When you are first getting started in the health insurance and employee benefits industry, it’s important that you take some essential steps to ensure your success. Here’s our list of 9 priorities during your first year.
Obviously, your first priority is earning your license. Will you be working on your own, or do you want to join a larger agency? What do you want to sell? Employee benefits and group health coverage? Life and disability income insurance? Your license type depends on the answers to those questions. California offers more than 30 types of insurance license classes issued by the Producer Licensing Bureau in the Department of Insurance. Nevada has 15+ license types.
Do you want to sell in only your home state, or do you plan to sell in multiple states? If the former, you will need a resident license. If the latter, you will need a non-resident license. If you plan to sell under a business entity, you will need state approval of your corporate name.
California license information can be found on the California Department of Insurance (DOI) website. Many brokers in California who sell employee benefits choose an Accident and Health or Sickness License or a Full Life Agent license (which includes Life, Accident, and Health or Sickness).
The most common license in Nevada is a Producer license. Information on individual producer licensing in Nevada is available on the Nevada Division of Insurance web page. Business entity licensing in Nevada differs slightly.
As part of the licensing process, in California, you are required to complete a minimum of 20 hours of training and education plus 12 hours of Ethics and California Insurance Code Prelicensing education. Nevada also requires a prelicensing course and a satisfactory score on the state exam.
For more information about California prelicensing, visit the DOI website or call 1-800-967-9331.
Parson VUE does training for those interested in earning a Nevada insurance license. You can begin your application for a new Nevada license online at www.sircon.com. For Nevada licensing Frequently Asked Questions, read the online FAQs.
A wise second step is securing Errors & Omissions (E&O) insurance for yourself or your agency. Though not required, E&O coverage will protect you in your role as an advisor to your customers. Multiple E&O insurers are active and doing business in California and Nevada.
The California DOI offers information on limited liability company requirements. The National Association of Professional Agents (NAPA) offers information on available programs for different types of agents and brokers. Many Word & Brown brokers use CalSurance for their E&O coverage.
Your third priority is learning the insurance industry and your target niche. This is essential to your ongoing ability to serve the evolving needs of your current customer, future prospects, and referrals. If you don’t stay up on the products available from your carrier partners, you risk losing business to a competing broker who is up to date on the market.
To help you attract and nurture new business, your fourth priority is to develop a business plan. Your plan should include an agency/company description, market analysis, competitive examination, description of available products and services, marketing plan, sales strategy, management team roster, financial projections, and any appropriate appendix. Your business plan is designed to provide an overview of your business, market, target customers, products/services, and your strategy to achieve success in today’s competitive group and employee benefits marketplace.
Some experts might suggest that building your personal brand is your fifth priority. We believe developing your personal brand is really an extension of your marketing strategy, which is an integral part of your business plan. What’s your unique selling proposition (USP) or unique value proposition What sets you apart from your competitors? What value do you bring to the table? Those should be built into your business marketing plan. For additional thoughts on developing your UVP/USP, read our 2023 blog, Establishing Your Agency’s Unique Value Proposition.
Another priority in your first year in business is leveraging technology to simplify your operations. That includes analyzing what tech you have, what you can implement quickly, and what can you leverage through your relationship with your general agency and carrier and administrator partners. Word & Brown’s broker blog features a variety of articles on tech to help you: Customer Relationship Management (CRM), Search Engine Optimization (SEO), Artificial Intelligence, Quoting, Analytics and Data Tools, Chatbots, Blockchain Technology, IoT, Digital Enrollment and Onboarding, Interactive Customer Portals, Augmented Reality, and more. Visit our Newsroom and click on the Tech blogs that discuss the topics in which you’re most interested.
Growing your professional network should also be a high priority in year one. Whether you grow your network by being active in your local or state chapter of NABIP (the National Association of Benefits and Insurance Professionals), getting involved in expos, conferences, or community events, volunteering in your region through groups like Rotary, Lions Club, or one of more Chambers of Commerce, you can enhance your profile and connect with other professionals who may be a source of future referrals. You might develop and connection and trade leads for business you cannot handle.
As you approach the end of your first year in business, don’t lose sight of an eighth priority: investing in ongoing professional Continuing Education. Most states have a CE Credits requirement for maintaining a producer license. If you’re a California broker, you can earn up to half of the CE Credits you need each year through Word & Brown’s annual online Week of Webinars. Nevada and California brokers can also earn CE Credits through local and regional trade groups; visit the NABIP chapter listing to find a trade group that may be offering CE near you.
Tracking and evaluating your performance is an essential ninth priority – and one that can help stay on track to achieve success throughout the year. That means monitoring your progress against your established goals and objectives. Using your specific metrics for KPIs (Key Performance Indicators), you can assess your monthly or quarterly achievements, identify areas of improvement, and understand where you’re excelling and where you may be falling short. Read our 2024 blog post, Insurance Goal Setting: 7 Essential Tips for Success as a Health Insurance Agent, for guidance.
Every broker’s priorities are different, but these nine are what we think are (or should be) high priorities for most new brokers. Others to consider are lead development, nurturing client relationships, and establishing a good work-life balance (even during peak season).
Word & Brown has the tools, technology, and team to help you be more successful. If you’re already a W&B broker partner, contact your W&B representative to discuss how we can help you write more, renew more, and earn more. If you’re not working with us yet, visit us online or call (800) 869-6989 to get started.
