Introduction about LIC Agent
⦁ LIC agent is the person who provides advice on Life Insurance Planning to people to protect their family from unexpected events of death, disability and retirement of the bread winner.It is a noble profession indeed.
⦁ LIC agent also contributes to economic development of the country. As the money collected towards life insurance premium goes towards Nation Building Activities e.g: Roads, Railways, Ports, Bridges, Water supply, Electricity, Housing etc.
⦁ Top LIC agents earn between 3 crores to 4 crores per annum.
⦁ The average gross income of top 20% of LIC agents is above ₹12 lakhs per annum.
The Benefits of LIC Agents are as follows
⦁ LIC agency is considered today as the highest paid profession in the world. It also provides you with the Royalty Income. You can start your own Business with less Capital Investment.
⦁ You have freedom to set your own working hours.
⦁ You have the opportunity to earn as per your potential.
⦁ Your work gets easier and less demanding as your business grows.
Not only this but also there are many other facilities and benefits of LIC agents.
Remuneration
⦁ The LIC agent commission will be paid to you in the form percentage of premium collected through the policies sold by you. It is not a one time commission on a sale made by you. It provides you the royalty income throughout the term of policy. As long as policyholder pays the Premium you will get the commission. Moreover this commission is hereditary i.e. it will be paid to your nominees even after your death.
The Commission rates of LIC agent on regular premium policies are as under:
First year Commission : 4% to 25% depending up on the type & term of the policy. Bonus Commission : 40% of first year commission.
Renewal Commission:
2nd and 3rd year of policy: 2% to 7.50% depending up on the type and term of policy. 4th year onwards : 2% to 5% depending up on the type and term of policy.
Example of Commission on Endowment type of policy of Term 15 years and above: 1st Year Commission : 25% of Premium.
Bonus Commission 40% of first year Commission (i.e. 10% of Premium) Total 1st Year Commission : 35% of Premium
Renewal Commission:
2nd & 3rd Year of policy : 7.5% of Premium 4th Year onwards: 5% of Premium
Career as LIC Agent
Procedure to become LIC Agent
⦁ Education Qualification : Min SSC Passed & Above Mandatory Class room Training for 25 hours. ( About 10 days) OR Online Training. Passing of IRDA Examination. Issue of License by IRDA.
⦁ 150 Registration Fees.
⦁ 250 Online Training Fees. No Charges for Classroom training.
⦁ 350 IRDA Examination Fee.
⦁ 125 IRDA License Fee for 3 years
International Recognition from MDRT:
What is MDRT:
Founded in 1927, the Million Dollar Round Table (MDRT), The Premier Association of Financial Professionals, is an international, independent association of nearly 36,000 of the world’s leading life insurance and financial services professionals from more than 430 companies in 78 countries. MDRT members demonstrate exceptional professional knowledge, strict ethical conduct and outstanding client service.
MDRT membership is recognized internationally as the standard of sales excellence in the life insurance and financial services business.
To qualify for the membership of MDRT agents have to earn the prescribed First Year Commission excluding the Bonus Commission OR brings prescribed First Year Premium during the Calendar year.
Total 16114 agents from LIC of India qualified for MDRT 2021..