Starting out selling life as an independent agent?

May 17, 2019

  1. dbab
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    Hey guys,

    I’m looking into getting my life & health license in Texas. I’m currently trying to figure out on a high level how things need to work for my specific situation. Let me give some background. I’ve been doing web development and digital marketing (seo, email marketing, facebooks ads) for about eight years. During that time, I have also done sales/prospecting through cold calling and nurturing warm leads. I'm certainly not a sales pro by any means but I do have experience and I'm fine with picking up the phone and hearing "no".

    I live in a pretty wealthy area. Median income is $80k -$100k with a lot of home owners. There is also a mix of traditional families and younger working singles/kidless couples. I’m not intimidated by meeting new people or handing out a business card. Talking in front of a group or giving a presentation doesn’t really freak me out either.

    I currently have a full time job working remote from my house, so I would like to start selling insurance on a part time basis. Since I do work remote, I can take phone calls during the day if I have to. I also have an hour and a half before work I can work on insurance related matters, and I will have about three hours in the evenings I can dedicate to insurance matters.

    Of course, the end goal is going full time as soon as I possibly can.

    Here is where I have some questions.

    1. From what I have found, life has great commissions on the first year but they drastically drop after the first year. My thought process is to start by selling term. Keep in touch with every client and occasionally send them info about how other products might help. Then pitch (I’m not sure the correct term) additional plans if helpful to my clients in year two in order to help even out the drop in term commissions. I assume there are better strategies/options. Any thoughts on this?

    2. I don’t mind doing all of my own prospecting, lead generation, marketing etc. etc., and I don’t want to be required to make a certain number calls, sales, appointments etc. etc. The captive agent route doesn’t sound appealing at all, but I am worried about my lack of knowledge. The thought of screwing up someone’s life insurance policy is my biggest fear in this whole endeavor. For new agents, is starting out captive highly recommended, or is there enough training available online e.g. insurance pro shop? DHK's thread, "Guidance for New Life Agents" makes it sound like it's possible to start out independent but I easily could have misinterpreted.

    3. When I think about the different types of insurance to sell, I’m immediately drawn to life for a variety of reasons. Second up would be homeowners. Given the demographics of where I am, would it be better in terms of earnings to focus on life or homeowners?

    I know this is long and I do appreciate all of you who read over this and provide feedback!
     
    dbab, May 17, 2019
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  2. DHK
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    DHK, May 17, 2019
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  3. dbab
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    dbab, May 18, 2019
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  4. DHK
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    I would check out your local agencies and see if there are any worth working with. Notice I didn't say 'companies', but agencies. It's all about the people in those agencies. It's far better to learn the business in person, than via video training, where you can.

    But if you DO have some experience - any financial experience - then you could learn from the resources I posted in that getting started thread and start off independent and not take the risk of having to rely exclusively on the local agencies.
     
    DHK, May 18, 2019
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  5. Travis Price
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    Do you need to start selling now?

    If not, I’ll give you the same advice I gave another prior web developer:

    Go. Online. For. Marketing.

    Pick up Jeff Root’s book “Digital Life Insurance Agent”

    SellTermInsurance.com is his bga site.

    You can start marketing in your state/area but you may want to pick up other licenses once you pick your niche.

    FYI: You need a niche. Don’t try to sell all life products to everyone.

    I wish there was a large enough scuba community in the US to make consistent money. I’d just sell to them as I’m a diver.

    Digital Content Marketing gives you a long time to learn about your products and you can fit it in a part time schedule.

    Don’t try to set the world on fire. You’ll get super overwhelmed as a part time agent. Slow burn it until you can walk from your ft job.
     
  6. dbab
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    Hey thanks, appreciate it. I would like to start selling soon, but online is definitely going to be a big push for me. My plan is to get licensed, learn the products, write out scripts, practice presentations etc. etc. During that time I'll be working on the seo/digital marketing side of things for my site. Once I have some scripts, objective handling, presentations etc. etc. down I plan on trying out door to door.

    Trying to find a niche is definitely going to be tough and certainly something that is in the back of mind.

    That looks pretty good, I'll pick up a copy.
     
    dbab, May 24, 2019
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  7. Tahoe Ray
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  8. Travis Price
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    No go to the one I gave you and get confused!
     
  9. Tahoe Ray
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  10. Travis Price
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    No thanks. I don’t sell life insurance really.
     
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