What You Can Expect from a Career as an Insurance Broker?

Answer 1

Insurance brokers act as intermediaries between companies that provide insurance policies and clients. They can deal with anyone who needs private or public insurance including individuals, commercial businesses, government departments and large organizations.

Duties and Responsibilities

Insurance brokers need to have an in-depth understanding of the insurance market. This provides them with the knowledge they need to advise clients on various policies. Insurance brokers are independent advisors. This means they need knowledge of the market, as a whole. Tied agents will only need to know about policies provided by specific companies. It can take a few years to get the experience you need to be a fully trained, high earning insurance broker as there is a lot to learn. This industry is diverse and fast moving. There is a lot of information to research.

One of the main duties of insurance brokers is to break down policies and explain them to clients. This could be anything from car insurance through to public liability insurance. You will need to be able to explain to clients which policies can best suit their individual requirements and how they can benefit from them.

Skills and Qualifications

Because insurance is such as vast field many insurance brokers specialize in specific roles such as a placing broker (finding policies for clients) or a claims broker (helping clients to make claims). You will need substantial research and data interrogation skills so that you can work quickly and efficiently through large amounts of information to find what you need. You will also need excellent communication skills so that you can interact effectively with clients and colleagues. Many insurance brokers work independently so excellent organization skills and a hard-working attitude are beneficial.

Salary Outlook

Tied agent insurance brokers earn a fixed salary which is dependant on them meeting various targets set by the company they work for. Fixed agents can generally start on around $50,000 per year, moving up the pay scale as they achieve targets to $65,00 per year and over. Independent insurance brokers generally work on a commission basis. This means salary can vary significantly depending on the client base available. A reputable, independent insurance broker can earn as much as $120,000 per year.