Insurance Agents
Insurance Agents
Insurance agents are individuals who work for insurance companies. There are different types of insurance agents depending on the nature of job and operations one has in an insurance company. In the process of making money, insurance agents incur expenses or use finances in order to complete their daily activities. Insurance agents use the money in order to make money. The aggressive an insurance agent becomes in his work the more he earns. Establishing a market segment is an important aspect in survival when working for insurance company. Some agents work for one company while others work with more than one insurance company, (Dummies, 2008).
Traveling cost is one of the key expenses insurance agents gets in their daily jobs. Unlike insurance, companies that incur no traveling costs in order to reach the clients, insurance agents must travel in order to sell ideas to the clients. It is the work of insurance agents to look for clients and not the other way. Clients stay in their places and wait agents to visit and sale their ideas. Traveling requires finances and motivations in order to get desirable results at the end of the day. Insurance agents spend a lot in traveling simply because they must look for customers to sell policies. The process of looking for clients requires insurance agents visit one place to another. It is in the process of visiting those places make agents use finance, (Gosdin, 2010).
In the current world of technology, insurance industry has significantly changed. Insurance agents use internet to sell insurance policies to clients. The use of the internet is one way under which insurance agents spend money. Research shows that agents use technology to search for new clients where they advise them on how to get an insurance policy. Insurance agents create websites where customers get quotes on the type of insurance policy they want to take. Creation of websites and maintaining them requires money. Insurance agents must pay to internet providers in order to get services that allow them reach their clients in the best way unlike in old days. When hosting their services online, they must have a variety of insurance services for the clients, (Dummies, 2008).
It is necessary for insurance agents to have a variety of insurance services for their clients. In order to survive in the insurance industry, insurance agents must have what the client’s wants. It is therefore, necessary and vital for insurance agents to plan on ways to spend on having what the client might want in taking their insurance policies. Apart from selling insurance policies, insurance agents must have other services for customers. Those services such as advice and the rest make an insurance agent incur some costs. They must spend on such services in order to convince their clients on the benefits they get after buying an insurance policy. It is a situation where insurance agents must spend on other areas in order to get clients who buys insurance policies hence make money. Insurance agents get paid according to the work they have done. They actually use all means to ensure that they have sold a lot of insurance policies by any means in order to get their share back, (Gosdin, 2010).
In some instances, insurance agents go to a point of financing customers in order to buy insurance policies. Financing clients requires agents to use their money and assist customers buy policies they feel will help them. In most cases, insurance agents get paid in terms of commission. When an insurance agent realizes that sales are low, he might decide to fund some clients to buy polices in order to increase their commission of payment. Apart from financing for policies, insurance agents spend on money on meetings. It is the work of the insurance agent to organize for meetings in order to inform and educate customers on the importance of buying policies. To get money, insurance agents must also spend some in educating the target population on the products and services they require in their business operations. Without spending some money, insurance agents may not manage to educate clients hence fail in selling the required number of policies to maximize their commission, (Dummies, 2008).
It is the work of insurance agents to fill forms for items to be insured. Filling forms requires computer application where the agents incur some costs. Neither the customer nor the insurance company caters for such costs. It is the work of the agent to know how those items will get registered and record them in the company’s system. When incidence happens, it is also the work of the agent to follow up the entire thing in determining whether the situation should be compensated. Insurance companies expect their agents to review the customer’s policies in order to determine the validity of their items. The cost of reviewing items falls on the agent’s expenses thus it counts on the basic expenditure they incur during their daily duties, (Gosdin, 2010).
Reference:
Gosdin, J. L. (2010). Title Insurance: A Comprehensive Overview: American Bar Association
Dummies, (2008). Managing Your Money All-In-One For Dummies: John Wiley & Sons
Is this your assignment or some part of it?
We can do it for you! Click to Order!
