If you’re considering a career in health insurance sales, it’s important to be realistic about your chances for success.
Is selling health insurance hard? While selling insurance offers many rewards, it’s not “easy.” If it were, more people would do it. Here are some “cons” you should consider, too.
1: Your earnings depend on your sales success. Most health insurance sales professionals work on commission only – or at least primarily. What that means is if you don’t have a block of business with different effective dates, you could face some lean months. When you’re just getting started, if you’re an independent broker, you may have to work long hours to get your business going and build your reputation.
2: The insurance industry is constantly changing. This can be both a bad thing and a good thing. We discuss the “good” aspect in the previously mentioned “Things to Love” blog post. If you fail to stay up to date on what’s happening with carriers, and what new products may be available, you risk losing the sale to your competitor. Likewise, if there’s a federal or state regulation change that impacts employers, your lack of awareness could undermine your efforts to build a relationship with clients as an industry expert. You need to be constantly aware of new products and services that clients may want and regs that could impact their businesses or their employees.
3: Burnout is an industry issue. A sales career in health insurance (or virtually any industry) can be challenging. Clients are not always easy to deal with; some may view your role negatively. Rejection is a routine part of the job. The burnout rate for first-year insurance agents is high; according to some sources, it tops 90%.
Still interested? As we mentioned, an insurance sales job is not for everyone. However, if you are committed to doing what’s needed, you can earn a good income, enjoy job flexibility, and help folks find the valuable health insurance coverage they need. To get started, read our 6-Step Guide to Getting Your Health Insurance License blog post.