Home-Based auto insurance broker

Insurers and the brokerage pay you commission on policies you place. Drivers usually pay only their premiums, not a fee to you. Your clients are new drivers, newcomers to Canada, families, and people whose renewals have jumped.

You earn commission on new policies and renewals, usually shared with the brokerage. Income builds slowly as your book of renewing clients grows. Some brokers add small fees for certain services where the rules allow.

• Clear explaining of complex products
• Sales and follow-up
• Detail and record keeping
• Patience with nervous or confused customers

• Licensing differs by province: check your provincial regulator, and note that Quebec has its own rules and French-language requirements
• Auto insurance is public or partly public in some provinces, so check what a broker can actually sell in yours
• Errors and omissions insurance, which is often required, so check who provides it
• Commission is slow to build, so plan for a few lean months
• Check whether your municipality requires a home-based business licence
• Privacy rules for client data and secure storage of records

Estimates suggest startup costs are typically around $1,000 to $5,000, depending on your licensing, equipment and errors and omissions insurance, which is often required. You work from home under an established brokerage.

Monthly revenue is typically estimated at around $1,200 to $6,000, depending on how many policies you place. Commission is slow to build, so plan for a few lean months.

Check licensing with your provincial regulator, as it differs by province, and note that Quebec has its own rules and French-language requirements. Also check what a broker can sell where auto insurance is public or partly public, and any home-based business licence.