How to Become an Appointed Insurance Broker
Insurance brokers make a good living by matching the insurance needs of their clients to the policies available from insurance companies. Insurance brokers are sales people who typically make their living on commission with little salary or base income. Insurance brokers differ from insurance agents in that they represent many insurance carriers instead of just one.
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Instructions
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Take an insurance licensing exam. Every insurance professional needs to take an insurance licensing exam before they can begin their career. Licensing is handled differently in each state so contact your state department of insurance for more information on licensing requirements where you live. You need to be licensed in each state you conduct business in. If you work with an insurance brokerage agency, they can help you get licensed.
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Find a brokerage agency to work with. While brokers can contract with insurers on a case-by-case basis, working through a brokerage agency will make the contract, appointment, quote and compensation processes much easier. Brokerage agencies also tend to negotiate better commission rates for their brokers than brokers can obtain on their own.
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Complete the appointment and registration processes. There will be mountains of paperwork to complete before you can start calling on insurance prospects. You'll need to get appointed and contracted with each carrier you want to work with. A brokerage agency will help you with this process, but it can still be cumbersome.
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Get insured. All insurance professionals should carry Errors and Omissions (E&O) insurance. Your brokerage agency might help you get this, but you should shop around for this insurance as it's price will vary greatly. This coverage will protect you in the event a client sues you as an insurance professional.
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