Tough call as an insurance agent

Posted on August 30, 2010 11:14 AM

I can still recall those dreaded calls that many of us get from insurance agents trying to sell us policy. They most likely have either gotten your contact details from some database which they have collected or bought.

Some of these agents get the contacts from their friends and relatives, who think they are doing them and you a great favour. It starts with a telemarketing call from the insurance agent. Getting pass this hurdle for many of the new recruits selling insurance is a tough one.

How many of us would want to entertain a stranger, what more someone trying to sell you an insurance policy and subsequently talk about the subject of death and illnesses which most of us would like to avoid?

What many of us fail to realise is besides trying to earn a living from their commission as an insurance agent, they are selling you a savings and wealth creation plan which might come in handy when you need a certain sum of money like for your child’s education fund which you have overlooked.

The premiums that you have dutifully paid under your insurance policies are supposed to “protect” you when you are suddenly hospitalised since you are covered for certain illnesses under the plan that you have bought.

Good insurance agents who are able to advise you what protection or investment plan is suitable for you are hard to come by.

This is partly because many of them treat it as a part-time job to earn some extra income and do not fully understand what it entails when it comes to servicing their customers or insurance policy holders. Sending an annual birthday card to remind us that you remember us is not good enough.

From the country’s largest and oldest insurer, Great Eastern Life Assurance (M) Bhd, which has over 17,000 agents, half of them are understood to be part-timers.

It is heartening to know that the company is looking at recruiting more fresh graduates and professionals to join at its agents: at least 6,000 this year and another 6,000 in 2011.

Malaysia's largest and oldest insurer has its own building

Great Eastern is also targeting for more full-time agents to join them. Understandably, this is huge market to tap as the insured rate in Malaysia is low (at 41%) compared with developed countries such as Japan, Singapore and the United States.

The insurance industry has evolved over the years where insurance agents have been encouraged to equipped themselves with financial-related knowledge and become certified financial planner as well.

This is good for the industry and country as we need this pool of talent which can provide professional advice on matters such as protection, savings, investing for your old age and wealth creation based on your financial capability and needs.