How to become an independent insurance broker or agent?

Answer

Before becoming an independent agent, it is advisable that you have some experience in the insurance business. Primarily because the attrition rate among insurance agents as a whole is high.

As a captive agent (one that works only for an insurer like State Farm or Progressive) you can often rely on a base salary and/or benefits to assist you as you develop your book of business.

As an independent agent, developing and managing your business is up to you. Of course, if you truly are a salesperson, the sizable increase in commissions and unlimited earnings is compelling.

The challenge is finding the right appointments. Most insurance companies do not want to appoint agents that have no proven track record, which often includes a sizable book of business, but, there are options.