Buyer Agent Tips

If you’re buying a home and plan on using an agent, there are several steps to follow to ensure you’re making good decisions. (For more, see: Finding a Good Real Estate Agent.)

• Shop around for the agent with the best reputation. Paying a premium for someone who can get you the best deal can save you thousands of dollars or more.
• Negotiate commissions. The only exception to this rule is if you’re working with a top-tier agent which would make full commission justifiable because that agent will save you money.
• Don’t reveal to the agent what you’re willing to pay for a home while offering a much lower amount to the seller. The agent might use this information to his advantage if he’s more concerned with his commission.
•  the web site for the National Association of Exclusive Buyer Agents. This site will help you find buyer agents who have no ties to seller agents. This is also a good way to find a buyer agent who works on a fee structure as opposed to commissions.
• Be wary of inspector lists provided by buyer agents. The buyer agent and inspectors on that list might have a mutual interest that doesn’t benefit you – it's possible that the inspector won’t disclose the real damages to the home because the buyer agent wants the commission when you buy the home and the inspector wants repeat business from the buyer agent. (For more, see: What Real Estate Agents Don't Want You to Know.)

A day in the Life of a Real Estate Agent

Real estate agents assist people through the process of buying, selling and renting land,
homes and other properties.

In addition to staying current with real estate laws and trends, real estate agents are tasked with a multitude of daily duties and responsibilities, from lead generation and marketing, to open houses and property closings. One of the appealing aspects of working as a real estate agent is that each day is different, and responding to the changing needs of buyers and sellers often means shifting gears at the last minute. Although every day is unique, there are some activities that may be typical in a day in the life of a real estate agent.

Administrative Duties :
On any given day, some of an agent's activities will be income-producing while others will be strictly administrative.

Lead Generation :
Finding clients is central to a real estate agent's success; without buyers and sellers there would be no transactions and, therefore, no commissions. A popular way to build contacts and generate leads is through a real estate sphere of influence (SOI) strategy that focuses on generating leads through the people the agent already knows, such as family, friends, neighbors, classmates, business associates and social contacts.

Because most people will sell, buy or rent property at some point in their lives, every person that an agent meets is a potential client. That means that a real estate agent's day often includes meeting and speaking with lots of people, giving out business cards, and keeping track of contact information for a growing sphere of influence. Meeting people and handing out business cards is only one step in cultivating new leads, however. After the first contact is made, it is important to follow up with periodic phone calls, emails, snail mail or text messaging to keep the agent's name fresh in the minds of all potential clients.

Working with Clients :
Whether working on behalf of buyers or sellers, real estate agents typically spend time each day working directly with clients. A seller's agent, for example, may spend time preparing a listing presentation, taking digital photographs of the property and staging the home so it shows well. A buyer's agent, on the other hand, may spend time combing through the MLS to find appropriate listings, printing or emailing the listings to the potential buyers and showing the property to interested buyers. Real estate agents also accompany clients to inspections, meetings with loan officers, closings and other activities where their presence is either required or requested.

Meetings and Tours :
Real estate agents work for and under the umbrella of designated brokers, and as such, typically work in an office with other real estate agents and brokers. Regular office meetings allow agents to share their new listings, update other agents on price reductions and discuss buyers' needs, and can help agents line up buyers and sellers.

Some agents participate in MLS tours to view a number of new listings each week or each month. This can help agents narrow the search for a buyer since they have seen the properties firsthand and can share detailed information with buyers. Likewise, an MLS tour can be beneficial to agents who are working with sellers: after seeing the competition, it may be easier to determine a good listing price for the seller's property.

Continuing Education, Certifications and Designations :
A real estate agent must be licensed in the state in which he or she operates, and is required to earn continuing education credits in order to maintain an active license status. In addition to these requirements, most agents pursue real estate certifications and designations to improve their credentials and marketability. Although earning and maintaining a license, certification and/or designation will not be a part of an agent's daily schedule, it is part of many agents' overall plan for improving skills, proficiency, knowledge and marketability as a real estate professional.

