Ins Agents. Why Bottom 10% Earn $27,430. Top 10% Earn $128,070?

Discussion in 'General Insurance Agent Discussions' started by entrep1776, Jun 6, 2017.

  1. entrep1776
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    entrep1776 Well-Known Member

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    From:
    https://www.bls.gov/ooh/sales/mobile/insurance-sales-agents.htm
    The lowest 10 percent earned less than $27,430, and the highest 10 percent earned more than $128,070

    Another interesting:Job Outlook, 2014-24 9% (Faster than average)

    Already thread that discusses why agents fail probably little similar to this.

    Curious about reasons/behaviors why some agents make $25k. Others make $125k?
     
  2. rousemark
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    rousemark Well-Known Member

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    Some pedal, some coast.
     
    Last edited: Jun 6, 2017
  3. DS4
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    DS4 Well-Known Member

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    Effort=$$$$$$$$$$$
     
  4. DHK
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    DHK Well-Known Member

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    I will tell you EXACTLY why that is:

    DEPENDENCE: I don't know how you grew up, but when I was a kid, if I wanted something, my choices were: do chores around the house to earn it, wait for Christmas or your birthday, or do without. I always had sufficient for my needs, but I didn't necessarily always have what I wanted.

    INDEPENDENCE: As a kid, we probably couldn't wait to become an adult with our own money to make our own choices and do whatever we wanted. (Heck, once you're 18, you can get a credit card and spend OTHER people's money and buy whatever you wanted.) But you didn't have to ask someone else for permission anymore.

    Prospecting can feel like you're going back to being "dependent". Particularly if you don't feel you have a unique selling proposition, you can feel like you're a kid again... "professionally begging" LOTS of people (not just your parents)... and every 'no' feels more like a personal pain against your own internal embarrassment that 'in order to make the big money, you have to do what you feel is beneath you'. You certainly don't feel 'independent'.

    UNDERSTANDING SELF-SABOTAGE: This is why producers stop doing what works, why the goal is to 'stop prospecting', and why there is a "pain of rejection". It's not hearing 'no'. It's the fact that you FEEL like everyone else gets to determine whether or not you get paid today or not = feeling dependent and not able to determine your own future... unlike at a "job" where at least you get a steadier paycheck, right?

    Ever wonder why people stop prospecting? It's because they finally feel "independent" enough.

    Ever wonder why people want to work referrals instead of prospecting? It's so they can feel "independent" and not feel "dependent".

    It's your own self-talk and valuing independence that gets in the way... and we can't fix that until you have something new to think about.

    In Stephen R. Covey's 7 Habits of Highly Effective People, we learn where you REALLY are in your effectiveness.

    [​IMG]

    INTERDEPENDENCE: Look at habits 4, 5, and 6.
    4 - Think Win-Win: This must be at the core of your prospecting message and intent.
    5 - Seek first to understand, then to be understood: This is all about doing a good fact-find.
    6 - Synergize: Make your solutions better than what they already have.

    This is what we are all about as sales-people: Interdependence... not dependence.

    Think about Donald Trump (as a business man, not as a politician). Could you imagine anything making him feel "dependent" when he gets on the phone to call someone? Could you imagine him making a deal where both parties couldn't both 'win' on some level? (Hey, he did write "The Art of the Deal.")

    You can't fix your thoughts overnight. But at least, when you think that you're tired of this gig, you can realize that you desire independence, and that desire is hindering you from doing what you need to be doing, because you think that prospecting is a state of 'dependence'.

    This is what all those "never cold call again" and "referrals only" training books are missing! They view cold-calling as an act of desperation, when the reality is that you're offering your professional help and expertise.

    You just need to get out of your own way to do it.
     
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  5. Bevo
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    Bevo Well-Known Member

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    Excluding extremely rare cases of people just getting lucky, the bottom line is those making $25K DESERVE to make that much, just as do those who are making $125K and beyond. Simply put, they are out doing things over and over again that result in generating that much income.

    If you get compensated based on the value you bring to the marketplace (and you do, Jim Rohn Quote btw) then those making the higher incomes are obviously bringing far more value than those who are not.

    Value can be defined as more knowledge, experience, or in many cases they're simply seeing more people. More people = more value in numbers.

    There's a ton of psychology behind the reasons people stay at the bottom (almost always fear based), but there's also a huge problem in this country of the whole stereotype of being "rich". It's almost become a bad thing to be financially independent in many people's eyes. Of course the term "rich" is used by the media and people who aren't rich, often in a derogatory tone as if everyone who is rich somehow got there by cheating or stealing, or manipulating others.

    We live within our own internal thermostats. If you think you can only get to $40K, or $50K, or $100K, you will. Anything over and you might sabotage your own success. It's simply "too hot" for your comfort zone.

    What it usually comes down to is those people making the big bucks simply did things that other people weren't willing to do, mostly working their asses off. But also in their own mindsets.
     
  6. mr_furly
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    mr_furly Well-Known Member

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    such a great post
     
    Last edited: Jun 8, 2017
  7. sshafran
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    sshafran Well-Known Member

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    I didn't take the time to read all of it, but I'm assuming that they are not referring to profit - they're referring to earnings. So, those numbers are likely lower in reality - which is why so many agents get licensed, buy some leads or pay for their picture to be on a grocery cart [yep - I've seen that too] only to not sell enough to keep going.
     
  8. Josh
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    Josh Well-Known Member

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    This number is probably going off taxable income.

    Something to consider is they likely are also considering salaried positions and the like.
     
  9. GoPokes
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    GoPokes Well-Known Member

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    There's probably a lot of agents who work administrative positions, or salaried, but must be licensed, so that could also skew the averages a bit.
     
  10. Josh
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    Josh Well-Known Member

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    I would think it skews it in the middle. Of course the Bankers Life agents are taking all of those top positions ;)
     

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