Life insurance corporation of India, also known as ‘LIC’ (abbreviation) is an insurance and investment company. It is owned by the government of India. It is one of the most trusted and popular life insurance companies in India. Currently, life insurance corporation is the biggest life insurance company in India. If you want to be a part of LIC. Let’s know about how to become an LIC Agent.
History of LIC
It was founded on 1 Sept 1956. This is an government organization. It is under the ownership of ministry of finance, government of India. Also, the headquarters of the LIC in Mumbai. The services which are given by life insurance corporation of India are life insurance, health insurance, investment management, mutual fund.
LIC was nationalized by the government, when it passed the ‘Life insurance corporation Act’ in the year 1956. It has a total number of 1,14,498 employees in which there are 25,602 women employees. The total number of agents working are 12,08,826 (of which 12,08,809 we’re active agents).
Top officials of LIC
The key people in this organisation are M R Kumar the chairman of LIC, there are 3 managing directors in this organization as it is huge, the directors are Vipin Anand, Sidharth Mohan and Raj Kumar.
Net worth of LIC
LIC’s net worth is ₹268,849 lakh (US$30 million). There are many subsidiaries of LIC like LIC Mutual Fund, LIC international ltd, LIC cards services, LIC pension fund, housing finance, and industrial development bank of India.
What is an insurance?
First of all, what is an insurance? Insurance is a contract/agreement between two parties which includes – ‘Insurer’ the insurance company and the ‘Insured’ the individual to whom company provides the insurance. Insurance means a protection given by the company to the individual. It is given to the individual in the form of money when certain mishaps happen in the individual’s life. A company promises the individual to compensate for his/her financial loss. In return the person pays a fixed amount which is called as ‘Premium’ to the insurance company.
Who is a LIC Agent
An agent is a person who acts on behalf of one person or an organization. It is also a person or thing that takes an effective role or generates a specified effect. A LIC (life insurance corporation of India)agent is a very important person for the organization as he is the source of business. The LIC(life insurance corporation of India )agents expand, build and retain connections with the clients who give business to the organisation by buying the numerous policies. This is why the recruiter hire the agent with ultimate diligence
Qualifications and Skills required
You don’t need to be extremely qualified to become an LIC Agent you just need the bare minimum. Earlier agents qualification was required to be 12th pass but it has now changed to 10th passing. An agent should be good at communication both speaking and listening. He/she should be able to explain his points calmly and precisely, leaving no doubts for the client. He/she should be confident and know how to convince the client.
Benefits of being an LIC agent
There are several benefits of being an lic agent:
1.free entry for newly appointed agents who perform well to branch manager’s club.
2. You then get divisional manager’s club if you perform well in branch manager’s club. The club status increases with performance.
3. Furniture allowance
4. Corporate club
5. Chairman’s club
6. Zonal manager’s club
7. Interest-free vehicle loan
8. Low-interest home loan
9. The agent gets various incentives like office maintenance allowance and financial benefits.
10. Advance or bonus for festival celebration
11. Reimbursement for mobile and landline telephone bills.
12. LIC pays the agent commission on premiums for policies he or she sells
13. The agent can also sell LIC policies by opening an online agency
14. The ID or visiting card issued by LIC for agents is considered valid, which makes them government-issued proof of identity.
15. You can earn as much as you can per month. It depends on the number of policies you sell to clients. The more you sell the more money you will earn in the form of commission.
16. The agent has a good relationship with his/her client by providing them with good services, clearing there doubts, updating them about their annual subscription, policy’s due date and so on.
Pros of being an LIC agent
It is a good source of income. Agents have a better chance of earning more money by earning their salaries as well as commission they received on every policy they sell. Which motivates them more to work hard and sell more policies.
One can work as lic agent on his/her convenient time. They can also continue their job and also work here at their convenience. Start earning at an early stage: After 18 years you can work as an lic agent and earn money. A student can earn and pay his fee while working as an agent part-time along with his studies.
Cons of being an LIC agent
Building up a client base
An agent first has to build a good honest client base, once the clients start trusting the agent they further invest more. The relationship between client and agent needs to be honest and good.
Stress and pressure to sell
Agents are highly stressed about selling policies as their commission is based on how much policies they sell. The above explanation is just some pros and cons of working as a professional sales agent. Overall there is a lot of scope in LIC agent, if you are good at communicating and can interact with people and convince them to secure their investment then this is your cup of tea.
How do you become an LIC agent
For joining LIC as an insurance advisor, you first need to register with them by filling in your attributes in the registration form and later submitting your documents.
- 4 colored passport size photos.
- A Photocopy of age proof- birth certificate / leaving certificate.
- Photocopy of education certificate – 10th and 12th mark sheet.
- Photocopy of address proof- Aadhar card/ light bill/ration card/voter ID/passport/ photocopy of pan card.
Registration fee is ₹150/-
Online training fee is ₹ 200/-
Online exam fee is ₹350/-
After successful registration you have to take online training or offline training for 50 hours.
Pre-licensing online exam conducted will be of 5p Marks objective type question. Out of which 17 marks is minimum passing marks.
After successfully departing the exam you will be authorized as an insurance advisor.
Who can work?
Self-employed or none-employed voluntary. Retired person, College student, Housewife, tax consultant, professional sales, marketing parson, broker, real estate agent, serving employed from government or non-government organisation.
Online procedure of becoming an LIC agent
1. Visit the official website of LIC (life insurance corporation of India)
2. Click’ be an agent (individual )’ under join our team menu tab
3. Click apply now located on the right side of the page
4. Fill in the application form to take it forward with the branch office.
There is a lot of scope on being a LIC agent. It comes with numerous benefits. The art of selling is one of the most important and in demand skill in the modern world. It takes time to master the art of selling and comes with time and practice. Once you master how to sell to people, you now have an amazing skill in your tool box. Because if you know how to sell, no one can stop you. You can convenience and persuade clients to buy your policies.
It can be challenging in the beginning as you just started to interact with new people but this will overall improve your communication skills day-by-day. The pay you get is directly related to the number of policies you sell in a month. You will get paid if you complete your monthly target. As you improve your skill, you can earn more by selling more than your target by getting commission on every additional policies sold. The company appraises your performance and thus provides you with bonus and incentives. Also you feel motivated at work as company appreciates the hard work you have put in. The more effort you put, more will be the rewards.
Once you get comfortable with the interaction, things then get easy and it’s not a tough job anymore. Your convincing ability will also improve with coming challenges. You will also achieve a good amount of money as you can do it as a part-time job and according to your convenience and time you will get compensated for the quantity of policies you sell, that will keep you motivated to work hard and come out of your comfort zone. And apparently, you’ll sell more policies.