The Bottom Line :
Real estate agents balance their time between daily administrative duties and income-producing activities. Often, this means spending time at the real estate office (or a home office), meeting with clients, staging or showing homes and traveling. Most agents have a long and varied list of daily duties and responsibilities that can change with little or no notice. As a result, there may be no such thing as a typical day in the life of a real estate agent – an aspect of the job many agents find attractive

1-8 Qualities That Make a Good Insurance Agent

People Skills

• Puts the needs of the client first - An agent who is only out to earn a commission, regardless of the needs of the client, is not likely to last long in the business. Agents and brokers who listen carefully to what their clients and prospects say will be able to earn their trust, which is the hardest part of their job. Those who are willing to put their clients into a product that pays a lower commission because it better fits their needs are much more likely to be successful.
• Good customer service - Customers who are able to get a hold of their agents when they need them are much more likely to stay happy and reassured. A timely response to inquiries and phone calls is a must, and you must be able to do what you say you will do, when you say you will do it - or at least have a good reason as to why you can't. One of the major complaints of those who buy life insurance policies is that there is no one around to answer their questions after they have purchased the policy. 
• Emotional intelligence - This includes the ability to listen and empathize with clients on a deeper level in order to discern what they really want and need. A good agent is tactful and knows how to help a client see financial reality clearly, even when the client is dead set against it.

Strong Personality

• High energy level - One of the most important traits of a good insurance agent is that they appear to be excited and eager at all times. A worn-down or dreary disposition will immediately rub off on clients and discourage them from buying anything.
• Persistence - This is perhaps the most vital quality of any good insurance agent. Those who work in this field absolutely must be able to handle rejection on a daily basis over the course of their careers, and do it with a smile. Good insurance agents understand that each "no" only brings them closer to someone who will say "yes."
• Honesty - Insurance agents who use deception to close business seldom stay with the same company for very long - and can end up behind bars in some cases. A good agent knows that telling the truth up front will win them clients' respect and trust and is likely to lead to repeat business over time. 

General Knowledge

• Wide array of products - As the old saying goes, if all you have to work with is a hammer, then everything in the world looks like a nail. A good insurance agent will be able to offer a comprehensive selection of products and services that can meet any reasonable need a client might have. 
• Technical knowledge - A good insurance agent knows much more than how to sell a policy. The agent must understand the tax and legal aspects of the products he or she sells and how they are designed to fit into a client's overall financial situation. 

The Bottom Line

• These are just some of the qualities that life insurance agents must possess in order to be successful. The life insurance business can be very challenging and immensely rewarding for those who are willing to learn the necessary skills to build their business. For more information on how to become a successful insurance agent, contact the recruiting offices of a few different agencies or a headhunter who works with insurance agents.

Insurance Agent Qualifications

As mentioned before, life insurance is not a profession for the thin-skinned or faint-at-heart. In fact, more than any other factor, including education and experience, life insurance agents must possess a fighting spirit. They must be people who love the thrill of the hunt, the rush of a sale and see rejection as a stepping-stone to eventual success. A career in life insurance sales is not ideal for those who view themselves as introverted, soft-spoken, or afraid of conflict.

The vast majority of life insurance companies have no formal education requirements for becoming an agent. While many prefer college graduates, this general rule is constantly overlooked in favor of the "right" candidates. Previous experience in the insurance industry is not required because most medium and large insurance carriers have internal programs to train their salespeople about the products they're going to sell.

While it may prove easy for a tenacious go-getter to get hired at a reputable insurance company, there is one non-negotiable hurdle that stands between a potential insurance agent and his or her commissions: state licensing. Insurance agents are currently licensed by the individual state or states in which they'll be selling insurance. This generally requires passing a state-administered licensing exam as well as taking a licensing class that typically runs between 25-50 hours.

The Business Plan–Five Things Every Business Plan Should Address

We will not bore you with the “not planning is planning to fail” lecture, but just about every industry
relationship you need will require a formal business plan.
The business plan consists of a narrative, resumes and several financial worksheets. The five things every business plan should address are:

1. People – At its core, the fundamental value of an agency is in the capability of its people to execute its objectives. Therefore, your business plan should include information about the people who are responsible to execute it. At a minimum, include resumes of each of the key players that describe the professional and personal background relevant to the agency business as well as the knowledge, skills and abilities possessed by each. For start-ups, a lack of demonstrated track record may inhibit your ability to attract prospective employees, customers and carriers. To mitigate this uncertainty, include an explanation of who you know and how you may be known in the community and/or industry.


2. The Opportunity – A key to agency success and of interest to all current and potential stakeholders is how the agency plans to acquire customers, including including with what products and services and with what advantages over competitors. This section should demonstrate that you know who your customer is, what your products and services are and how you will position your products and services to be selected over those of your competitors.

