Steps To Become A Health Insurance Agent

Juliet D'cruz

Steps To Become A Health Insurance Agent

Health Insurance agents work with insurance companies to sell health insurance products. If you aspire to become a health insurance agent, you must know that you will be the person to help the customer choose the best policy as per their requirement.

What is Health Insurance?

Health and medication issues are quite common now. It is also true that everyone cannot afford to pay for medical expenses. Therefore, health insurance safeguards people against financial losses due to unexpected health issues.

Health Insurance Industry in India: Interesting Facts

Since the pandemic, health insurance premiums have been the main driver of the non-life insurance industry. During the long nationwide lockdown, the health segment grew significantly by 34.2% in YTD July 2022 compared to 9.9% witnessed in YTD July FY21.

India’s health insurance is a growing market with more than 1.3 billion potential beneficiaries, out of which only 20% are covered. 

The above statistics prove a huge potential for an agent to grow in the health insurance sector.


How to Become a Health Insurance Agent?

There are policyholders and agents in the insurance sector. Firstly, you need to choose the health insurance company you would like to become an agent for. However, the total commission an agent will earn depends on the number of policies they sell. 

To become an insurance agent, an individual should be at least 18 years of age and require an address and identity proof. Also, relevant application forms have to be filled out along with the yellow form of IRDAI registration with the insurance agency/company you want to work for. 

To Become a Health Insurance Agent, You Will Have to Follow the Below-Mentioned Steps: 

  • Locate the nearest branch of the selected insurance company and talk to the Agency Development Manager or equivalent position holder such as a branch manager, to understand the process and become the insurance agent for that company. Ask for all the other relevant details. 
  • Also, visit the company’s website and apply online to become an agent. Then wait for the insurance company’s call back. 
  • Share your details via email to the agent recruitment department in the company and wait for them to call you back. You can also contact them through customer support or the help-desk number to get more information. 

Most Important Requirement: IRDAI License

As an insurance agent, you must have an IRDAI license under any insurance company to start sourcing business. To get the license from IRDAI, you will have to go through and complete 50 hours of mandatory training from any insurance company. 

After completing the training, you will get the training completion certificate from the insurance company to sit for the Insurance agent exam conducted by IRDAI. You need to score at least 50% to pass the exam. 

After you clear the exam, you will receive your IRDAI license, post which you can start sourcing business for the insurance company.

The applicant must have in-depth knowledge of the health insurance product to clear the exam. Moreover, the insurance company provides in-house training for health insurance agents. 

Insurance Sector’s Need of the Hour: Trust

To establish yourself well in the health insurance domain, you must become a people person. You need to listen to and understand their requirements and have a desire to help them understand the insurance policy you are trying to sell. You must be convincing enough to discuss the beneficiary’s insurance needs and make sure they trust you, your offerings, knowledge and guidance. 

Another important quality besides trustworthiness is being disciplined and interested in making cold calls. This is crucial to build a market base and grow your rapport in the market as a knowledgable and trustworthy health insurance agent.

Presently, all reputed insurance agencies/companies have their recruitment program that includes step-by-step processes, starting from the screening to in-house training and then the IRDAI exam.

Reasons You Should Become a Health Insurance Agent?

  • You are your boss: An agent has the freedom to work at their convenience. Be your boss!
  • No time constraints: Working full-time or part-time or crafting your working hours is your choice. 
  • Zero investment: Other than a smartphone, good internet connection and the required training, you don’t need anything else. There’s no monetary investment required for this. 
  • High earning potential: The number of hours you work has nothing to do with your earnings. The more policies you sell, the more money you make.

Things You Should Know Before You Become a Health Insurance Agent:

Insurance agents should be acquainted with the soft sales approach and expect a longer sales cycle while engaging with a new client. The first step is education because many prospects will find health insurance policies complex. 

As an insurance agent, you should simplify their choices through the following simple methods: 

  • Create easy-to-read sales materials. Developing a selling aid to help prospects select a plan. You should rather use a flow chart or develop an online tool to simplify it for customers.  
  • Do not present all the health insurance plans. Present plans that have distinct differences between them. You may, however, provide other options later if required, but make sure to keep the first choice simple. 
  • Make sure to use softer sales methods. You must educate your prospects about your health insurance products, and for that, you must be educated as well. 
  • Aim to gain your customer’s trust as it can be the greatest challenge for health insurance agents. Referrals can be your saviour at such times; it’s an excellent approach to overcome this challenge as it already gives you some credibility. 
  • Most health insurance-buying decisions are influenced by emotions. It is advisable to be appealing with hard facts. Make sure to show statistics from reputable and reliable sources supporting your claims. 
  • Take time to present customers with all the long-term health insurance benefits and costs and compare them with your premium products. 

Becoming an insurance agent is one thing, but becoming a successful insurance agent is completely different. The insurance sector is challenging but immensely rewarding for those willing to learn the required skills to build their business. 

Make The Right Choice: Choice Broking

Choose the right insurance agency, choose Choice Broking and enjoy all the benefits and perks we have to offer. To become a health insurance agent, apply now!

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