Tuesday, April 23, 2013

The right way to sell Fixed Annuities

Fixed annuities are guaranteed agreements granted by life insurance companies. To sell annuities you'll require be licensing and hiring as an insurance broker or agent. Fixed annuities appear in two kinds, instant and deferred. Instant annuities are equivalent to a pension in that they provide a guaranteed source of earnings for a lifetime. Deferred annuities are much like CDs and pay guaranteed interests rates, working like a savings vehicle as an alternative to an income systems automobile.


Find an insurance license. Insurance licensing is taken care of uniquely in each and every state but the procedures and testing are usually same. The majority of states would require someone to accept some kind of preparatory class before taking their examination. Assessments will take with regards to an hour or so along with the cost of the examination and prep classes could be between $300 and $500 total.

Determine if you would like to work self employed or work together with a company. If you're about to be self employed you'll need to obtain your own professional Faults and Omissions insurance and discover insurance carriers to represent. In case you join a company they will assist with those activities but will wish a break of your percentages to guidance you.

Understand as much as you can with regards to the annuities you need to offer. Annuity contracts may be tricky, so learn about their fees, interest rates and the economic power of the companies issuing the agreements.
Start prospecting for business. Fixed annuities are usually paid for by those in or nearing retirements. Target person’s age group 45 or older and endeavor to place the greatest number of appointments that you possibly can.

Ask each client for referrals. Without a constant stream of new business arriving in your pipeline you won't last extensively as an annuity salesclerk.

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