An insurance broker is the liaison between his clients and multiple insurance providers. Unlike "captive" insurance agents, brokers are not tied down to one insurance company and therefore can provide a wider variety of rates and products.
Determine what types of insurance you would like to sell. You can sell multiple forms of insurance, or specialise in just one type. For example, you can decide to sell only health insurance or sell both health and auto insurance.
Determine what licenses are necessary in your state. Virtually every state requires a license to sell insurance. License requirements may vary for different types of insurance. Your state's secretary of state or insurance commissioner's website will give you the requirements.
Find a training program. Online schools, home study courses and classroom courses all can help you prepare for your licensing exam. Community colleges often offer courses. American Investment Training is an online school that can prepare you for your licensing exam regardless of the state you are in. You can also contact insurance companies you hope to work with and ask for their suggestions on training programs. Insurance license preparation can be self-paced or can be completed in as little as 40 hours of classroom time.
Legally structure your business. Having a business that is legally established not only will help you gain the trust of your customers but also may be a requirement for licensing. In addition, it will protect you legally. You can either incorporate your business or form an LLC. Speak with a certified public accountant or attorney for assistance. You can also go to your state's secretary of state's website to incorporate or form a LLC on your own. Pricing varies from state to state, but you can expect to pay approximately £65 to form a corporation.
Establish relationships with multiple insurance companies once you have your license so you can offer variety of options to your customers.
Market your business. First, speak with people you know; word-of-mouth advertising can be quite effective. Create flyers, business cards and a website to promote your business as well. You can go to Elance.com, Getafreelancer.com or other online marketplaces to hire a graphic designer to create your advertising materials.
Stay up-to-date on the insurance industry by joining trade organisations and networking groups such as Independent Insurance Agents and Brokers of America.
Some insurance brokers work from home; others prefer to lease office space.