Become an Auto Insurance Broker In 6 Steps

• Posted on Autos.com Editor
• in Auto Insurance
• on October 7, 2013

You can become an auto insurance broker in 6 steps. An insurance broker is a person who searches for the cheapest insurance for customers. That means that insurance brokers don’t represent one company, but will consider all companies to ensure the best price for their customers. An insurance broker should not be confused with an insurance agent who usually represents one customer. Both usually work on a commission basis. Every driver needs car insurance, so a becoming an auto insurance broker might be a resourceful way to bring in an extra income. The person first needs to acquire a broker’s license in order to become an insurance broker.

Process:

1. The first thing a person should do before attempting to become an auto insurance broker is to make sure they have a clean criminal background. If a person has been convicted of a felony, that person typically will not be considered. However, misdemeanors are considered on individual cases.
2. An interested person should also consider their financial background. A company may also perform a credit check and someone with poor credit history or a bankruptcy may have difficulty becoming licensed or even denied altogether.
3. Contact your state’s Department of Insurance. Requirements to become a fully qualified auto insurance broker vary from state to state due to regulations. Some may require an interested person to attend a class, others may approve self study.
4. Prepare yourself for the licensing exam with study material. If you study from a study guide from the company who administers the exam, you might be better prepared.
5. Schedule the class and attend the required class if applicable to you.
6. To become an insurance broker, a person must pass their state’s Property Casualty licensing exam. Find a testing center in an area near you. Schedule the test. If you pass the test, the administrator will inform the state that you tested in and also send you your broker license through the mail.

After getting the initial license, consider getting certified in auto insurance. Clients and companies might revere a focused broker more.

An auto insurance broker usually gets their start working in an auto insurance brokerage firm. They will begin service at the entry level position, which typically is an assistant to a customer service  type position. Than as a person gains more experience and education, they can become a customer service representative, and move beyond that position in years to come. Another option would be to start their own company and build clientele.

Becoming an insurance broker does not have to be hard as long as you are realistic and committed.