An insurance producer can also be referred to as an insurance agent. However, they should not be confused with insurance brokers.
The difference between an insurance producer and an insurance broker is that the former sells insurance on behalf of an insurance company, a single one. The latter sells insurance covers from multiple insurance companies of their own account.
The reason why it is important to know the difference is that it can make a difference when trying to understand an insurance system and getting coverage. It is also important because the licensing requirements for each job may be different in different states and hence crucial if you are pursuing a career in insurance.
The following are some of the duties and responsibilities of an insurance provider:
Manage and Obtain Referrals for Insurance Products from Various Existing Clients
One of the jobs of an insurance agent is to get referrals for insurance products supplied by his or her company from prior clients. The number one source of new clients in insurance are former clients hence an agent has to get as many referrals as possible.
Managing the referrals is not an easy task as insurance agents have to deal with unbelievable expectations from other clients. They also have to ensure that referrals are successfully converted into loyal customers.
Maintain Knowledge on All Commercial Products and Implement Various Sale Strategies
A good insurance agent should have knowledge of the products his or her insurance company sells at all times. If they do not, they are bound to lose business opportunities because they were not prepared.
They also have to conduct efforts to sell the insurance products in whatever territory their company assigns them. This is one area where insurance agents are free to express their creativity as they earn commissions based on their sales.
Develop and Maintain Relationships with All Prospective Clients
The way to attract prospective clients is to develop a relationship with them. An insurance agent will ensure that prospective clients are apprised of all the insurance and risk management activities the company is involved in to make them customers.
The agent will also be responsible for initiating sales of other insurance products with existing clients. Just because they already have a policy with the company does not mean they cannot get another.
Monitor and Resolve All Client Issues and Manage All Claims and Its Authenticity
An insurance producer is responsible for the client whom they brought to the company. If there are any client issues, it is their job to identify them and resolve them as soon as possible.
The agent is also responsible for evaluating the validity of every claim placed by a client. They will handle all aspects of the claim until it is resolved.