An Insurance Broker represents clients like employers who buy insurance. An Insurance Producer is licensed and regulated by States to sell insurance policies on behalf of one or more insurance carriers. Brokers are often the intermediary between a client and the insurance companies. Both Producers and Brokers rely on their knowledge to be successful. They receive a commission for the sale and service of insurance policies. So, learning has both a monetary and professional benefit. Keeping up with products, market trends, industry insights and becoming intimately familiar with their clients’ needs must be on every broker’s learning and development plan.
Acquire Product Knowledge
Brokers must be able to articulate the features, benefits, and pricing of the insurance policies that they sell. One challenge of being a broker is that it can be difficult to keep up with the rules and policies of all the companies they represent. They must be familiar with their clients’ needs but be prepared to do the research and recommend plans that are best suited to meet those needs. For example, a small company wants to find a health insurance plan for their employees. A knowledgeable broker who asks the right questions regarding the budget and composition of the employee pool is more likely to support the company’s human resources organization with finding the best plan to meet their objectives.
Become Client-Savvy
In addition to getting a commission from the insurance companies, brokers may also get paid by clients for advisory services on matters pertaining to claims processing, benefits, or regulatory compliance. For instance, employers eyeing the tax savings behind offering health insurance to their employees may need to take into account the cost to comply with specific ERISA requirements such as communicating with plan participants or plan administrators. To act as a trusted advisor, client service-oriented brokers engage in active listening i.e., focus on what the client is saying (or not saying) and reframe the client’s position often by asking questions. This leads not only to a better understanding of the client’s problem but also enables the broker to offer strategic advice and build a long-term relationship.
Actively Seek Continuing Education
In addition to being product and client-savvy, growth-minded brokers and producers are also lifelong learners. They keep up with how the insurance market functions. Since brokers and producers are licensed by the State, they are required to meet annual continuing education requirements. Continuing education is a great way to develop new skills or knowledge necessary for a career growth. For example, did you know that 90% of employers say they’re investing more in mental health programs? Experienced brokers make the most of their continuing education hours by using them to keep up with market trends and industry insights.
