Why many Insurance Agents leave at early Stage

Why many insurance agents quit at early stage. The pains as some cried. 

If you know of many insurance agents that left the job they were employed to do after few months of working with the company, you may be asking yourself why it happened like that. You may ask yourself "why many insurance agents leave the job after working for a short time?" Why do they quit the job? What is really wrong with that kind of job? Does it mean that insurance agency job does not pay well?
One major reason why many insurance agents leave their job early is because it is a commission based job. It takes time to start earning well in that kind of job. It does not have any fixed salary that one can boast of that he or she will earn at the end of every month. We will be discussing reasons why many insurance agents leave the job on time in details.

It takes time to Build Customers

One thing about insurance agency job is the time it takes time to build good customers base. It is in this kind of job that the statement "customers are kings" works properly. In insurance agency job, if your customers do not pay their premiums, you may likely do not eat. What it implies is that your earnings is dependent on your customers.

It takes time to build a good customers base in insurance agency job. It is not what you rush into. So, any agent that is not patient to build the customers base will end up leaving the job within few months of being a member of the insurance company. But if he waits and builds good customers base with time, he will smile in the long run. But many leave out of patient after few months.

How many customers do an agent need to have before he starts earning well in insurance agency job? There may not be specific number of customers needed but active customers that buy insurance policies with higher risk premium can help. If you have up to 100 active customers who pays good premiums on monthly basis for insurance policies that have high risk premiums, you are good to go. If you earn commission of at least 10% of the total premiums paid, you can be good to go.

But it depends on the location. Location and understanding of the people toward insurance can go a long way to determine how much insurance policies one can sell within a period of time. In some locations, it can take an agent up to 8 months of working as a salesperson to have about 100 active policies opened by the clients he manages. While in some locations up to two years. But in total it works with time and many agents who are not patient enough leave before then.

A proposal form for insurance policy; source: Economic Times

The Pressure with Meeting up Target

Is there pressure in meeting up target when an agent works in insurance company? The answer is yes. In as much that you are a salesperson in any insurance company, you are faced with the pressure of meeting target on every blessed week. It is usually all about productions to be submitted in your unit every blessed week.

If you are not lucky and find yourself under a harsh insurance manager, you may not be able to cope at the early stage of starting with the job. There are many insurance agents who cannot take rubbish from any insurance manager who is harsh and insulting. Many agents who left at early start of their insurance agency job did so because they could no longer take the insult coming from their unit managers.

The start of some things are not always easy but some harsh managers fail to understand this. They lack the knowledge that as a beginner, you have to establish your feet before you start winning businesses in the long run in respect to marketing as an insurance agent. Because of their attitudes of severe mounting of pressure on the agents, many of them leave. They wrote resignation letter and left the job.

These salespersons would have done very well in the salesmanship job in future if they were not treated harshly by their managers initially. I know of some agents who were doing poorly at the initial state in the sales of insurance policies but today they are champions. In fact, they are the pillars of their unit. The managers they are under are happy of being patient with them because they are bringing good clients into the company. They have been among the top 100 in the chart nationwide today.

Risk management as insurance

Inadequate Orientation before the Job

Many salespersons do not know much about insurance agency job before they applied or were taken. Many thought it was just like ordinary fixed salary paid job. It is during the interview that some found out. Some in that state felt like quitting but decided to pick the offer to know if something nice would come out of it.

Later after marketing in the job for about 6 months, they decided to quit. They felt that the place was not the right place for them to continue. They never had proper orientation of the job before they applied. This makes them not to appreciate the job they do. But those who understood the job stayed and today have built their commission more than fixed salaries many people receive in some companies. It boils down to proper understanding of the nature of the job.

Conclusion

Many people quit working as insurance agents at early stage because of some reasons. Among the reasons why they do so is because it takes time to build customers base, the pressure in meeting target, and poor orientation before the job. Irrespective of all these, people still survive in this job as agents. Many agents are happy in the job today and earn higher than people who are on a fixed salary. If you are an insurance agent or aspiring to be one, I will advice you to work and be patient. The job is paying me more than some people that receive fixed salary every month.