Wondering how to start an insurance business? Starting an insurance agency involves more than just selling policies; it’s about recruiting and onboarding new agents who can help your business grow. Whether you’re launching an independent insurance agency or expanding an existing business, one of the first tasks is ensuring your new agents are properly licensed and equipped with the tools they need to succeed.
This guide is designed to help insurance agencies navigate the process of building a team of licensed agents and provides key insights on how to partner with EMG Insurance Brokerage to streamline the agent licensing and onboarding process.
What You’ll Learn:
- How to recruit and onboard licensed agents for your insurance agency.
- The steps your agency can take to help agents get licensed, including pre-licensing education, exams, and appointments.
- How EMG Insurance Brokerage supports agencies with carrier access, tools, and resources for fast and efficient agent licensing.
Step 1: Choose Your Insurance Agency Model
The first decision your agency will need to make is what model to pursue when recruiting agents. For most insurance agencies, the most efficient route is to partner with carriers and offer existing products to your clients through licensed agents.
- Independent Insurance Agency: Your agency partners with carriers to sell their products. You focus on recruiting licensed agents who will sell policies under your agency’s umbrella. This option offers more flexibility and lower barriers to entry compared to starting an insurance company.
EMG’s Support:
- EMG Insurance Brokerage helps your agency access carrier relationships and provide training to help your agents get licensed quickly and efficiently. Our e-complete portal simplifies agent onboarding, from licensing to appointment.
Step 2: Help Your Agents Get Licensed and Set Up Appointments
Once you’ve chosen your agency model, your next task is to help your agents get licensed. Every agent needs to pass a state licensing exam and meet other basic requirements to legally sell insurance.
- Life and Health License: This license is common for agents selling health insurance, including Medicare and ACA plans.
- Property and Casualty License: Some agencies also require agents to hold licenses in property and casualty to offer additional types of coverage.
EMG’s Support:
- EMG Insurance Brokerage provides access to pre-licensing courses, guidance for multi-state licensing, and appointment support with carriers. Our e-complete portal helps agencies track agent progress, submit paperwork, and simplify the licensing process.
Step 3: Build Your Agency’s Foundation and Business Model
Once your agents are licensed, your agency needs a strong foundation to grow. This means registering your agency, choosing the right business structure, and planning for the long-term.
- Set up your business as an LLC or S-corporation to protect your personal assets.
- Register with the state and get a tax ID (EIN).
- Set up business banking and insurance.
EMG’s Support:
- EMG Insurance Brokerage provides mentorship, business development tools, and resources to ensure your agents can grow with your agency. From CRM systems to marketing tools, we offer the infrastructure needed to scale your agency.
Step 4: Plan for Costs and Invest in the Right Tools
As you expand your agent team, you need to plan for key startup costs. While you don’t need a huge budget, your agency will need to invest in the right tools to set your agents up for success.
- Licensing fees and E&O insurance.
- CRM software, quoting tools, and marketing platforms.
- Website and branding materials to market your agency.
EMG’s Support:
- EMG Insurance Brokerage offers access to tools and resources that allow your agents to stay organized, track sales, and communicate with clients more effectively, helping them sell more policies and grow their book of business.
Step 5: Gain Access to Insurance Markets and Carriers
To offer your clients the best products, your agents need access to insurance carriers. You can either work directly with insurance providers or partner with a Brokerage General Agency (BGA) or Independent Marketing Organization (IMO) like EMG.
EMG’s Support:
- EMG Insurance Brokerage offers your agency access to multiple carriers under one roof. We provide agents with the resources and relationships they need to sell policies from trusted providers. This allows your agents to focus on selling without having to manage carrier relationships on their own.
Step 6: Market Your Agency and Find Clients
Once your agency is licensed and has access to products, it’s time to focus on marketing and acquiring clients. Your agents need to establish trust and visibility in your market.
- Create a professional website, social media presence, and branding materials.
- Use lead-generation tools to bring in new clients and ask for referrals.
EMG’s Support:
- EMG Insurance Brokerage offers marketing tools and lead-generation resources that help your agents stay visible and connect with potential clients quickly and efficiently.
Step 7: Stay Compliant and Protect Your Agency
To ensure the continued success and legality of your agency, it’s essential to stay compliant with state laws and regulations. This includes filing the right paperwork and keeping your agency’s license up-to-date.
- Make sure you’re compliant with state and federal regulations.
- Protect your business with the right insurance, including professional liability and workers’ compensation if needed.
EMG’s Support:
- EMG Insurance Brokerage helps you stay compliant with continuing education, regulatory updates, and ongoing agent support. Our e-complete portal also helps track compliance for all agents in your team.
Step 8: Focus on Long-Term Success and Growth
As your agency grows, focus on building strong relationships with clients and expanding your team of agents. Growth takes time, but by staying consistent, tracking your success, and maintaining quality customer service, your agency will thrive.
EMG’s Support:
- EMG Insurance Brokerage offers tools and resources to help your agents succeed and grow their client base. From performance tracking to advanced training, we ensure your agency stays on track for long-term growth.
How to Start Insurance Business: Frequently Asked Questions
How does EMG support my agency with recruiting agents?
EMG Insurance Brokerage provides resources to help your agency recruit and onboard new agents quickly, including pre-licensing education, carrier appointments, and training programs. Additionally, we offer mentorship and training to ensure your agents are ready to succeed.
How long does it take for my agents to get licensed?
Typically, agents can complete the licensing process in 3 to 6 weeks. With EMG’s support, the process is streamlined, allowing agents to start selling faster. We guide them through every step to make sure there are no delays.
Can EMG help my agency access multiple carriers?
Yes, EMG Insurance Brokerage provides access to multiple carriers, helping your agents offer a variety of products and giving your agency a competitive edge. This eliminates the need for agents to individually manage carrier relationships.
What ongoing support does EMG provide to my agents?
EMG Insurance Brokerage offers ongoing training, marketing resources, and performance tracking to help your agents grow and succeed in selling health insurance policies. We provide the tools and resources agents need to expand their client base and increase sales.
Can I start an insurance agency with no prior experience?
Yes, many insurance agencies start with little to no experience. EMG Insurance Brokerage helps guide you through every step, from recruitment to licensing, so even a new agency owner can get their business up and running smoothly. With our support, you don’t have to worry about navigating the complexities alone.
Partner with EMG Insurance Brokerage to Build a Thriving Insurance Agency
Starting and growing an insurance agency can be a rewarding journey, but it requires the right tools and support. EMG Insurance Brokerage is here to provide your agency with the resources, licensing support, and carrier access you need to recruit and onboard top-performing agents. Contact EMG Insurance Brokerage today to learn how we can help your agency grow and succeed.
