OT Any Insurance Salesmen Here? OT

[Olddaddy]

I had a kind of odd email today from an insurance company offering me an opportunity to work for them. As I know absolutely nothing about insurance, or selling it seemed, well, odd! My first, second, and third thoughts were SCAM. My wife says I'm negative. In any case, I'd like to share it with someone who does know something about insurance, health insurance to be exact, and get your opinion......something new everyday!

[JerseyHarold]

Last year a friend of mine was unemployed and was recruited by a health insurance company at a job fair. He went to the second interview and there was something obviously wrong with their presentation, so he bailed.

[PatS....]

Here in Alberta you need to be licensed by the gov't to sell insurance. Requires a course of about 2 yrs I think. I'm sure for most places a specific license to sell insurance is required.

LICENSING REQUIREMENTS FOR GENERAL INSURANCE AGENTS

General Insurance Council

1. Applicants for General insurance licenses should complete the application Form #1 or Form #2 if applying as an

employee of a business and is being recommended by the licensed Designated Representative.

2. New applicants for a general insurance agent are required to pass an examination before a license can be issued.

Please see examination procedures. All new applicants must provide an original security clearance document

which is not more than three months old.

3. Examinations are not required for persons who held, in Alberta, the class of license being applied for within the

previous 2 years, nor are examinations required for Hail or Livestock classes.

4. Non-residents and persons who were licensed in another jurisdiction within the last year must submit an original,

personal non-resident endorsement or other certificate of status, not more than 3 months old, from the appropriate

licensing authority in their home jurisdiction, if they wish to be exempted from the examination. Non-residents will

be licensed at a level equivalent to the one held in their home jurisdiction.

5. If a license is to be issued in the name of a business and you are to be the "Designated Representative" to act for that business you must also submit an application for a corporate certificate of authority (Form #6). If the business is a non-resident, it must provide evidence that it is licensed as an insurance agent from the appropriate licensing

authority in its home jurisdiction.

6. A license cannot be issued in the name of the corporation unless the corporation is registered in Alberta. Please

check with any private registry office for further information.

7. It is a requirement of the Alberta Insurance Act that you carry on business in Alberta in the name in which you are

licensed. Please be certain that you comply with that requirement.

8. New applicants for certificates of authority for General insurance will receive a Level 1 General Insurance Agent

certificate.

9. The applicant must qualify for a Level 2 - General Insurance Agent certificate by succeeding the Level 2

examination within 36 months of the first date of issue of the Level 1 certificate. Failure to advance to Level 2

within 36 months will result in the cancellation of the Level 1 certificate and the inability to reapply until the

General level 2 examination has been succeeded.

10. A person who applies for the General Insurance Designated Representative ("D/R") certificate must have:

a) responsibility for the management and supervision of the business,

established eligibility for the Level 2 general insurance certificate within the previous 12 months, and

c) had at least 24 months experience in general insurance within the previous 36 months.

There is only one Designated Representative for each business.

11. The fees for Certificates of Authority are:

General - new or renewal - $95.00 - Level 1, Level 2, Level 2 D/R, Corporate

Any Other Single Class - new or renewal - $95.00 - Agent, Corporate

If you have paid a full fee in the current licensing year any change to that class of license prior to September 1st

in that year will only require a $25.00 fee.

12. If you apply for a license on or after September 1st or apply for amendment or reinstatement on or after that date but

before October 31st the full year fee is payable but the expiry date will be the second following October 31st.

13. Your application must be recommended by a person who has specifically been authorized to recommend agents for that insurer or by the licensed Designated Representative of the business.

Edited August 13, 2009 by PatS....

[BobT-47P15]

I work in an insurance agency, on the staff.....am licensed by the state.

You get licensed in each type of insurance.....life, health, auto and fire (homes).

Then, at least in our state, you have to take continuing education.....need 16 hours

to renew your license every two years. You can take a "cram" course to do the

original license test, or study on your own. The test questions are randomly selected

from a pool by a computer.

Some companies give the new agent a desk, a phone, and a phone book and say

"go get 'em". They probably do give you some training in their product, of course.

Some companies have a lot of turnover - they know you will be gung-ho

at first, and your best friends and relatives will buy from you. Then, after

trying to sell to the general public, and not having such good luck, you

decide to call it quits. Assuming those who bought from you stay with

them, they gained a few customers.

Next guy gets a letter in the mail........etc.......sells his friends.....it goes

on and on.

Now, some guys will turn out to be good at it....will become successful

and stay with it, making a decent living. It takes, in my opinion, a

certain personality type to be good at insurance sales. Actually, some

companies may give a personality test to see if you fit the mold.

I'm really better at service than sales......but I do sell some things

along. Because of being licensed, I get mail from companies seeking

agents to run their own office. I look at them, then file them in the

circular file. Just depends what you would like to do.

Besides, I told the boss my official retirement date will be Sept 1.

As I was 66 last month, guess I'll try the "life of leisure".....yeah,

right......the Mrs has her list already started.

Don't know if any of this helps, Charlie, just some of my thoughts

and observations on the topic.

Edited August 13, 2009 by BobT-47P15

[Captain Neon]

Bob's explanation sounds familiar. I've had colleagues that have wanted out of the corporate life and have tried to sell insurance on the side. After the first few months of getting friends and family signed-up the business dries up. Kind of like Amway or Avon, they promise you the moon and try to convince folks that things will only get better. However, it takes a certain type of person to do well in sales. Most people do not have that type of personality.

[BobT-47P15]

The vacuum cleaner companies used to be notorious for the salesman "cattle call"

around here. Mainly that expensive Rainbow brand. Haven't noticed such an ad

or heard from anyone selling those things in quite a while.

[greg g]

1st question I would ask is how much out of pocket money is it gonna cost me to get this job. Lotsa scams out there where you have to buy the manuals. or sample kit, or demonstration goodies, then you are out of the buy in with no prospects for meanigfull employment.

I tried that years ago when I got out of college, trying to make some extra money.

Got "selected" by the Western Pa, Casualty and Life Assurance Company to be one of their reps. Had to drive 3 times from State College to Altoona, take some tests fill out paperwork, and attend the orientation. At the end of the orientation we ( the ones who stuck out the three sessions) were herded into the coportate board room. given a spiel by the BOSS and then asked to fork over $250.00 in 1971 money to purchase our Official WPCLA sales kit and prospect list. Thats when I headed for the door.

One of the company officials asked where I was going. I said home, Whats the problem he asked. Oh, its just that if figured that most jobs pay you, never heard of one that was the other way around. He said they would do a deal where the 250 would be deduted from future sales. I said no thanks, Three of the other guys got up and followed me out the door.

I believe the company is ow defunct if it ever was anything but a collection point for the 250 from all the prospects.

This is not to say that they are all that way but an old boss used to say, the fish that smells at the tail, most likely smell at the head as well.