Need A Job? Consider Selling Life Insurance
March 20th, 10It may seem hard to believe, but life insurance salesmen are a hot commodity. Lots of companies are adding thousands of them to their payroll including an additional 3,618 agents at New York Life Insurance Co. and 2,340 agents at Northwestern Mutual Life Insurance Co. according to a report in the Wall Street Journal. Why the sudden run on jobs that so often are the punchline of jokes? With the economic crises, many people are now wary of the stock market and they’re looking for another investment with more and more turning to whole life insurance policies.
With many people out of work, selling insurance is a job they can begin fairly easily even though a few years ago they may not have considered it as an option. But it’s definitely not a get-rich-quick job. Statistics from research firm Limra show that 70% of agents earn less than $35,000 in their second year on the job. And sticking with it isn’t very common. Fewer than one out of five new agents are still selling insurance four years later. “You have to step a little out of your comfort zone,” says 48-year-old Catherine Calise, who started selling insurance for New York Life after ending her 18-year real estate career. “I’ll be in line at the grocery store, picking up dry cleaning, grabbing an iced tea at Starbucks, and I’ll be prospecting the person next to me” by striking up a chat.”
While selling life insurance is largely a commission-based job, companies do spend lots of money investing in new agents. Insurance companies spend thousands of dollars on income subsidies, medical benefits, and training. “We know investing in agents takes a while to pay off,” says Mark Pfaff, a New York Life executive.
Wondering if you might make a good life insurance salesperson? Here are some important qualifications to have according to the Bureau of Labor Statistics:
- A State License: requirements vary by state, but typically you must pass several exams in order to qualify for selling insurance.
- Education: while a college degree isn’t required, some companies may prefer applicants with education in business, finance or economics.
- Continuing Education: Employers are finding continuing education more important as products offered change. Agents must stay up-to-date on tax laws and changes to government benefits programs in order to provide the best service to customers. Most states also require continuing education every two years in order for agents to keep their license.
- High Energy: To sell life insurance, agents need to have a lot of energy and enthusiasm in order to find new clients and meet their needs.
