An insurance manager is in charge of all functions in a branch office of an insurance company. The most important of these is the sale of insurance policies, but the manager is also in charge of all administrative, personnel, and other issues that arise in the branch office. A straight salary from the insurance company, overrides on the sales made by the agents working out of the branch office, and personal production — sales made by the manager herself — are the three main sources of income for the insurance manager.
Insurance sales has always been a highly competitive industry with a high turnover rate. Some agents will move from company to company, changing offices every few years or so, while others will leave the industry entirely. Because the insurance manager’s compensation includes overrides — a percentage of her agents’ commissions — a good manager will spend a significant amount of time recruiting, training, and retaining good agents. Agents are typically trained on the company’s specific insurance products, sales techniques, and the ethical and legal issues that arise when selling insurance. Many managers provide free training that gives agents the continuing education credits they need to renew their insurance licenses as a retention incentive.
A good insurance manager won’t simply look at the agents’ weekly sales reports and choose the ones with the highest numbers to be the best in the office. Instead, she’ll dig deep into the reports to figure out why some agents perform better than others. Some agents, for example, may only be able to sell one or two types of insurance policies. A good manager will work with such agents to help them sell a wider range of policies by accompanying them to sales appointments and assigning them to work with other agents on those other types of policies.
The insurance manager’s job entails ethical considerations as well as adherence to laws and regulations. She is also responsible for the actions of the agents under her supervision, so it is her responsibility to address and resolve complaints from clients and potential clients. The manager will not last long if the office develops a reputation for ethical or compliance issues. Another reason a good manager would spend time in the field with her agents is to observe them in action and assess their presentations in terms of ethics and compliance.
The majority of insurance companies require their managers to generate new sales at least once a month. Most managers will handle some sales on their own, but the majority of this responsibility will be fulfilled by accompanying their agents on sales visits on a regular basis. This can take two forms: accompanying new or struggling agents to coach and train them, or accompanying agents who have requested the manager’s help with a complex presentation. The commissions earned on these sales are usually split, though many managers are content to take less than half because they will earn an override on the agent’s commission. An insurance manager can meet many of her responsibilities at the same time by accompanying agents on their sales presentations.
Administrative issues can eat up a lot of time for an insurance manager. Insurance offices require administrative staff capable of learning and applying the rules governing the entry of new insurance applications into their system, assisting with the ongoing recruitment of new agents, dealing with customers and clients who visit the office, procuring office supplies and equipment, and scheduling service on that equipment. Administrative employees are paid from the office’s operating budget, which is set annually based on the office’s agents’ sales. The manager’s ability to keep administrative costs under control is rewarded or penalized in a way that will eventually affect her pay. However, if the administrative staff is not up to the task, the manager may need to devote more time to administrative matters, limiting the amount of time available for other duties.
Most insurance companies will not consider appointing someone to the position of insurance manager unless they have extensive and successful industry experience, which typically includes intermediate management positions. Those who are chosen can expect a demanding job juggling the numerous responsibilities discussed here. The pay, on the other hand, is excellent by most standards, which is sufficient justification for the majority of those who accept such a position.