What’s the Current Job Market for Car Insurance Agent Professionals Like?
In America today, just about anything you can think of can be insured. If you are a driver you will be legally mandated to purchase car insurance, if you rent or own a home, it would make economic sense to insure against damage and theft, businesses are able to secure themselves from the potential lawsuits with insurance. When you think about it, there is a lot more to insurance than meets the eye. The III or Insurance Information Institute claims that over $1 trillion in policy payments were received by insurance companies in a single year and that figure is rising. People are able and looking to s insure nearly everything from pets to properties. Considering that is quite a lot of premiums, that translates to a lot of caseloads which demands that the insurance industry employ at least 2 and a half million people to create premiums, evaluate claims, sell plans and any other integral tasks that might need doing. If you are reading this article, it is because you are interested in becoming a car insurance agent professional in Biloxi. The aim of this article is to provide you with the current state of the job market and offer you information about remuneration and commission.
If you are looking to get into the insurance sector, you can do so with anything ranging from a high school certificate to a graduate’s degree. Research has discovered that 35% of claim adjuster had a bachelor’s degree while 81% of underwriters did. The insurance industry is different from other industries, in the sense that it does not have high barriers to entry when it comes to educational standards. There is so much potential and demand in the insurance industry that it is no surprise more people are looking to become car insurance agent professionals. That being said, there are some jobs that are dwindling due to technological innovation. However, sales jobs and many other jobs that require more interpersonal skill than organised education are forecasted to grow 10% in
just this decade. This means that the industry is able to continue as it has been doing, welcoming a vast array of individuals with mixed skills, knowledge and backgrounds
What are your job prospects in the insurance industry
Back in 2005, about 700,000 people held employment in the insurance industry. With more than a decade on, more than 800,000 people are employed by the insurance industry. Thanks to the passing of numerous insurance-related legislation, that number is estimated to rise. This is very true when you consider, nearly every day, a new driver is added to the streets of Biloxi. The demand for car insurance agent professionals is bound to rise, in conjunction with the rise for support staff. While the insurance industry as a whole is seeing job growth, there are some sectors of the industry that are seeing downward trends. These sectors such as casualty and property insurers have seen
less legal and regulatory shakeups, yet about 50,000 jobs were lost over a 10 year period. This can be likened to the fact that insurance underwriters also lost their jobs due to innovative technology and automation. Regardless of all that, the insurance industry as a whole saw a growth of 5% in that same period and is forecasted to receive more growth.
How much can you make in the insurance industry as a car insurance agent
The insurance industry is very profitable but it can be quite difficult to determine how much you can make as a car insurance agent professional. This is because a majority of states tend to intentionally hide how much their car insurance agents make. That being said, there are other avenues where one can get salary information. The Bureau of Labour Statistics states that car insurance agents can earn an average of $48,000 annually. This is a sizeable amount, but it does beg the question, of how much of that income is down to commissions. This is difficult to answer as most companies do not divulge that information, and as a car insurance agent, you are able to work for more than one company, earning different commission streams based on the client’s needs. Generally, car insurance agents that choose to stay with one insurance company can earn much more than those individuals choosing to work independently. Another factor that has to be considered is where the agent operates. Biloxi, being a medium size city close to other cities such as Gulfport means that a car insurance agent can earn a substantially higher commission than one that operates out of a small town with fewer people living there.
It has been said that car insurance agents usually earn anything from 15 to around 20% off every car insurance policy they sell. What this means is that if a car insurance policy worth $1400 annually is sold, the car insurance agent can make around $210 to $280 in commission. It might seem that the commission earned from a car insurance policy is low, but that typically depends if the policy is bought by a new client. During the first year, the car insurance agent earns about 10 to 15%. Nevertheless, there is potential for more earnings every year after that. This is because when a return customer is signed, the commission rises to 12%-20%. Most car insurance agents tend to make the larger part of their salary from renewing policies.
Why do car insurance agents have lower commissions compared to agents of
other insurance policies?
The commission that car insurance holders get is relatively low due to a number of reasons. First, the car insurance industry is extremely competitive. Just the sheer number of competitors ensure that the commission a car insurance agent can get is kept in check. That being said, there is possibility for growth and with every renewal of a policy, the commission of a car insurance agent operating in the city of Biloxi rises.