3. The Business Environment – Your business plan should demonstrate that you have a keen awareness of the external business environment in which you operate, that you understand its impact on your business prospects and how you will navigate and exploit it. The discussion should encompass regulation, the economy, labor supply, customer markets, suppliers, competitors and in what way the status of these factors is relevant to the operation of your agency.

4. The Risks – Many business plans, especially those that will be used outside the agency to attract stakeholders, often make the mistake of painting only a rosy picture; however, risk is inevitable. The best business plan readily identifies and confronts the risks to be faced. Potential stakeholders, especially prospective carriers, will develop confidence in those agencies that pose the risks and provide strategies to resolve them.

5. The Numbers – You need to have realistic expectations of where revenues will come from and when and how cash will be used; furthermore, insurance carriers will be interested in growth projections. At a minimum, you should have a start-up budget, a cash flow forecast and a production forecast.

How to Become an Insurance Agent in 1- 5 Steps

Step 1: Earn a Bachelor's Degree
Although some companies may hire you out of high school and most will train you on the job, most prefer applicants with postsecondary education in an area like business or economics. You might also choose a major in risk management and insurance, or a risk management concentration in a business administration degree, particularly if you're interested in eventually becoming an underwriter or insurance investigator.

Step 2: Complete Prelicensure Requirements
States require you to have a license in each category of insurance for which you sell policies. You will need to complete prelicensure courses and be fingerprinted or submit information for a criminal background check. Depending on the state and the type of insurance, the prelicensure course may be classroom training or self-study, requiring about 20-50 hours. Classroom-based prelicensure courses may be available at community colleges, public technical colleges or private for-profit education providers.

Step 3: Take License Exams
A state insurance license requires you to pass a licensing exam that covers state insurance laws and category-specific insurance concepts. Some types of life insurance may require you to hold a Series 6 or Series 7 securities registration. Exams for those qualifications are administered through national testing centers on behalf of the Financial Industry Regulatory Authority (FINRA).

Step 4: Pursue a Job
As an insurance agent, you might work directly for a specific insurance company as a captive agent, or you may appoint with several insurance companies and operate as an independent broker. According to the U.S. Bureau of Labor Statistics (BLS), the insurance industry is trending toward the use of independent brokers. As you start out, you'll likely receive on-the-job training by working alongside experienced agents for a training period before prospecting for and seeing clients on your own.

Step 5: Maintain Licensure and Certifications
In most states you also have to complete continuing education courses in insurance law, ethics and policy terms every two years to renew any of your licenses. Although professional certifications are voluntary ways of demonstrating to existing and potential clients that you're well versed in your specialty or specialties, courses required for many common insurance certifications may fulfill continuing education requirements for state licensure.

What is a Insurance Agent ?

A insurance agent, also called an insurance broker in some instances, is the local representative of any number of insurance companies. A legitimate insurance agency must be licensed by a state board before he or she can legally sell insurance policies to customers. Generally, an agent works as the local face of a single insurance company, but occasionally an independent agent may work with different companies depending on their areas of expertise and coverage.

Most consumers interested in purchasing insurance coverage will only deal with a local insurance agent directly. He or she is authorized to present all of the coverage options available through the larger insurance company. Since part of an agent's salary is based on commissioned sales, he or she will often offer one stop shopping for all of the customer's insurance needs. He or she may sell individual policies for car, home, life and medical insurance, or offer a package plan which incorporates a combination of these needs.

Insurance customers are required to make regular payments called premiums to the insurance company, so part of an insurance agent's job is to ensure compliance. He or she may send out reminders of an impending premium payment, or notify customers of any proposed rate changes. A good agent may also keep track of any new developments in a client's life - a new teen-aged driver or a new home, for example. Clients may need to change their coverage from time to time, so the agent will negotiate the new terms with the parent company.

Perhaps the most visible part of an insurance agent's job occurs during an actual insurance claim. Following a car wreck or natural disaster, for example, customers are urged to contact their local insurance agent as soon as possible. Claims for insurance benefits must be processed through an authorized agent who can verify the circumstances of the accident or disaster. A specialist called a claims adjustor may be sent out by the insurance agency to personally inspect the damage and calculate the value of the claim. An insurance agent often acts as an informal arbitrator between the client and the parent insurance company. He or she may know the best ways to present a claim in order to elicit the most favorable settlement from the insurers.