Home-Based independent life insurance agent

The insurance company pays you a commission when a policy is issued. The client pays the premium to the insurer, not a fee to you. Clients are usually young families, new homeowners and people with a recent life change.

A commission on each policy sold, usually largest in the first year, with smaller renewal commissions on some products. Income is uneven early on and grows as your client base and referrals build.

• Explaining complex products in plain language
• Sales and follow-up without pressure
• Organized record keeping
• Comfort talking about sensitive family topics

• A state producer license is generally needed to sell life insurance, so check your state's rules before you talk to clients
• Errors and omissions (E&O) insurance, which carriers or marketing organizations may require
• Commission chargebacks if a client cancels or lets a policy lapse early, so check each carrier's rules
• Phone and text marketing rules (such as do-not-call lists and consent), so check before buying leads or cold calling
• Selling to clients in other states usually needs a non-resident license in each one
• Income can take months to build, so plan for a slow start

Startup costs are typically around $500 to $3,000, depending on your setup and how you find clients. Check what your state, carriers or marketing organizations require, such as E&O insurance, before you spend.

Monthly revenue is typically estimated at around $800 to $4,000, depending on how many policies you place and how quickly you build clients. Income can take months to build, and commissions may be charged back if a policy lapses early.

A state producer license is generally needed to sell life insurance, so check your state's rules before talking to clients. Also check E&O requirements, phone and text marketing rules, and whether you need non-resident licenses to sell in other states.