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Loan officer vs insurance agent

The differences between loan officers and insurance agents can be seen in a few details. Each job has different responsibilities and duties. Additionally, an insurance agent has an average salary of $51,936, which is higher than the $45,817 average annual salary of a loan officer.

The top three skills for a loan officer include customer service, origination and loan origination. The most important skills for an insurance agent are customer service, insurance sales, and health insurance.

Loan officer vs insurance agent overview

Loan OfficerInsurance Agent
Yearly salary$45,817$51,936
Hourly rate$22.03$24.97
Growth rate4%6%
Number of jobs63,66367,977
Job satisfaction4.55
Most common degreeBachelor's Degree, 61%Bachelor's Degree, 53%
Average age4546
Years of experience6-

What does a loan officer do?

Loan officers are responsible for assisting borrowers on the best type of loans to avail and guiding the clients throughout the application process. A loan officer must be highly knowledgeable about different lending products, payment plans, loan regulations, and essential files for fast loan approval. Loan officers also act as the first point of contact, conducting an initial screening of the customers, process loan contracts and appropriate documentation, update account records, and respond to customer's inquiries. A loan officer also has the right to reject loan applicants who do not meet loan qualifications.

What does an insurance agent do?

An insurance agent is responsible for inviting potential clients to the insurance company by offering different insurance services. Insurance agents must have a comprehensive knowledge of insurance types to provide the clients with the best insurance option in the market. The insurance agents should evaluate a client's long-term needs and financial goals to create individual packages as the insurance company allowed. An insurance agent also handles policy renewals and keeps customers' insurance files for reference.

Loan officer vs insurance agent salary

Loan officers and insurance agents have different pay scales, as shown below.

Loan OfficerInsurance Agent
Average salary$45,817$51,936
Salary rangeBetween $30,000 And $69,000Between $30,000 And $88,000
Highest paying CityNew York, NYNew York, NY
Highest paying stateNew YorkHawaii
Best paying companyBangor Savings BankZ Capital Group
Best paying industryFinanceFinance

Differences between loan officer and insurance agent education

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

Loan OfficerInsurance Agent
Most common degreeBachelor's Degree, 61%Bachelor's Degree, 53%
Most common majorBusinessBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Loan officer vs insurance agent demographics

Here are the differences between loan officers' and insurance agents' demographics:

Loan OfficerInsurance Agent
Average age4546
Gender ratioMale, 55.3% Female, 44.7%Male, 51.6% Female, 48.4%
Race ratioBlack or African American, 9.0% Unknown, 4.6% Hispanic or Latino, 15.7% Asian, 6.3% White, 63.9% American Indian and Alaska Native, 0.5%Black or African American, 9.3% Unknown, 3.6% Hispanic or Latino, 15.8% Asian, 4.9% White, 66.4% American Indian and Alaska Native, 0.1%
LGBT Percentage8%7%

Differences between loan officer and insurance agent duties and responsibilities

Loan officer example responsibilities.

  • Manage a multifacete commercial real estate investment firm.
  • Supervise and manage the processing staff and also underwrite conventional loans for correspondent lenders.
  • Follow up leads for refinance loans gather all applications and necessary paperwork to qualify applicants from origination to close of escrow.
  • Analyze available resources to determine suitable mortgage products (FHA, FNMA/FHLC) to meet clients' purchasing or refinancing goals.
  • Originate and process various loan products including government, conventional, portfolio, construction, USDA mortgages, home equity line/loans.
  • Originate FHA, VA, conventional, jumbo, and USDA loans, according to specific lender guidelines in broker environment.
  • Show more

Insurance agent example responsibilities.

  • Used consultative upselling techniques to provide leads
  • Maintain personal and confidential Medicare & Medicaid customer information following all HIPAA.
  • Follow all applicable HIPPA and privacy regulations.
  • Explain medical plans to Medicare / Medicaid eligible clients to ensure best fit.
  • Identify and solicit sales prospects in agency database and in the general marketplace.
  • Develop productive business relationships with key marketplace players by identifying the right products and services.
  • Show more

Loan officer vs insurance agent skills

Common loan officer skills
  • Customer Service, 17%
  • Origination, 13%
  • Loan Origination, 5%
  • FHA, 5%
  • NMLS, 5%
  • Loan Products, 4%
Common insurance agent skills
  • Customer Service, 25%
  • Insurance Sales, 8%
  • Health Insurance, 6%
  • Life Insurance Products, 6%
  • Financial Resources, 6%
  • Auto Insurance, 5%

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