How to Work As an Insurance Broker
Complete your high school education or equivalency test., Seek a degree from a university or community college., Arrange an internship while in school., Obtain a state insurance or producer's license., Apply for a job with an insurance brokerage...
Step-by-Step Guide
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Step 1: Complete your high school education or equivalency test.
The absolute minimum education requirement is a high school degree or General Education Development (GED) certification.
Fostering an aptitude for math, economics and communication during secondary education will help you with later education or training. -
Step 2: Seek a degree from a university or community college.
Although insurance brokers used to receive the majority of their training on the job, it is more common today that employers require an associate's or bachelor's degree for entry-level positions.
Pursue an associate's degree in life and health insurance.
These 2 year programs teach students about customer relations, economics, investing, marketing and managing.
By choosing this degree program at a community college, you can save time and money, if you know you want to have a career in insurance.
Receive a bachelor's degree in insurance and risk management, finance, business administration or economics.
Degree programs in insurance and risk management are not common at state universities.
Insurance and risk management prepares students to work directly for insurance companies as underwriters, preparers and insurance agency managers.
However, insurance broker employers often only require some training in accounting, customer relations and management, which you can learn with other degrees in finance, economics or business administration. , Many insurance and risk management programs require and help you arrange an internship with an insurance firm.
Although it may not be required in other programs, this practical experience will increase your contacts and make you more likely to get a job with an insurance brokerage or agency right out of school. , Each state has their own education, experience and exam requirements for obtaining a state license.
Search online by typing your state and "insurance license" into a search engine.
Many states require you to take exams administered by the Financial Industry Regulatory Authority for life, in order to sell personal, property and health insurance.
You will need to sign up for the exam, submit proof of credit hours or work experience and take each test separately.
After successful completion of the exam and a payment of fees, you will receive a license.
Other states have consolidated the licensure test into what is called a "insurance producer's license." You will need to sit for this long exam in order to sell any insurance in Maine, Alaska, Connecticut, Alabama and other states.
Then, you can pay a fee, submit an application and take continuing education credits to keep your license.
In order to become an insurance consultant and broker insurance independently, you will have to apply for a different license in most states.
You will only be able to apply for this license after 5 or more years of work experience in the field. , Choose 1 of the following tracks to gain experience and training as an insurance broker:
Look specifically for any positions that include on the job training.
Many jobs require 3 years of experience to become a broker.
This means that you may be able to find a job as a broker's assistant and receive training and promotions to become an insurance broker.
Look for a job as a customer service representative in an insurance brokerage.
This is a good way to get 3 years of experience in the insurance environment and work your way up to a broker's position.
Submit applications for promotions internally or with other companies.
It is also a good idea to keep your license while gaining this experience. , In almost all states, you are required to earn credits every year or 2 years to keep your broker's license. , You can pay for courses and a certificate to become a Certified Risk Manager (CRM), an Insurance Counselor (CIC) or a Certified Insurance Service Representative (CISR).
These certifications may help you to receive promotions, pay raises or more business as an insurance consultant. , After years of experience and networking with businesses or individuals, you may be able to work independently providing insurance solutions for companies or people.
You will need to obtain your insurance consultant's license and follow your state's guidelines for starting a new business. -
Step 3: Arrange an internship while in school.
-
Step 4: Obtain a state insurance or producer's license.
-
Step 5: Apply for a job with an insurance brokerage.
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Step 6: Take classes every year in order to achieve continuing education credits.
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Step 7: Seek a certification from the National Alliance for Insurance Education and Research.
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Step 8: Work as an insurance consultant or independent insurance broker.
Detailed Guide
The absolute minimum education requirement is a high school degree or General Education Development (GED) certification.
Fostering an aptitude for math, economics and communication during secondary education will help you with later education or training.
Although insurance brokers used to receive the majority of their training on the job, it is more common today that employers require an associate's or bachelor's degree for entry-level positions.
Pursue an associate's degree in life and health insurance.
These 2 year programs teach students about customer relations, economics, investing, marketing and managing.
By choosing this degree program at a community college, you can save time and money, if you know you want to have a career in insurance.
Receive a bachelor's degree in insurance and risk management, finance, business administration or economics.
Degree programs in insurance and risk management are not common at state universities.
Insurance and risk management prepares students to work directly for insurance companies as underwriters, preparers and insurance agency managers.
However, insurance broker employers often only require some training in accounting, customer relations and management, which you can learn with other degrees in finance, economics or business administration. , Many insurance and risk management programs require and help you arrange an internship with an insurance firm.
Although it may not be required in other programs, this practical experience will increase your contacts and make you more likely to get a job with an insurance brokerage or agency right out of school. , Each state has their own education, experience and exam requirements for obtaining a state license.
Search online by typing your state and "insurance license" into a search engine.
Many states require you to take exams administered by the Financial Industry Regulatory Authority for life, in order to sell personal, property and health insurance.
You will need to sign up for the exam, submit proof of credit hours or work experience and take each test separately.
After successful completion of the exam and a payment of fees, you will receive a license.
Other states have consolidated the licensure test into what is called a "insurance producer's license." You will need to sit for this long exam in order to sell any insurance in Maine, Alaska, Connecticut, Alabama and other states.
Then, you can pay a fee, submit an application and take continuing education credits to keep your license.
In order to become an insurance consultant and broker insurance independently, you will have to apply for a different license in most states.
You will only be able to apply for this license after 5 or more years of work experience in the field. , Choose 1 of the following tracks to gain experience and training as an insurance broker:
Look specifically for any positions that include on the job training.
Many jobs require 3 years of experience to become a broker.
This means that you may be able to find a job as a broker's assistant and receive training and promotions to become an insurance broker.
Look for a job as a customer service representative in an insurance brokerage.
This is a good way to get 3 years of experience in the insurance environment and work your way up to a broker's position.
Submit applications for promotions internally or with other companies.
It is also a good idea to keep your license while gaining this experience. , In almost all states, you are required to earn credits every year or 2 years to keep your broker's license. , You can pay for courses and a certificate to become a Certified Risk Manager (CRM), an Insurance Counselor (CIC) or a Certified Insurance Service Representative (CISR).
These certifications may help you to receive promotions, pay raises or more business as an insurance consultant. , After years of experience and networking with businesses or individuals, you may be able to work independently providing insurance solutions for companies or people.
You will need to obtain your insurance consultant's license and follow your state's guidelines for starting a new business.
About the Author
Virginia Martin
With a background in digital media and internet, Virginia Martin brings 14 years of hands-on experience to every article. Virginia believes in making complex topics accessible to everyone.
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