How to become an Insurance Broker
Insurance brokers act on behalf of their clients, providing professional and technical advice about commercial, corporate and personal insurance products from a range of companies according to their clients' individual needs.
Personal requirements for an Insurance Broker
- Aptitude for numbers and calculations
- Sound judgment
- Perseverance and motivation
- Good negotiation skills
- Strong attention to detail
- Good communication skills
Education & Training for an Insurance Broker
To become an insurance broker, you usually have to complete a VET qualification. In addition, several years of experience with a qualified broker are usually required before becoming an independent broker. Entry to these courses usually requires Year 12 and, as a minimum, employment with an insurance brokerage. As subjects and prerequisites can vary between institutions, you should contact your chosen institution for further information.
Duties & Tasks of an Insurance Broker
Insurance brokers:
- Draw up a list of potential clients
- Make contact with these clients to see if they are interested in insurance
- Interview prospective clients to explain the details of an insurance policy and make recommendations on the amount and type of cover that may be required
- Research and review available insurance products to ensure clients are given the best and most appropriate offer
- Negotiate policy premiums and conditions with insurers on behalf of clients
- Arrange insurance according to client instructions
- Regularly review client circumstances to ensure their level of cover is appropriate
- Market their services to increase their number of clients
- Collect premiums on behalf of insurers.
Tasks
- Identifies and advising on significant risk changes to clients' insurance.
- Interviews prospective clients to explain insurance policy conditions, risks covered, premium rates and benefits, and to make recommendations on the amount and type of cover.
- Arranges insurance, home loan mortgages and other types of finance for clients through banks, lenders, financiers and insurance companies.
Employment Opportunities for an Insurance Broker
Most insurance brokers sell policies for several companies. They may work in city or country areas. Insurance brokers usually work on a commission basis, with the level of business dependent upon the level of general economic activity. However, earnings and continued employment depend to a considerable degree on ability and experience.
Average age
42
Future Growth
N/A
Gender Share
47% female
Average full-time
43 hours
Weekly Pay
N/A
Skill level rating
High skill
Unemployment
Lower unemployment
Full-Time Share
85%
Employment Size
11,600
Employment by state
ACT: 0.9%
NSW: 33.8%
NT: 0.7%
QLD: 18.9%
SA: 6.4%
TAS: 1.8%
VIC: 26.5%
WA: 10.9%
Age brackets
15-19: 0.4%
20-24: 3.5%
25-34: 24.8%
35-44: 26.9%
45-54: 22.8%
55-59: 9.1%
60-64: 6.7%
65 and Over: 5.8%
Education level
Advanced Diploma/Diploma: 42%
Bachelor degree: 19.6%
Certificate III/IV: 8.1%
Post Graduate/Graduate Diploma or Graduate Certificate: 7.4%
Year 10 and below: 3.7%
Year 11: 2.8%
Year 12: 16.5%
