Being a financial advisor is definitely doable, but it’s pretty tough unless you have a solid stream of clients ready to switch over to you or a network of high-net-worth friends willing to buy from you.
If you’re not into hard selling or pushing clients to close deals, this career might not be the right fit. You might have better luck selling credit cards and working your way up to a Relationship Manager position at a bank. People are usually more open to talking about investments than insurance over coffee. Saying “I work for a bank” has a different ring to it compared to “I work for AIA or GE.” Even if the products are similar, people tend to listen more to a “banker.”
Being a Relationship Manager isn’t exactly a walk in the park either. Bank management will push you to hit sales targets, including selling investment-linked products (ILPs) to older clients. But there are some trade-offs. As an RM, you’ll do similar work to a financial advisor (FA) but with a base salary and 5% to 10% commissions, compared to the higher commissions of FAs. Many RMs switch banks every couple of years for better salaries. If they could do it all over again, they might pick the Financial Advisor’s flexible lifestyle over the burnout from management pressures. Both roles have their pros and cons, and not all RMs stick to ethics due to the pressure to meet KPIs and sell insurance products.
Sure, this path can be lucrative if your main goal is to make money. But if staying ethical is important to you, the sales targets and reward systems might push agents out quickly.
A lot of people call insurance agents “financial advisors,” but often they focus more on selling products than giving comprehensive financial advice. Some folks even think AI will take over financial advisors’ jobs soon.
Passing the necessary exams is just the start. When you begin working without a base salary and haven’t secured clients for months, the financial pressure can build up. In those situations, selling a high-commission product, even if it’s not the best choice for the client, can be tempting. There’s a lot of gray area between misconduct and due diligence, and people often find a way to make a sale.
Not everyone in the industry lacks ethics. Some financial advisors are trying to make a positive impact and help clients reach financial independenceEven though compensation is commission-based, not all advisors push products just to line their pockets. Some independent financial advisors (IFAs) compare policies to find the best fit for your lifestyle and spending habits. They also work with companies to create competitive employee benefits plans, so they’re busy enough not to need roadshows or cold-calling.
If you’re thinking about this career, meeting people in the industry and getting insights can help you make a smart choice.
In this business, it’s important to resist the temptation of incentives and stick to your ethics and beliefs. As an Financial Advisor, you’re always under the watchful eye of superiors and friends. Skeptics will quickly spot any missteps, but if you can handle this pressure, you’ll do well.
In the end, providing well-rounded financial advice is what matters, even if it means not closing a sale. Financial advisors should be seen as professionals, not just salespeople.
For anyone thinking about this career, it’s important to remember that social skills and confidence in the products you sell are key. If you’re a strong salesperson, this can be a rewarding path. However, finding a boss, manager, or leader you trust and whose guidance you value is crucial. That’s where we come in. We specialize in matching your personality with the right financial advisory environment, helping you find a place where you can truly grow and thrive.
What Life is Like as an Insurance Agent in Singapore
If you like to move fast, work as a Singapore insurance agent can be very fulfilling for those who live and breathe sales/ talking with people/helping others protect their future. But this is also a job that demands effort, discipline and that you perform well under a wide range of duties.
So, how is the typical day in a life of an insurance agent? The office ambience, work load, pressure and lifestyle struggles as well as rewards, if any.
Day-to-Day Routine
Most of the time is spent by an insurance agent meeting prospects and looking for potential clients to sell policies. Being proactive plays a big role in the job as agents must always be aware of new leads to expand their clientele. This can mean word of mouth, cold calling, attending networking events and many other forms of marketing to get the products into as many hands or in front of as much eyeballs as possible.
This is followed by meetings after the leads have been created. Insurance agents work extensively with customers and clients, meeting face-to-face to discuss insurance needs. These meetings are where they get to know the client, establish a relationship with them and recommend that insurance product which would be an ideal fit for their situation. All the way around you are just trying to close clients so that they eventually sign up for an insurance coverage fitting their necessities.
Apart from sale practices, agents must take care of other office work as well. This may include client administration, processing of paperwork and maintaining accurate documentation. These activities are vital to keeping the ship running smoothly and ensuring a high level of client satisfaction.
It is also compulsory facet of the life to become an insurance agent that is used to Training & Development. This involves the standard ongoing training sessions and workshops attended by agents to understand recent industry trends, new products coming into market or any changes in rules/regulations which could affect their customers.
Work Environment
Insurance agents often have a flexible work environment, allowing them to work from home or other locations. However, many are required to report to the office regularly, especially new agents who need guidance and support. The flexibility in working hours can be a significant advantage, enabling agents to balance work with personal commitments. However, this flexibility is often contingent upon meeting performance targets.
Sales Pressure
Like many sales roles, being an insurance agent involves a degree of pressure to meet sales targets and quotas. These targets are typically set by the company or the agency leader, and not meeting them can result in pressure from superiors. Performance is closely monitored, especially if an agent struggles to achieve sales goals. Managers may check attendance at sales activities such as roadshows or cold-calling sessions to ensure agents are putting in the effort required to succeed.
Lifestyle and Challenges
Both opportunities and challenges mark the lifestyle of an insurance agent. Success in this field often requires significant self-discipline and motivation. While the job offers flexibility, it demands a proactive approach to generate leads and close sales. Income is largely commission-based, so earnings can vary greatly depending on sales performance. This variability means agents must work diligently to ensure a steady income.
Achieving a good work-life balance can be challenging but is attainable with effective time management and prioritization. Agents who manage their time well can enjoy the flexibility of the role while meeting their sales targets.
Conclusion
Being an insurance agent involves a blend of salesmanship, discipline, and customer service. While the job offers flexibility, it also demands commitment and effort to meet targets and build a client base. Although the role is often portrayed as offering freedom and independence, success typically requires hard work and perseverance. For those who thrive in a sales environment and are driven by the opportunity to help others, a career as an insurance agent can be both fulfilling and lucrative.
