To start and build a successful insurance agency is no easy feat. Success comes from a fundamental desire to be a part of the insurance industry, providing people with a service and products that have true value. While starting a business may not be easy, if you take the time to plan and prepare, you’ll build a solid foundation for success.
Build a Successful Insurance Agency
Being your own boss sounds like a great idea, but a lot goes into having a successful business. How can you make sure your independent insurance agency gets started correctly? These tips can help:
- Industry Experience
- Startup Capital
- Office Space
- Business Plan
- Sales, Management, and Communication Skills
Fundamentals for Starting an Independent Insurance Agency
Past Experience
Before you can be the boss in any industry you need to have past experience. Your greatest sales tactic will be proving your expertise in insurance. While you don’t necessarily need a college degree, you do need to have experience in the industry.
At Affordable American Insurance, we require that all agents have at least two years of experience working as a captive agent or for another independent insurance agency before they become an agency owner.
Startup Capital
To start your independent insurance agency, you need investment capital. The purpose of your startup money is not just to help you get started and cover for things like office space and equipment, but also to keep you afloat until you become a stable business.
Office Space
You’ll need a physical office space. While the world is moving towards remote working and working from home, insurance providers and carriers will want you to have a business address and a physical location for your agency.
Business Plan
Any startup should write a business plan, regardless of your industry. This will help set the framework for your business and keep you focused. Carriers will also refer to your business plan for assurance that you will represent their brand and products well.
Sales, Management, and Communication Skills
It's ideal to have a good set of management skills when you're thinking to start your own independent insurance agency. Experience in marketing, sales, and administrative management greatly contribute to your new business venture.
Finally, you need great sales and communication skills to reach, connect, and engage your target audience and position your agency ahead of the competition.
Support and Training to Build a Successful Independent Insurance Agency
AAI is one of the fastest-growing insurance networks in the nation. We help aspiring agents start and build an independent agency and existing agents grow bigger, faster, more efficiently. For more information on the tools, training, and technology we offer our members, contact us today.