What's the easiest, most profitable kind of insurance to sell?

Question

What's the easiest, most profitable kind of insurance to sell?

Answer 1

Construction bonds.    The clients need them, they know the pricing, the insurance companies don't expect losses, and there's not a ton of paperwork, once the client has been underwritten and approved.

Answer 2

Life Insurance usually has the largest front end commission.  It also has the least amount of service work involved.  True the initial paperwork can be a bear, but the high commission rate makes up for it.

Answer 3

The most first year commission is earned by selling large commercial insurance policies, depending on the amount of annualized premium. The agent earns an average of about 12% of the premium, for the first year and renewal years, as long as it renews. This is a very competitive market. You may get the case this year and lose it the next, due to competition.

Example: My daughter-in-law wrote a chain of drug stores. Her commission was $40,000. That's just on one case. She specializes in commercial, although she writes it all. She is the agency owner.

Another way to earn large commission check is to sell large annuities. There are companies that pay 4%, 6%, 8%, 9% commission, depending on the product. If you write a $100,000 annuity, and your commission is 8%, that's $8000 in commission.

You can also earn nice commissions selling life insurance, depending on the amount of annualized premium. Some companies pay as much as 100% FYC.

Auto and home insurance is a consistant market. The commission rate is generally 10-15%, but they build a nice base over time.

An agent can earn a good living selling whatever his/her niche is. But I recommend being a multi-line agent, to cover any need that arises.

Best wishes, and God bless.

Answer 4

No insurance is easy to sell - everyone hates talking to insurance salesmen and you have to take and pass a different exam for each type of insurance to be allowed to sell it - life, property & casualty, medical, disability, etc