apart from your contact details and credentials, you can put up your own blog entries about insurance and information about the types of insurance products and services you offer.
Don’t forget to include a contact form. Make sure also that when you create your website, it’s as easy to navigate as possible. It should load up quickly and look as good on mobile devices as it does on laptops or desktop computers – potential clients will leave your website if it doesn’t function this way.
Step 3. Get web traffic with SEO
SEO or search engine optimization involves doing what’s needed to help search engines like Google or Bing find your business, understand your content, and help internet users find your website.
Before putting your website content together, speak to an SEO expert for help with using the right keywords, optimizing images, and using the right tags.
Step 4. Use lead magnet forms
Lead magnet forms are valuable offers that you will reward website visitors in exchange for their contact information. You can reward visitors with a free newsletter, a free guide on health insurance or life insurance, or a discount on their first policy.
Step 5. Use data analytics tools
These are tools that give you valuable data on how visitors use and interact with your site, the pages they visit, and which channels are giving your site the most traffic. This data can help you adjust and fine-tune your online insurance sales strategies.
When you choose to work from home, social media is a blessing for marketing your insurance business. With social media, you can accomplish a lot more than meeting clients face-to-face; you can:
reach and interact with a larger audience
build client relationships
market yourself as an authority in your field
Here’s how to use social media in your marketing:
Get on the right social media platform.
While there are many social media platforms and sites out there, not all of them will work for your purposes or reach the right audience. Platforms like Facebook, X (formerly Twitter), and LinkedIn could better connect you with businesses and professionals.
Make a professional profile.
When getting on the appropriate social media platform, create a profile that’s separate from your personal social media accounts. Use a professional photo, craft a complete but concise bio, and include your contact information.
Share interesting and valuable content.
Create and post content that’s valuable and meaningful to your audience. This can include blog posts about insurance, insurance tips, guides on choosing the right policy, and how to file claims.
Interact with your audience.
You’ll know that what you posted on your social media accounts is valuable when you get comments from your audience. Don’t ignore their replies. Show your appreciation for their positive feedback, answer questions and have a conversation with them.
Make social media your customer service portal.
Use your social media accounts to address customers’ concerns and answer their inquiries. Responding quickly to their questions will enhance your reputation for providing good service.
Monitor and fine-tune your strategy.
Some social media platforms provide analytics tools to track performance. With this you can check your profile’s engagement rates, conversion rates, and growth rate of your followers. Use these tools to figure out what’s working and what’s not, then adjust accordingly.
Selling insurance from home means signing up with one or several insurance companies that allow for remote agents. Here’s how to find insurance companies to work for:
Do research on insurance companies
Check job postings on insurance company websites and recruiter websites
Tap your professional network on sites like LinkedIn
Attend seminars, workshops, or conferences to expand your network
Starting your own insurance agency from home can be a daunting task. Making sure you have an excellent internet connection, the right tech tools, and a home office are a good start. You must still contract with insurance companies and meet clients – thankfully, these can also be done online and from your home office. Devote enough time and effort to build your book, and you can be a successful insurance agent who operates from home.
Did this article on how to become an insurance agent from home make you consider this career path? Let us know in the comments
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