Why do 95 percent of insurance agents ultimately fail?

By Lew Nason

Insurance Pro Shop


The insurance business still has plenty of room for growth. You have the potential to make a substantial income from this business. A business that is truly yours, with no boss looking over your shoulder, no dress code and no set hours.

Did you know that less than 5 percent of the insurance agents and financial services professionals who enter this business end up making any real money? Does that statistic surprise you?

Why do 95 percent of those entering the insurance business struggle and ultimately fail?

Most times, it is due to frustration with prospecting.

After numerous attempts, spending money, devoting large chunks of time and seeing little or no return, most agents will give up thinking that they chose the wrong product, service or opportunity. Some will go on to try a new sales venture, just to go through the same thing all over again.

This does not have to be the case. The insurance business still has plenty of room for growth. You have the potential to make a substantial income from this business. A business that is truly yours, with no boss looking over your shoulder, no dress code and no set hours.

So why are only a few agents becoming successful while the majority struggle and fail?

The main reason is the frustration of not knowing how to market and attract the right prospects, along with a lack of motivation and determination when the going gets rough.

Have you noticed the increased number of consultants and mentoring services that offer to help you become successful? There is a valid reason why we are seeing more and more of them. These services have become a necessity for anyone who truly wants to become successful in insurance sales.

The days of finding a mentor that has been there and done that, who will gladly take you under their wing to show you what to do, seem to be gone. Discussion boards are full of new agents looking for help from some of the top agents, but to no avail. Most of the recruiting and marketing organizations are leaving new agents with too many missing pieces to the marketing puzzle and leaving them no choice but to go it on their own.

You need to be able to learn from the people that have already learned from their successes … and their failures. These people have developed a keen sense of what works and what doesn't work. Even more, they can help you find your way through the maze of marketing to be able to build your insurance business.
When considering one of these services, you want to be sure that you will have access to the successful entrepreneurs since they are the ones that you can learn from. You will want to see solid information; if you see fluff and hype, keep on looking.

If they have testimonials, check them out. You will be able to make a more informed decision about the service from people that are already using it. Is there a money back guarantee? Do they guarantee your success?

If their service is all it is supposed to be, they will have no problem making these types of guarantees.

Once you do invest in one of these services, you have to make use of it. All too often, I see people buy products to help with their business and then never use them to their full extent. You will not get the help you need and want if you sit back and do nothing. Apply yourself and use every aspect of the service that you possibly can. Get your money's worth, plus some.

Don't let yourself become part of the 95 percent who fail, when you could follow right in the footsteps of some of the successful top producers who can and will guide you and motivate you while helping you to build your business.