How to Sell Car Insurance: Expert Tips for Success (2024)
Did you know that insurance agent jobs are expected to grow 10% by 2028 and are the 11th highest-paying job with no college degree? If you're interested in learning how to sell car insurance, our experts provide pointers on car insurance sales.
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Michael Leotta
Insurance Operations Specialist
Michael earned a degree in Business Management degree with an insurance focus, which led to a successful 25-year career in insurance claims operations and support. He possesses a high-level of business acumen across multiple areas of the insurance industry. Over the course of his career, he served in multiple roles supporting claims operations including: Claims Specialist, Claims Trainer, Claim Au...
Insurance Operations Specialist
UPDATED: Jan 17, 2024
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Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance company and cannot guarantee quotes from any single insurance company.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.
UPDATED: Jan 17, 2024
It’s all about you. We want to help you make the right coverage choices.
Advertiser Disclosure: We strive to help you make confident insurance decisions. Comparison shopping should be easy. We are not affiliated with any one insurance company and cannot guarantee quotes from any single insurance company.
Our insurance industry partnerships don’t influence our content. Our opinions are our own. To compare quotes from many different insurance companies please enter your ZIP code above to use the free quote tool. The more quotes you compare, the more chances to save.
On This Page
- Be honest about your products and place yourself in the buyer’s position
- Sell people only the amount of insurance that they actually need
- Your success with auto insurance sales will depend on how you represent your products and how you treat your clients
Wondering how to sell car insurance effectively? If you’re looking to learn how to sell auto insurance efficiently and effectively, the most important step is to think like a buyer before you try to sell car insurance. They want the best car insurance discounts and they want to trust you to provide them.
Forget everything people say about insurance salesmen. Change the way people think by changing your sales tactics. Let’s go over some selling car insurance tips to learn how to be successful in selling auto insurance.
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Think Like the Customer When Selling Car Insurance
How can you sell more car insurance? Always put yourself in the shoes of your client when you sell car insurance. Be the reason people choose to rate the customer service of your car insurance company and give you top marks.
People may be scared of spending too much money on car insurance or they may be fearful of not buying enough coverage.
Remember these tips for selling car insurance:
- Talk to your potential buyer and find out what they need, what they want, and what their budget is
- Every client will be different and will need to have their insurance needs analyzed individually
- Explain all of the insurance options available and each of their benefits to your client
- Review all of the potential car insurance premium discounts and savings available to your client and help lower car insurance rates
- Once you make contact with a client, stay in touch so you can make sure their insurance needs are still being met
- Be reasonable if the client wants a car insurance refund you were selling
- Before selling car insurance for a lapse of coverage, make sure you will not be committing car insurance fraud by backdating claims or coverage dates
- Be honest and show care for the people you speak to
- Only sell what the customer needs
The internet makes car insurance shopping easy. Get familiar with online quoting systems before you start to sell car insurance.
To further put yourself in your customers’ shoes and think from their point of view, check out our article Does your insurance agent have your best interests in mind?
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Be an Honest Salesperson When You Sell Car Insurance
No one wants to feel like they are being taken advantage of, and unless you are completely honest with your clients, they may not feel secure with what you are selling.
In order to be successful, you need people to feel confident in you and your honesty so that they remain your clients for life.
When you have a client who trusts you, you will have future clients who trust you as well.
Word of Mouth Marketing (WOMM) can be your best advertising when it comes to car insurance products.
Only Sell Necessary Car Insurance
Be attentive to what your clients truly need. If you sell the wrong insurance products to someone, or if you sell car insurance that is excessive for what a person needs, then you will probably not be successful. Don’t start selling insurance for a test drive a customer wants to purchase unless it’s necessary, for instance.
Start by selling the basic package and the recommended coverage your client really needs.
- If someone has roadside assistance coverage for free with his extended warranty coverage, then don’t sell them emergency towing insurance
- If someone’s car has a street value of $500, you may want to reconsider selling them different types of insurance such as comprehensive or collision car insurance
While minimum car insurance requirements vary by state, they all call for liability insurance and many also mandate personal injury protection (PIP) and uninsured/underinsured motorist coverage. (See our article on Types of Car Insurance Coverage for more.) Having a higher coverage limit than what the state mandates, which is posted below from the Insurance Information Institute (III), is usually good sense.
