Insurance Agents

On the Job

Overview

Insurance agents sell policies that provide financial protection in case of death, accidents, or acts of nature.

A popular board game is the "The Game of Life." In this game, you try to collect as much money as you can. You do this by going through the different turns life can take. This includes going to college, getting married, getting a job, and buying a house. Along the way, surprise things can happen ¿ you can lose a job, end up in too much debt, and even get in a ski accident! But the game also offers some options that can help you. Often, you can save your "life" if you buy insurance.

Sometimes real life can feel as random as the roll of the dice when playing a board game. Unfortunately, accidents do happen. People may become ill or lose jobs. Real life can be downright risky and unexpected. This is why people buy insurance policies. Insurance helps cover the cost of events you can't predict.

There are many different kinds of policies that cover many types of situations. These include life, property, car, fire, medical, and dental. Insurance agents explain the different options and help customers choose the policies that are right for them. Agents discuss with customers how much protection they want and how much they are willing to pay. In some cases, they can put together customized insurance packages for different customers. They may also offer financial planning services. Agents also regularly review their customers' files and suggest changes to policies. For example, customers may need to increase coverage or change beneficiaries when their family situations change.

Insurance agents use computers to fill out forms about the items being insured. If a customer wants car insurance, the insurance agent finds out and records details about the car. These details, such as age and model of the car, affect how much protection the insurance company will offer if something happens to damage or destroy the car. Life and health insurance policies depend upon details about the customer's health and lifestyle. Customers may need to complete medical exams. Once these forms are filled out, agents forward them to underwriters who analyze the risk of insuring customers.

When accidents happen, insurance agents help customers settle their claims. They, along with adjusters, try to settle claims so that customers are happy. Agents constantly search for new customers. They may contact current customers for the names of friends or family members who might need insurance. Agents often advertise their services in order to compete with other agents.

Some insurance agents work as "independents," selling policies from several different companies. Some agents sell policies from only one company. This difference can influence how much insurance agents earn and how they get paid. In addition, some agents specialize in just one type of insurance.

In small offices, insurance agents may do some basic clerical duties, such as typing, computer data entry, and filing. They may also need specialized knowledge such as accounting. They often manage their own bookkeeping.

Work Activities

The following list of occupational tasks is specific to this career.

• Act as representatives for nationwide insurance companies.
• Explain the details of different insurance policies to customers. Customize insurance plans based on specific customer needs.
• Gather information about the items or people being insured. Calculate premiums.
• Make sure clients complete the proper forms and that any medical requirements are filled.
• Use computers to record information about customers.
• Inspect property that customers want to insure to determine the level of risk.
• Sell policies to customers and arrange payment schedules.
• Use computers and file systems to keep track of customers and their policies.
• Contact the insurance company when customers experience a loss. Monitor the claims process.
• Maintain regular contact with customers.
• Search for more customers.
• Perform administrative tasks, such as filing, bookkeeping, and processing renewals.
• Attend meetings and programs to learn about new products and services.

People in this career perform the following list of tasks, but the tasks are common to many occupations.

• Get information needed to do the job.
• Establish and maintain relationships.
• Make decisions and solve problems.
• Process information.
• Use computers.
• Evaluate information against standards.
• Communicate with supervisors, peers, or subordinates.
• Identify objects, actions, and events.
• Convince others to buy goods or change their minds or actions.
• Resolve conflicts and negotiate with others.
• Communicate with people from outside the organization.
• Work with the public.
• Think creatively.
• Develop goals and strategies.
• Document and record information.
• Perform administrative tasks.
• Analyze data or information.
• Judge the value of objects, services, or people.
• Update and use job-related knowledge.
• Explain the meaning of information to others.

Working Conditions

In a typical work setting, people in this career:

Interpersonal Relationships

• Have a high level of job-related social interaction. Agents spend a lot of time talking to customers.
• Communicate by telephone, letters and memos, and in person on a daily basis. They also use e-mail, but less often.
• Sometimes deal with unpleasant, angry, or discourteous people. This may occur when rates increase or policy amounts are higher than expected.
• Often work in a group or as part of a team.

Physical Work Conditions

• Work mostly indoors. May work outdoors to examine houses or cars that people want to insure.
• Use a car to travel to and from client homes or offices.
• Often work near others. They may share the same office space.

Work Performance

• Must be accurate and thorough in their work. Errors could leave customers without insurance.
• Regularly make decisions that strongly impact their employer's finances and reputation.
• Make decisions that affect their clients on a daily basis. They rarely consult a supervisor before deciding on a course of action.
• Rarely, if ever, consult a supervisor before deciding their daily tasks and priorities.
• Work in a highly competitive environment. Agents are constantly trying to gain new business.
• Abide by strict weekly deadlines.
• Often repeat the same tasks, such as calculating policy rates and organizing customer files.

Hours/Travel

• May work nights or weekends to meet customers who cannot meet during regular hours.
• May have flexible schedules. Most work a set schedule, however.
• Usually work full time.

Physical Demands

In a typical work setting, people in this career:

People in this career frequently:

• Sit for long periods of time.

It is important for people in this career to be able to:

• Speak clearly so listeners can understand.
• Understand the speech of another person.
• See details of objects that are less than a few feet away.

It is not as important, but still necessary, for people in this career to be able to:

• See details of objects that are more than a few feet away.
• Use fingers to grasp, move, or assemble very small objects.
• Move two or more limbs together (for example, two arms, two legs, or one leg and one arm) while remaining in place.
• Determine the distance between objects.