Are you thinking of carving a career for yourself selling health insurance?
Selling health and life insurance can be a lucrative path. According to estimates, the average insurance agent earns over $51,000 per year. What’s more, top-performing agents can expect to earn up to $100,000 per year.
One of the advantages of selling insurance as an independent agent is that your earnings aren’t capped. If you put in the time and effort, you can increase your sales numbers and build a substantial stream of passive income.
Are you ready to find out how to get into this rewarding career path? If so, you have come to the right place.
Continue reading to discover the steps you need to take to start selling health insurance.
Evaluate Your Personality and Skills
Before we get into how to get certified to sell insurance and begin making sales—let’s first look at the personality traits and qualities that you’ll need to successfully sell insurance.
- Positive, friendly energy
- High energy levels
- Good EQ
To make consistent sales you need to have a lot of energy. The more energy you put into insurance sales, the more commissions you will make.
However, you also need to be personable. Clients need to like you and feel a connection. They also need to feel that you are truly empathetic to their needs and issues, and are honest and caring enough to offer them a solution that suits their needs over your own.
Besides this, you’ll also need to have a good level of emotional intelligence, be able to “read the room,” and think on the spot.
Before you invest time and money into learning how to sell health insurance, think about your personality and evaluate whether or not insurance sales are a good fit.
It is? Fantastic, let’s move on to how to get certified.
One of the great things about insurance sales is that you don’t need a degree to enter the field. Further education in areas such as business or economics can be beneficial, but it isn’t a requirement.
However, all states require insurance agents to pass a state licensing exam. Most states also require you to complete a set amount of coursework before taking your insurance exam.
The exact requirements and coursework differ slightly from state to state. You will need to check with your state’s insurance department to verify exactly what is required for you to become licensed.
To visit your particular state’s insurance department website here is a directory page from the NAIC.
Once you have gained your license, it will only apply to your state. However, you can opt to get it transferred to another state should you move.
Once you have gained your insurance license the next step is to get contracted with carriers. The easiest and most common way to do this is via a Field Marketing Organization (FMO). FMOs streamline the contracting process and give you access to various carriers.
Although you can contract directly with some carriers, this is usually a challenge if you are just starting out. Most carriers require agents and agencies to meet certain profitability requirements.
If you are selling health insurance for the first time, then it’s unlikely that you will be able to meet their requirements and contract directly.
What’s more, FMOs and IMOs (insurance marketing organizations) usually offer their members additional perks, resources, and discounts. For instance, some might offer free training resources, give you access to discounted tools, or include E&O insurance in their membership fees.
Take Out E&O Insurance
If the FMO you choose doesn’t include E&O insurance in their membership, then you will need to take it out independently.
E&O insurance protects you against any professional liability you might incur. This could be through mistakes, ommissions, or any other negligent acts that a client might want to sue for.
Not only does E&O insurance guard you against unforeseen legal action, but it’s also a common carrier requirement. Most carriers won’t contract with agents unless they hold E&O coverage.
Get to Know Your Products
Want to know one of the most important pieces of advice about selling health insurance?
Before you start selling health insurance, it’s essential that you get to know your products through and through.
The primary function of an insurance agent is to help clients navigate potential insurance coverage options. The better you know your products, the better you’ll be able to serve your clients and match them with coverage solutions that meet their needs.
Most carriers will send you detailed information on their products. Some carriers also require contracted agents to take annual training sessions on their products. This will equip you with in-depth, comprehensive knowledge of the coverage solutions you are selling.
Start Marketing Your Services
Once you’re licensed, contracted, and covered, it’s time to start marketing your services. There are many ways you can do this. Here are some ideas to get you started:
- Online advertising
- Traditional print advertising
- Direct mail
- Content marketing
- Email marketing
- Social media marketing
Because there are many different ways you can market your offerings, it’s a good idea to formulate a marketing plan before you hit go on things like ad campaigns.
Start by getting clear on your target market, and how you can reach them. Then start testing out different marketing methods and see which generates results.
Build an Online Presence
One of the most important parts of marketing is building an online presence. However, having an online presence means more than simply putting up a website (although that is a vital step).
If you just starting out selling health insurance, building a well-designed, optimized website is critical.
Pro Tip: Make sure your website is user-friendly, visually appealing, clear, and easy to navigate.
You should also invest in having it professionally optimized for the right search terms. From here you should start fleshing out your online marketing efforts by creating social media accounts, setting up an email list, posting helpful blog content, etc.
Over time, all of these strategies will begin to draw in leads. The secret is to make sure that you engage your leads and provide them with free value. This builds trust and established you as an authority on health insurance.
For instance, if you create a blog post addressing common questions your typical clients have, you can attract new leads through search.
If they gain value from your content, they will already view you as the expert. From here you can encourage them to sign up to your email list, contact you if they have further questions, or follow you on social media.
All of these paths provide you with further opportunities to market to your leads. For instance, after a visitor signs up to your email list, you can send them additional free information, alert them to special offers, etc.
All of this allows you to create relationships with your leads until they reach a point where they feel like they know you, and that you are the first person that comes to mind when they want to take the next step in getting coverage.
Invest in Bought Leads
Building an online presence and investing in paid ads are key lead generation tactics. However, they can take time to generate results. This is especially true for organic marketing methods such as content marketing and social media marketing.
In the meantime, while you wait for these strategies to mature and bear fruit, a great way to get business rolling in is through bought leads.
Instead of you having to drum up leads, you can pay a set price for a guaranteed amount of leads. Once you receive the details of your leads you can start working on them right away.
Because bought leads are guaranteed, they can be ideal for supplementing your lead flow, even once your other lead generation methods are established.
Just be sure that you purchase high-quality leads from a reputable source.
Lastly, once you have generated a few clients and closed your first sale, it’s time to start encouraging referral business.
Referral business is when clients refer you to their connections, who then come to you for their insurance needs. Referral leads are some of the best because they already have pre-established trust in you.
A lot of insurance agents feel shy to ask their clients to refer them. However, a lot of clients don’t think to do this unless you do ask. Therefore, make it a point to ask your clients to refer you wherever possible.
Do You Want to Start Selling Health Insurance?
If you’re thinking about creating your own business selling health insurance, the time to start is now. And the place to source your first leads from is us.
At Final Expense Sales Leads, we specialize in supplying insurance agents with top-quality leads at affordable prices. There are no hidden, unexpected fees or unpleasant surprises when you deal with us.
Take a look at our lead packages today and kickstart your health insurance career.