Life Insurance Agents and Brokers

In May 2018 the median yearly income of insurance agents and brokers was $50,600, according to the U.S. Department of Labor. The department also reported that the lowest paid 10 percent of these workers, which typically includes those just beginning in the field, made less than $27,500. The highest paid 10 percent earned $125,610 or more. Many offices also pay bonuses to agents who sell a predetermined amount of coverage. Beginning agents usually receive some form of financial assistance from the company. They may be placed on a moderate salary for a year or two; often the amount of salary declines each month on the assumption that commission income on sales will increase. Eventually, the straight salary is replaced by a drawing account—a fixed dollar amount that is advanced each month against anticipated commissions. This account helps agents balance out high- and low-earning periods.