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Insurance Agent – Meaning, Roles And Responsibilities

An Insurance POS Agent is a professional who offers insurance products such as life insurance, health insurance, property insurance, and other types of insurance to meet clients’ needs who are looking for coverage. You can become a POSP Insurance Agent and work from the comfort of your own home.

The work of Insurance agents in the selling of insurance products is crucial. They serve as an essential link between policyholders and insurance companies.

They are in charge of selling insurance goods and informing clients about the key elements of the insurance plans. We shall explore the functions of insurance agents in-depth in this article.

Meaning of Insurance Agent

An Insurance POS Agent is a person who works for an insurance company and sells the firm’s insurance products. According to a dictionary, an insurance agent meaning is “A professional who sells and provides insurance advice for an insurance company or a group of insurance companies.” 

Recently IRDAI established a novel method to ensure that every Indian has access to insurance coverage through the POSP Program. But who is IRDAI? As you could know through the IRDAI full form, it oversees all insurance related activities in the country.

Coming back to the POSP Program, it aims to enhance insurance coverage across the country. IRDAI defines an insurance agent meaning for a POS Agent as a salesperson who works as a point of sale.

What are the defined work and functions of an Insurance Agent?

Due to the lack of current technology, the job of insurance brokers used to be tedious, puzzling, and time-consuming. As a result of digitalization, selling insurance has become more convenient and hassle-free. The majority of insurance agents today choose to work with organizations that clearly define their tasks and give them online and simplified documentation.

Insurance is sold on an individual basis rather than in bulk. Some plans, such as life insurance and investment-related insurance plans, require salespeople to be convinced and persuaded. As a result, an insurance salesperson must be able to close deals. Insurance marketing comprises selling insurance benefits, which is a type of financial planning.

The primary function of an insurance representative is to sell insurance. The agent locates, analyses, and advises the customer on the policy. The fundamental purpose of an insurance agent is to grow sales by delivering insurance-related services to clients. Work-wise the Insurance POS Agent must do the following – 

  • Recognize the requirements of the client
  • Establish a straightforward policy plan for the client
  • Give the client a tour of the insurance coverage in detail
  • Manage and take care of the documentation of the clients
  • Examine the premium details as well as any additional benefits
  • Make efforts toward resolving the Claims


Additional Insurance Agent Work Role and Responsibilities

Insurance agents have a wide range of work responsibilities, and they must multitask and participate in many stages of the insurance process, from product explanation to claim settlement. Additional tasks of an Insurance POS Agent include the following –

  • Help Clients in Receiving Compensation
  • To assist insurance companies
  • To become acquainted with various insurance plans and  products
  • To Acquire Promotional Materials

What type of insurance agent should you choose to become?

The insurance sector is enormously vast; analyzing and understanding the insurance industry needs a lot of research, strategizing, and hard work. As a result, the insurance firm recruits insurance agents who, as specialists, assist clients in meeting their insurance needs. There are currently two kinds of insurance agents based on the mode in which they can operate –

  •  Independent Insurance Agents
  • Captive Insurance Agents
  • Independent Insurance Agents

An independent insurance agent works with various insurance firms and hence has the authority to offer insurance products and plans from many insurance companies. Due to IRDAI’s new POSP insurance agent program, you can nowadays have the benefit of becoming a POSP insurance agent and, at the same time, work for many insurance agencies to sell many types of insurance plans. 

  1. Captive Insurance Agents
    A captive insurance agent works exclusively for one insurance provider. This type of insurance agent works on a commission or retention basis. This was a traditional way of selling insurance until the POSP insurance agent program was introduced.

Whether you decide to become an Independent Insurance Agent or a Captive Insurance Agent, there are many subtypes of insurance policies. You can choose from the following types of insurance agent programs –

  • Become Health Insurance Agent
  • Become Life Insurance Agent
  • Become Car Insurance Agent
  • Become Bike Insurance Agent
  • Become Vehicle Insurance Agent
  • Become Business Insurance Agent

If you want to become an insurance agent, you should opt to become a POSP (Point of Sale Person) Insurance Agent. Moving away from the traditional model of a captive insurance agent, working for a single company, a POSP insurance agent can work for multiple insurance companies, selling multiple insurance plans.

A POSP is a single-point insurance agent who sells life and general insurance products for various businesses. As POSP insurance brokers can market a variety of insurance policies for a variety of insurance companies, there are increased chances to earn more commissions and enhance your earnings. Becoming a POSP Insurance Agent, with any reputable insurance firm provides benefits to insurance agents, such as –

  • Free Lead Tracking CRM Access
  • Lowest Quotes from Multiple Companies with High Commissions
  • Insurance Products in a Variety of Forms
  • Issuance of Instant Policies
  • No pre-requisite of investment or deposit
  • Work from anywhere with no paper registration

Becoming a POSP Insurance Agent with any reputable insurance company (becoming a successful Life and General Insurance Agent) is for your own advantage and the advantage of your client’s financial growth!

In Conclusion

The most crucial function of an insurance agent is to act as a vital link between insurance firms and customers looking for insurance services. They are mainly responsible for –
⦁ Selling Proper insurance Plans
⦁  Collecting, Submitting, and Preserving Essential Documentation
⦁ Assisting their clients at every stage of the Insurance Process.
An Insurance POS Agent is incredibly crucial in the insurance sector. An Insurance POS Agent who is skilled at incorporating technology into their daily operations and honing their communication, marketing, and sales abilities will have an easy time succeeding in the insurance industry!

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