Insurance sales agent vs licensed agent

The differences between insurance sales agents and licensed agents can be seen in a few details. Each job has different responsibilities and duties. Additionally, an insurance sales agent has an average salary of $49,587, which is higher than the $42,315 average annual salary of a licensed agent.

The top three skills for an insurance sales agent include customer service, casualty insurance and work ethic. The most important skills for a licensed agent are HIPAA, customer service, and inbound calls.

Insurance sales agent vs licensed agent overview

	Insurance Sales Agent	Licensed Agent
Yearly salary	$49,587	$42,315
Hourly rate	$23.84	$20.34
Growth rate	6%	6%
Number of jobs	73,485	68,666
Job satisfaction	-	-
Most common degree	Bachelor's Degree, 51%	Bachelor's Degree, 52%
Average age	46	46
Years of experience	-	-

What does an insurance sales agent do?

An insurance sales agent is an individual who helps an insurance company generate new business by contacting customers and selling one or more types of insurance. Insurance sales agents conduct interviews of prospective clients to get data about their financial resources and explain the features of the various insurance policies. They analyze the clients' existing insurance policies and customize insurance programs to suit their needs. Insurance sales agents also do other administrative tasks, such as keeping records and handling policy renewals.

What does a licensed agent do?

Licensed Agents act as authorized brokers acting on behalf of an individual owner or organization in selling a product, service, or property. There are many different pathways a licensed agent can delve into, such as in real estate, insurance, and banking. For instance, a real estate agent uses its license to be able to sell and rent properties. Their duties include gathering property information, evaluating property estimates, marketing properties, and represent sellers in the process of negotiation. They seek prospective buyers, monitor the sale process between stakeholders, and reach a mutually agreed price.

Insurance sales agent vs licensed agent salary

Insurance sales agents and licensed agents have different pay scales, as shown below.

	Insurance Sales Agent	Licensed Agent
Average salary	$49,587	$42,315
Salary range	Between $30,000 And $80,000	Between $28,000 And $62,000
Highest paying City	New York, NY	Kirkland, WA
Highest paying state	Hawaii	Alaska
Best paying company	Torchmark	HPOne
Best paying industry	Finance	Insurance

Differences between insurance sales agent and licensed agent education

There are a few differences between an insurance sales agent and a licensed agent in terms of educational background:

	Insurance Sales Agent	Licensed Agent
Most common degree	Bachelor's Degree, 51%	Bachelor's Degree, 52%
Most common major	Business	Business
Most common college	University of Pennsylvania	University of Pennsylvania

Insurance sales agent vs licensed agent demographics

Here are the differences between insurance sales agents' and licensed agents' demographics:

	Insurance Sales Agent	Licensed Agent
Average age	46	46
Gender ratio	Male, 51.5% Female, 48.5%	Male, 41.3% Female, 58.7%
Race ratio	Black or African American, 9.4% Unknown, 3.6% Hispanic or Latino, 16.1% Asian, 4.9% White, 65.8% American Indian and Alaska Native, 0.1%	Black or African American, 9.2% Unknown, 3.6% Hispanic or Latino, 15.8% Asian, 4.9% White, 66.4% American Indian and Alaska Native, 0.1%
LGBT Percentage	7%	7%

Differences between insurance sales agent and licensed agent duties and responsibilities

Insurance sales agent example responsibilities.

Train and manage employees and achieve significant improvements in their productivity & maintain sales go9als consistently.
Used consultative upselling techniques to provide leads
Calculate rates and premiums for fire, casualty insurance, automobile, homeowners, and other specialize insurance policies.
License property and casualty insurance agent and office manager.
Market property and casualty insurance to potential clients while assisting policyholders with coverage and claims.
Follow strict HIPPA regulations while dealing with delicate information.

Licensed agent example responsibilities.

Train and manage employees and achieve significant improvements in their productivity & maintain sales go9als consistently.
Educate and advise in different investment products, such as life insurance and fix annuities.
Work with clients to satisfy financial needs offering products such as life insurance, annuities, and Medicare supplements.
Provide education on Medicare/ Medicaid coverage, rights and responsibilities.
Provide objective information pertaining to coverage and how to obtain Medicaid coverage.
Generate referral business and cultivate individual lead sources, using networking and prospecting techniques to grow potential sales opportunities.

Insurance sales agent vs licensed agent skills

Common insurance sales agent skills

Customer Service, 16%
Casualty Insurance, 14%
Work Ethic, 11%
Insurance Coverage, 8%
AAA, 8%
Develop Leads, 5%

Common licensed agent skills

HIPAA, 31%
Customer Service, 11%
Inbound Calls, 9%
Casualty Insurance, 6%
Life Insurance Products, 6%
Financial Services, 5%

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Insurance Sales Agent
Insurance Sales Agent vs Licensed Agent

Updated January 8, 2025

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