Car Insurance Minimum Liability Requirements by State
| State | Minimum Required Car Liability Insurance Type | Minimum Liability Car Insurance Required Limits |
|---|---|---|
| AL | BI & PD Liab | 25/50/25 |
| AK | BI & PD Liab | 50/100/25 |
| AZ | BI & PD Liab | 15/30/10 |
| AR | BI & PD Liab, PIP | 25/50/25 |
| CA | BI & PD Liab | 15/30/5 |
| CO | BI & PD Liab | 25/50/15 |
| CT | BI & PD Liab, UM, UIM | 25/50/20 |
| DE | BI & PD Liab, PIP | 25/50/10 |
| DC | BI & PD Liab, UM | 25/50/10 |
| FL | PD Liab, PIP | 10/20/10 |
| GA | BI & PD Liab | 25/50/25 |
| HI | BI & PD Liab, PIP | 20/40/10 |
| ID | BI & PD Liab | 25/50/15 |
| IL | BI & PD Liab, UM, UIM | 25/50/20 |
| IN | BI & PD Liab | 25/50/25 |
| IA | BI & PD Liab | 20/40/15 |
| KS | BI & PD Liab, PIP | 25/50/25 |
| KY | BI & PD Liab, PIP, UM, UIM | 25/50/25 |
| LA | BI & PD Liab | 15/30/25 |
| ME | BI & PD Liab, UM, UIM, Medpay | 50/100/25 |
| MD | BI & PD Liab, PIP, UM, UIM | 30/60/15 |
| MA | BI & PD Liab, PIP | 20/40/5 |
| MI | BI & PD Liab, PIP | 20/40/10 |
| MN | BI & PD Liab, PIP, UM, UIM | 30/60/10 |
| MS | BI & PD Liab | 25/50/25 |
| MO | BI & PD Liab, UM | 25/50/25 |
| MT | BI & PD Liab | 25/50/20 |
| NE | BI & PD Liab, UM, UIM | 25/50/25 |
| NV | BI & PD Liab | 25/50/20 |
| NH | FR only | 25/50/25 |
| NJ | BI & PD Liab, PIP, UM, UIM | 15/30/5 |
| NM | BI & PD Liab | 25/50/10 |
| NY | BI & PD Liab, PIP, UM, UIM | 25/50/10 |
| NC | BI & PD Liab, UM, UIM | 30/60/25 |
| ND | BI & PD Liab, PIP, UM, UIM | 25/50/25 |
| OH | BI & PD Liab | 25/50/25 |
| OK | BI & PD Liab | 25/50/25 |
| OR | BI & PD Liab, PIP, UM, UIM | 25/50/20 |
| PA | BI & PD Liab, PIP | 15/30/5 |
| RI | BI & PD Liab | 25/50/25 |
| SC | BI & PD Liab, UM, UIM | 25/50/25 |
| SD | BI & PD Liab, UM, UIM | 25/50/25 |
| TN | BI & PD Liab | 25/50/15 |
| TX | BI & PD Liab, PIP | 30/60/25 |
| UT | BI & PD Liab, PIP | 25/65/15 |
| VT | BI & PD Liab, UM, UIM | 25/50/10 |
| VA | BI & PD Liab, UM, UIM | 25/50/20 |
| WA | BI & PD Liab | 25/50/10 |
| WV | BI & PD Liab, UM, UIM | 25/50/25 |
| WI | BI & PD Liab, UM, Medpay | 25/50/10 |
| WY | BI & PD Liab | 25/50/20 |
Of course, you need to sell the right amount of car insurance to your client so that he is properly protected.
Tracey L. Wells Licensed Insurance Agent & Agency Owner
How to Approach Your Sales Pitch
What are some sales pitch examples for selling car insurance? Rather than getting some examples, you may want to just learn the formula and apply it to your specific situation because naturally what you’ll need will be different than the needs of others.
You can work in the specifics about the kind of car insurance you’re selling into your conversations, and draft your own open-ended questions for the sort of car insurance your customers are looking for.
How to Sell Car Insurance Over the Phone
What is it like selling car insurance from home?
