LIC Agent Commission
As an LIC agent, you are your own boss, which means you are the business that you bring to the table. It is a unique career path which will reward you proportionally to the amount of hard work, dedication and professionalism you put into it. Having said that, once you join LIC, your income is almost instantly guaranteed. Moreover, the potential for LIC agent income growth is also certain.
There is a lot of curiosity surrounding the commission structure of an LIC agent salary. One of the most common questions that is asked is how much commission is received by an LIC agent. This post will aim to answer all the queries a potential LIC agent might have.
The LIC agent commission is divided into two main components:
1.On each new sale, a commission is received. On average it is 35 percent.
2.A recurring commission on future premium paid, which is on average 5 percent.
Let’s look at a few real world examples.
If, 1 customer buys an insurance policy with a premium of Rs. 100,000, then the commission an LIC agent will receive is 35,000 INR.
If, 5 customers buy insurance policies with a Rs. 500,000 premium, then the commission received will be 175,000 INR.
If, 10 customers buy insurance policies with a Rs. 10,000,000 premium, then the commission received will be 350,000 INR.
Pursuing a career as an LIC agent is like no other; it is a business with minimum risk and maximum rewards. It is entirely dependent on your interpersonal skills and whether you are able to maintain relationships with existing clients. With experience, you will realize it is much easier to sell policies to existing clients than new prospective clients. The bond that you have formed with your clients will translate into time and energy saved, which leads to repeat business and referrals. At the end of the day, it all boils down to how much effort you are willing to put into nurturing your clients, both new and old.