National Insurance Insurance Agent Salary: How Much You Can Earn

As a national insurance insurance agent, your salary can vary depending on factors like location, experience, and type of insurance products you specialize in. In the United States, the median annual salary for insurance agents is around $50,000.

Some insurance agents can earn significantly more, with top earners making upwards of $100,000 per year. This can depend on the size of the agency, the number of clients, and the agent's level of expertise.

To give you a better idea, the Bureau of Labor Statistics reports that the top 10% of insurance agents in the United States earn over $150,000 per year.

Insurance agents can earn a decent income, with the median annual salary ranging from $50,000 to $50,940. The Bureau of Labor Statistics reports that insurance agents earn a mean annual salary of $79,650.

Industry veterans with an established client network can easily earn a six-figure salary. In fact, the top 10% of insurance agents can earn more than $125,500 per year.

According to the Bureau of Labor Statistics, the 10th percentile of insurance agents earn an annual wage of $31,530, while the 90th percentile earn $130,350. This means that even the lowest-paid insurance agents can still earn a comfortable income, while the highest-paid agents can earn significantly more.

Here's a breakdown of the percentile wage estimates for insurance agents based on the Bureau of Labor Statistics' Occupational Employment and Wage Statistics:

It's worth noting that life insurance agents can earn different salaries based on their experience level. Entry-level life insurance agents can earn around $37,500 per year, while senior agents can earn up to $73,100.

Insurance agents' salaries can vary significantly depending on several factors.

The commission structure is one of the main factors that impact how much insurance agents make.

Location is another significant factor, as the average pay agents receive varies from state to state.

The median yearly salary for insurance sales agents was $50,000 in 2018, according to the federal Bureau of Labor Statistics.

Top-earning agents can make more than $125,000 per year, while lower-level agents earn less than $27,500.

Independent insurance sales agents who are paid solely by commission may be more likely to be among the highest paid.

An individual agent's drive, initiative, and analytical skills also play a role in determining their annual earnings.

Here are the salary ranges for insurance sales agents, based on data from the federal Bureau of Labor Statistics:

Salary by location is a crucial factor to consider when it comes to insurance agent salaries. The Bureau of Labor and Statistics (BLS) has a tool called the OEWS Query System, which allows you to compare insurance agent salaries by state, metropolitan area, and non-metropolitan areas.

Insurance agents in big cities with dense populations tend to have more opportunities to sell insurance compared to those in small towns. For example, New York tops the list of highest-paying states for life insurance agents, with an average salary of $100,025.

The top-paying cities for life insurance agents include Birmingham, AL, with an average salary of $95,630, and Saginaw, MI, with an average salary of $91,880. On the other hand, the lowest-paying cities include Tampa, FL, with an average salary of $63,130.

Here's a breakdown of the top 10 highest-paying states for life insurance agents, based on data from ZipRecruiter (February 2024):

And here's a breakdown of the top 10 highest-paying metropolitan areas for insurance agents, based on data from the BLS:

Remember, these figures are estimates based on employer job postings and third-party sources, and may vary depending on individual circumstances.

Insurance agents can earn a wide range of salaries depending on their type of agent. Captive life insurance agents, who work exclusively with one insurance carrier, typically earn lower commissions than independent life insurance agents, who represent several insurance companies.

Independent agents are often responsible for their own business expenses like rent, office supplies, and advertising costs. This can affect their overall earnings, but motivated agents who are paid by commission only may be more likely to be among the highest paid.

Here's a breakdown of the average salaries for different types of insurance agents:

Insurance agents come in two main types: captive agents and independent agents. Captive agents work exclusively with one insurance provider, while independent agents represent several insurance companies.

Captive agents typically earn lower commissions than independent agents. However, this is because independent agents often shoulder their own business expenses, including rent, office supplies, and advertising and marketing costs.

Independent agents can earn higher commissions, but they must also cover their own business expenses. This can make it a challenging career path for those who aren't self-motivated or able to manage their finances effectively.

Here's a breakdown of the two types of agents:

It's worth noting that the type of agent you are can impact your earning potential and career satisfaction.

Universal Commission Rates are a crucial aspect of an agent's income, and for universal life insurance plans, the commission rate is quite straightforward. Agents typically receive a commission equivalent to at least 100% of the premiums the policyholder pays in the first year.

The commission rate is tied to the target premium level, and it decreases for any premiums paid above that level in the first year.

Term Commission Rates are often lower than other types of insurance, typically ranging from 30% to 80% of annual premiums.

Life insurance agents can earn commissions from term life insurance plans, which pay out a percentage of the annual premiums.

In some cases, agents work as salaried employees of an insurance agency, receiving a base salary and employee benefits.

Insurance agents receive the highest commission rates for whole life insurance plans, often more than 100% of the total premiums for the policy’s first year.

The exact percentage depends on the age of the policyholder.

For example, the commission rate varies based on the age of the policyholder.

Being an insurance agent can be a rewarding career path, with minimal entry barriers and a strong earning potential. With licensing requirements being the main obstacle, it's relatively easy to get started. Insurance agents can learn the ropes as they go about their jobs and through various training programs.

Insurance agents enjoy flexible work hours, which allows them to work from home or set their own schedules. This flexibility is a major perk for those who value work-life balance. With the ability to work independently, insurance agents can also have the opportunity to change people's lives for the better by helping them make informed decisions about their financial protection.

Here are some key benefits of being an insurance agent:

Insurance agents can also have the opportunity to work with some of the country's most prominent brands, and have a chance to make a positive impact on families during difficult times. With a career as a life insurance agent, you can have a fulfilling career path that yields a good living salary and a strong potential for growth.

As you progress in your career as a life insurance agent, your annual wage can significantly increase based on your experience level.

Entry-level agents start with an annual wage of $37,500.

The mid-level experience brings a substantial jump to $64,100 annually.

Senior agents, with the most experience, earn the highest annual wage of $73,100.

Here's a breakdown of the average annual wages for life insurance agents at different experience levels:

Being an insurance agent can be a rewarding and exciting career, offering a host of advantages. Job security is one of the benefits, as the demand for insurance will always be present.

Insurance agents can enjoy flexible work hours, allowing them to balance their work and personal life. This flexibility is a major perk for many agents.

The earning potential for insurance agents is strong, with many earning substantial revenue through commissions and bonuses. In fact, the Bureau of Labor Statistics predicts that employment of insurance agents will rise around 6% in the next decade, resulting in about 52,700 new job openings annually.

While a college degree is not always required, many insurance companies and agencies prefer candidates with one. However, most employers have training programs in place for new agents to prepare them for their jobs.

Here are some additional benefits of being an insurance agent:

However, it's essential to note that sales challenges can be a drawback for some agents. Building strong relationships with clients and understanding their needs is crucial for success in this field.