An Essential Guide to Become a Life and General Insurance Agent in 2024

An Essential Guide to Become a Life and General Insurance Agent in 2024 Are you interested in becoming a life and general insurance agent? This career path offers rewarding opportunities for both newcomers and seasoned professionals. While starting as an insurance agent can be challenging, it provides substantial fulfilment. To become an agent, specific skills, qualifications and training are essential.

This article explores how to become an agent, discusses the job description and responsibilities, and details the key skills needed for success.

Who is a Life and General Insurance Agent?

A life and general insurance agent collaborates with an insurance company to offer life and non-life insurance products like bike, travel, car, and health insurance.

Agents guide clients in choosing insurance plans that fit their personal, healthcare, and financial needs. They also clarify premiums, policy terms, and coverage details.

Working independently or alongside an insurance company, agents represent the company’s offerings, explain benefits, and provide ongoing assistance to clients.

Types of Life and General Insurance Agents Looking to become an agent?

There are several different kinds of life and general insurance agents in India. Some of these include:

Internal Insurance Sales Agent

In this role, an agent works full-time with an insurance company, representing its products and building relationships with new and existing clients to prevent them from switching to competitors.

Captive Insurance Agent

A captive agent sells a specific product for one insurance company under contract. They gain deep product knowledge to help clients select policies suited to their needs.

This role often includes a fixed salary, variable incentives and benefits.

Independent Agent/Point of Sales Person (POSP)

The Insurance Regulatory and Development Authority of India (IRDAI) allows life and general insurance companies to appoint individuals as POSPs.

These agents can sell multiple insurance products across various companies, holding IRDAI-issued licences to offer a range of policies to clients.

Eligibility Criteria to Become an Insurance Agent in India

To become POSP insurance agent in India, you must meet the requirements set by IRDAI, which include the following:

• Being at least 18 years old
• Having completed education up to at least the 10th grade
• Possessing a valid PAN card and an Aadhaar card
• Getting IRDAI certification by completing a mandatory 15-hour training course
• Qualifying a state-level exam (applicable only for selling state-regulated insurance policies)

These requirements allow anyone interested in selling insurance policies to become an agent, including homemakers, retirees, college students, and business professionals.

What is the Process to Become a Life and General Insurance Agent?

The process is straightforward to become life insurance agent or general insurance agent.

Here’s how you can get started

Step 1: Register Yourself

Visit the insurance company website you wish to work with, go to the agent registration section, and fill in your basic details.

Step 2: Begin the Training

Complete the mandatory IRDAI training, which lasts approximately 15 hours. The training can be done online or offline over two to three days, after which you’ll receive a certificate.

Step 3: Take the Licensing Exam

To qualify as an agent, you must take a pre-licensing exam featuring multiple-choice questions. Your minimum score of 17 out of 50 is required.

Step 4: Obtain Your IRDAI-certified Licence

After passing the exam, you’ll receive your official IRDAI licence, allowing you to start working as a certified insurance agent.

Roles and Responsibilities of a Life and General Insurance Agent

Many life and general insurance agents specialise in specific insurance areas, such as health, property, auto, or life insurance. While duties vary by specialisation, agents often share the following responsibilities:

• Keeping updated with regulatory changes in the insurance industry
• Learning about new products by attending meetings, events and seminars
• Identifying potential sales opportunities for diverse insurance plans
• Building a client base through referrals, networking and marketing
• Crafting marketing strategies to remain competitive
• Creating and presenting progress reports for ongoing initiatives
• Scheduling meetings with prospective clients
• Clearly explaining policy benefits, features, and conditions to customers
• Recommending risk management strategies based on individual risk profiles
• Customising insurance solutions to align with clients’ needs
• Calculating premiums and arranging payment plans
• Ensuring policy requirements are met and forms are completed
• Assisting clients in completing applications and acting as a liaison with providers
• Aiding clients with insurance claims and facilitating payouts upon approval
• Monitoring claims to ensure customer satisfaction
• Maintaining detailed insurance records for clients
• Ensuring customer satisfaction and that coverage meets client expectations
• Adhering to industry regulations and company policies in all activities

Benefits of Being a Life and General Insurance Agent in India

There are many benefits of becoming an agent, including:

Enjoy the Freedom of Being Your Own Boss

Working independently is one of the biggest perks of being a life and general insurance agent, especially a point of the salesperson (POSP).

As a POSP, you have the flexibility to manage your tasks and schedules, taking control of your career path and working style.

Flexible Working Hours with No Time Restrictions

You decide whether to work full—or part-time. This flexibility allows you to customise your working hours based on personal commitments, giving you the freedom to balance work with other priorities.

Make Money from Home

Since many insurance companies operate primarily online, you can work from the comfort of your home. With virtual processes, you can easily sell policies and make money online without visiting an office or meeting clients in person.

Quick Certification with Only 15 Hours of Training

One of the main requirements for becoming an agent is completing the 15-hour IRDAI training session, which can be done relatively quickly. In just 15 hours, you can gain the certification needed to start your career as an insurance agent.

Unlock High Earnings Potential Based on Sales

Your earnings as an insurance agent aren’t limited by working hours but by the number of policies you successfully issue. This means the more policies you sell, the higher your earning potential.

Make Money Without Investment

To become an agent, you only need a smartphone, a stable internet connection, and completion of the 15-hour training. Virtually no other financial investment is required, making this an accessible career option with significant earning potential.

Final Words

Becoming a life and general insurance agent can be an enriching career choice. This profession offers flexibility, independence, and the potential for high earnings.

Agents can work on their terms, whether part-time or full-time and support clients in making informed decisions about their insurance needs.

With minimal initial investment, straightforward certification requirements, and the potential to operate entirely online, it’s a highly accessible career option suited to many individuals.

Whether you’re a student, a retiree, or someone looking to shift careers, becoming an insurance agent offers a pathway to professional growth and financial success.