How to Become an Insurance Broker


Jim Hatton has been a licensed insurance consultant in the insurance business since 1988. He owns Jim Hatton Insurance Agency in Medford, Oregon, where he helps businesses and companies find appropriate insurance solutions. Jim earned his Bachelor of Business Administration from Polytechnic University in Pomona, California. Before opening Jim Hatton Insurance Agency, Jim was a district manager for Farmers Insurance.

What is an insurance producer?

According to America srica, an insurance company, insurance producers used to be called agents. An insurance producer sells insurance for a commission. A professional insurance producer analyzes needs while weighing risks and presents different insurance solutions.

Why did you decide to become an insurance producer?

I decided to become an insurance producer because most people don’t understand or want to understand insurance. I try to simplify a complicated and technical subject.

Are there common misconceptions about your profession?

As with any profession involving commission-based sales, people always have misconceptions about the producer’s motivations for recommending particular coverage. However, insurance is a complicated subject, and many factors are involved.

What is a typical day like for you?

When I acquire new clients, I spend considerable time analyzing their individual risk portfolios, pricing the account, and getting underwriting approval. I also perform regular service work for my current business clients, such as changing their coverage as their needs change. In addition, I maintain my business. Because I own my agency, there are always administrative responsibilities, continuing education requirements, and keeping up with the changing industry. For the most part, I work a standard business schedule.

What are your favorite aspects of your job?

My favourite aspect of my job is helping people solve their problems. I especially enjoy helping people plan for their future retirement.

What are your most minor favorite aspects of your job?

My most minor favorite aspect of my job is dealing with clients who are late paying their premiums.

Is there anything you would have done differently while studying to become an insurance producer?

Hindsight is always so much better! If I had it to do over again, I would take advantage of the risk management courses offered by more colleges today.

What classes did you take in college that are most relevant to your job?

Some of the most relevant classes that I took in college were my finance and business management courses because they directly relate to my current work.

What personality traits do you think would help someone to be successful as an insurance producer?

In order to be successful in the insurance business, it is crucial that a person have the ability to interact with people. But people saren’taren’t enough because insurance producers must also pay attention to the small details to market insurance successfully.

What personality traits might cause someone’s success as an insurance producer?

If someone is introverted, they will probably not be successful in the insurance business. In addition, anyone who tends to be challenged with completing activities is not suited to a career as an insurance producer.

What advice or words of caution would you give a student considering studying to become an insurance producer?

If you are considering becoming an insurance producer, I would suggest that you focus your attention on large business accounts. This is an area of accurate account management, and there are so many ways to serve your clients.

Becoming an insurance broker typically involves a combination of education, training, and licenses a general roadmap to becoming an insurance broker:

  1. Educational Requirements:
    • Obtain a high school diploma or equivalent. While a college isn’t always required, having one in a related field such as finance, business, or economics can be beneficial.
  2. Gain Relevant Experience:
    • Many insurance brokerage firms prefer candidates with some prior experience in insurance sales, customer service, or a related field. Consider working in an entry-level position within the insurance industry to gain valuable experience and insights.
  3. Complete Pre-Licensing Education:
    • Most jurisdictions require aspiring insurance brokers to complete pre-licensing education courses. These courses cover insurance principles, regulations, ethics, and sales practices. The number of hours and specific requirements vary by state or country.
  4. Pass Licensing Exams:
    • After completing pre-licensing education, you must pass one or more licensing exams administered by the state’s insurance regulatory authority or a relevant governing body. These exams assess your knowledge of insurance concepts, laws, and regulations.
  5. Obtain Required Licenses: Once you’ve passed the licensing exam, you’ll need to apply for an insurance broker license from the state’s regulatory authority or licensing department. This may involve submitting an application, undergoing a background check, and paying any applicable fees.
  6. Continuing Education:
    • You’ll likely need to complete continuing education courses regularly to maintain your insurance broker license. These courses help you stay up-to-date on changes in insurance laws, regulations, and industry best practices.
  7. Join Professional Associations:
    • Consider joining professional associations for insurance brokers, such as the Independent Insurance Agents & Brokers of America (IIABA) or the National Association of Insurance and Financial Advisors (NAIFA). These organizations offer networking opportunities, educational resources, and support for insurance professionals.
  8. Develop Sales and Networking Skills:
    • Successful insurance brokers often have solid sales and networking skills. Focus on developing these skills through training, practice, and real-world experience. Building relationships with clients, insurers, and other professionals in the industry can also be crucial for success.
  9. Consider Specialization:
    • Some insurance brokers specialize in specific types of insurance, such as life insurance, health insurance, property and casualty insurance, or commercial insurance. Specializing in a niche can help you target your marketing efforts and better serve clients’ needs.
  10. Stay Informed and Adapt:
    • The insurance industry constantly evolves, changing regulations, technology, and consumer preferences. Stay informed about industry trends and developments, and be prepared to adapt your strategies and offerings accordingly.

By following these steps and staying committed to ongoing learning and professional development, you can build a successful career as an insurance broker.