If you do get one of those work-from-home jobs, you should make your space organized and set aside a specific time in your day to work. Build rapport with your customers and listen to what they’re saying. It may help you be more successful in using a cold-calling script when you reach out to new leads.
Typical Salary for Selling Auto Insurance
U.S. News reports the average salary for an insurance agent in this country is $50,600, and it’s actually the 11th highest-paying job without a degree. Jobs selling car insurance can be pretty lucrative.
Study.com points out that each state has its own requirements for becoming an insurance agent. For you to be legally able to sell car insurance, a license is needed. Find out more about licenses in our article, How To Get Started as a Captive Insurance Agent. You may even be able to get a job selling car insurance from home. If you’re thinking of becoming an agent, check out some reviews for selling car insurance and see if it’s for you.
It also enhances your cachet to have specific insurance agent designations, such as CIC (Certified Insurance Counselor) and PLCS (Personal Lines Coverage Specialist). Learn more about these in our article Insurance Agent Designations — A Guide for New and Experienced Insurance Professionals.
The job outlook is pretty solid, according to the Bureau of Labor Statistics. They predict a job increase of 10% by 2028.
Read more: How much do insurance agents make?
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Case Studies: Tips for Selling Car Insurance
Case Study 1: The Power of Understanding Customer Needs
One insurance agent, John, realized the importance of understanding his customers’ needs when selling car insurance. He took the time to listen to their concerns and priorities, allowing him to tailor his recommendations accordingly.
By putting himself in the shoes of his clients, John gained their trust and was able to provide them with suitable coverage options. As a result, he consistently received positive customer feedback and built a reputation for exceptional customer service.
Case Study 2: The Value of Honesty and Trust
Sarah, an experienced insurance agent, recognized that honesty and trust were crucial factors in selling car insurance. She prioritized transparency in her interactions with clients, ensuring that they felt secure in their decision-making process.
By being straightforward about coverage details, policy limitations, and pricing, Sarah established long-term relationships with her clients. This approach led to a high rate of customer retention and positive word-of-mouth referrals, making her an effective and respected salesperson.
Case Study 3: Building Rapport and Leveraging Technology
Emily, a tech-savvy insurance agent, recognized the power of technology in selling car insurance. She familiarized herself with online quoting systems and used them to streamline the insurance shopping experience for her clients.
By leveraging technology, Emily could provide instant quotes, compare coverage options, and expedite the application process. Additionally, she focused on building rapport with her clients through personalized communication, ensuring they felt supported and valued throughout their insurance journey.
Case Study 4: Success in Remote Selling
Mark, an insurance agent with a home-based business, adapted his sales strategies to effectively sell car insurance remotely. He created an organized workspace and dedicated specific time each day for client interactions.
Mark focused on active listening, asking relevant questions, and addressing clients’ concerns over the phone. By building trust and demonstrating expertise, he successfully closed sales and expanded his client base without the need for in-person meetings.
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Frequently Asked Questions
What are some tips on how to sell more auto insurance?
To sell car insurance successfully, put yourself in the customer’s shoes and focus on providing excellent customer service.
How can I build trust with my clients?
Be an honest salesperson and ensure your clients feel confident and secure in their insurance choices.
Should I sell only necessary car insurance?
Yes, it’s important to understand your clients’ needs and sell them the right coverage without over-selling.
What is the average salary for selling car insurance?
The average salary for selling car insurance can vary significantly depending on factors such as experience, location, and the company you work for. However, it typically ranges between $30,000 and $70,000 per year.
How can I sell car insurance over the phone?
When selling car insurance over the phone, build rapport with customers, listen to their needs, and consider using a cold-calling script.
Compare The Best Insurance Quotes In The Country
Compare quotes from the top insurance companies and save!
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Michael Leotta
Insurance Operations Specialist
Michael earned a degree in Business Management degree with an insurance focus, which led to a successful 25-year career in insurance claims operations and support. He possesses a high-level of business acumen across multiple areas of the insurance industry. Over the course of his career, he served in multiple roles supporting claims operations including: Claims Specialist, Claims Trainer, Claim Au...
Insurance Operations Specialist
Editorial Guidelines: We are a free online resource for anyone interested in learning more about insurance. Our goal is to be an objective, third-party resource for everything insurance related. We update our site regularly, and all content is reviewed by insurance experts.