Being constrained to anything can be nerve-racking and tiring. Many people pursue insurance agency as a profession for freedom, good income and flexibility. But most are again confined to only a handful of pre-underwritten insurance policies. If you want the flexibility not only to sell customised policies to clients, becoming an independent insurance agent is the next step in your career.
Before we dive deep into this article, let us explain what information you will gain from this write-up. This article will cover who exactly is an independent insurance agent, how you can become one and the step-by-step guide on the process of the exam to become an insurance agent.
Let’s start with the basics first and understand who is an independent insurance agent.
Who is an Independent Insurance Agent?
Independent insurance agents are solopreneurs who run their own business by selling you insurance policies on different insurance companies. They are not company employees and don’t work under them, therefore getting more freedom and being their bosses. Independent insurance agents register themself with different companies by following some quick and easy steps for insurance agent registration. They can provide their customers with policies from many companies.
Other than that, they do all the due diligence such as research, paperwork and negotiating with the insurance company for the client. They act as a bridge between the client and the company without being pressured by the company on targets since they are not employees.
How to Become an Independent Insurance Agent?
To become an independent insurance agent in India, you must get certified in the IRDAI exam. IRDAI is the Insurance Regulatory and Development Authority of India. They conduct an exam through which you can get a certification, legally set up your office, and sell insurance policies. You can go to insurance companies and get affiliated or become partners to direct clients you procure to the insurance company.
Eligibility criteria for becoming an insurance agent in India
- The person should be over 18 years.
- The person should have a minimum qualification of 12th graduate and 10th graduate in rural areas.
Documents required to become an insurance agent
- Proof of identity (Aadhaar Card)
- Proof of Address (Residential bills)
- Education certificate (Marksheet of 12th or 10th)
- PAN Card
- 5 Photographs
Insurance Agent Exam: Step-by-Step Guide
Step 1: Register on the official website of IRDA for the insurance agent exam. The exam application generally opens in the first week of April. The registration fees are 250 and 300 exam fees per subject.
Step 2: After Filling out the Examination form, the candidate has to undergo Agent training for 50 hours to become a life insurance agent or general insurance agent. For an independent insurance agent, it’s best to complete 75 hours of training to become a composite insurance agent who can deal in life and general insurance. You can subscribe for training at any insurance training institute as long as IRDA approves it.
Step 3: After completing the training, you are eligible to take the IRDA exam. You have to book a slot on the IRDA exam portal, which opens 1 month after the registration for the exam. After your slot is successfully booked, you will be provided with the admit card before the exam, which takes place roughly one month after the slot booking.
Step 4: Download the admit card from the official IRDA portal and give the exam in the exam centre you choose at the time of booking.
Step 5: The exam will consist of simple MCQ questions and no negative marking.
Step 6: After the result announcement, you can check the result. After passing the exam, you will get the certificate and become a certified Insurance agent.
After becoming a certified insurance agent, you can set up your office and start helping people around you. India is a big market with extremely few people subscribed to the insurance. Being independent insurance, you won’t have to deal with company pressure and can enjoy the flexibility of being an independent insurance agent.