You may have heard about how much you can earn from selling life insurance in India, but you might wonder if those figures are too good to be true. It's important that you understand the benefits of selling life insurance in India, especially as an LIC agent. You also must know what salary you can expect as a part of your compensation package from this line of work. Continue reading below to learn more about the LIC agent salary in India and how LIC agents are compensated for their work.
Did you know? The average LIC Agent income in India ranges from ₹0.3 lakhs to 4.0 lakhs per year for individuals with less than one year of experience.
LIC Agent Income and Job Scope
LIC agents are typically employed by local LIC branches to perform various roles. The scope of work includes preparing new policies, renewing existing policies, enquiring about policies, and delivering them to customers. LIC agents are also responsible for receiving payments from customers. Their salary depends on seniority but can range from ₹10,000 to ₹25,000 per month or more for senior managers. LIC agent salary per month ranges from ₹30,000 to ₹50,000. LIC agent income can be good if you find the right company with good benefits and commission.
LIC Agent Job Salary Structure
There are numerous presumptions about LIC agents' salaries, and applicants frequently inquire about how much LIC agents are compensated. Here is some information to help you understand LIC agent commission for successful sales, fixed monthly payments, etc.
According to statistics, the average LIC agent monthly salary varies from ₹39,200/- to ₹67,000/-. The estimate varies according to the types of policies an agent sells and the number of insurance premiums by policyholders. As a result, an insurance agent's job doesn't end with selling a policy. They have to keep in touch with their clients to ensure regular payments of their due premiums. It increases the amount of commission and money paid to LIC officials.
However, apart from LIC agent salary, they qualify for several other benefits as their business expands. Membership, low or no-interest loans, free medical insurance, gratuity, and other advantages are available to them.
The commission on old LIC policies decreases in the second and third year to 7.5%. It is further reduced to 5% for the remaining term. If you give the company a minimum of ₹2 lakh in business, you can continue to earn this commission for the duration of the policy.
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Basic Salary Commission
Basic salary – The basic salary is calculated every month and depends on three factors:
i) Number of policies sold
ii) New business premium value and
iii) Size of policy (total sum assured)
Hence, to calculate the LIC agent salary per month, consider the above-mentioned factors as well.
LIC agents generally get paid every two weeks, so divide your monthly amount by two. For example, if you're getting paid ₹15000/- per month as LIC agent salary, then you'll make ₹7500/- after dividing it by two for each pay cheque (₹3750/- for each pay cheque). LIC agents who have just started working with the company are usually eligible for the first-year incentive bonus, ranging from 25% to 75%.
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Starting Your Career as an LIC Agent
If you're just starting and looking for your first job, there are a few things to consider when searching for an LIC agent position. First, if you have previous experience in sales or insurance, this will make you more valuable to prospective employers. If you don't have much experience, but can offer valuable skills like advanced IT knowledge or strong customer service skills, that could prove advantageous. The main thing is to figure out what skills will be most valuable to employers at any given point and how your experience might align with that. The final task is to research the LIC agent income that comes with this position.
Benefits of Being an LIC Agent
The following are the top five advantages that LIC provides to its officials:
- Becoming a Part of an Effective Group: Becoming an agent with LIC gives you a chance to become a member of the country's best team of life insurance providers. LIC helped 4,021 representatives to contribute to the Million Dollar Round Table in 2015, a worldwide message board honouring the world's greatest financial advisors.
- Attractive Recompense: LIC has one of the finest rewards systems in the industry, which covers your reported wages and assurances of potential income. As an LIC agent, you could indeed set your own earning targets and earn as much as you choose for your entire life.
- Work Independence: As an LIC Agent, you can be your own boss, work for yourself, select your customers, and earn money without needing initial capital.
- Top Quality Training: LIC provides quality training to its agents, which sets them apart from other insurance companies. Even if you have no retail experience, LIC's multi-dimensional training program can help you. Led by competent in-house training personnel, it will turn you into a life insurance marketing strategist.
Career Growth
LIC agents are trained to help people manage their finances and plan for the future. They can advise customers on general insurance or financial investments. It is a good way to make money by helping others become financially independent. Since LIC agents are classified under a nonmedical profession, they do not need any degree or certification to start working. Their monthly income depends on how much they sell and how good they are at selling products. If they work hard and the company believes in them, the LIC agent monthly salary will go up accordingly.
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What Are the Requirements to Become an LIC Agent?
At first glance, the requirements don’t seem too complicated. Just apply online, and if your resume is selected, the company will call you for a telephonic interview. But before applying, it helps to ask yourself one question. Do I want to work as an agent for a life insurance company? If your answer is yes, go ahead, and apply with confidence.
Conclusion:
There are plenty of opportunities to earn a great living as an LIC agent. Not only do you work manageable hours, but you also get to make extra money by selling policies on your own time. When you compare that with being an employee, it's no wonder many people choose insurance sales as their full-time job. It doesn't take much skill to succeed either. Most agents reach their first milestones within just a few months, and others have been known to make six figures before even reaching the third year. You can do well for yourself if you put your mind to it, and you get to choose when and where you want to work.
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