Functions of Insurance Agents in India

By | March 6, 2024

The insurance sector in India is one of the fastest-growing industries, facilitating great returns for nearly no investment. While initially, insurance agents fulfilled a minor role, today they are representatives of the insurance providers, helping generate new business and fostering good relations with existing ones.

In this article, we will explore what an agent is, the functions of agents in India, the requirements to do so, and the steps to become a health insurance agent

Who is an Insurance Agent?

An insurance agent is licensed by the regulatory authority for insurance in India to sell insurance policies to customers. They represent insurance providers and explain the policy details, recommending the best policy for the customer’s needs.

There are two types of insurance agents. The first kind is an independent agent who is free to sell policies from any number of insurers as they want. The second kind is an exclusive agent who works for only one insurance provider and sells policies only from them.

What are the Functions of an Insurance Agent?

  • They are responsible for generating new business by approaching leads and converting them.
  • They are required to have in-depth knowledge of the policies they are selling and recommending to the customer.
  • They must understand the customer’s pain point and offer the best solution through a policy.
  • They must give accurate and honest financial advice if requested by the customer.
  • The agent must also understand the market and offer plans, keeping that in mind.
  • As an insurer’s representative, they must act cordially and be helpful to the customer.
  • As one of the sales functions, an agent must reach sales targets if set by the insurer.

What are the Eligibility Criteria for Becoming an Agent?

Not only are the requirements to become an agent in India simple, but it also requires no monetary investment. This allows almost anyone to start their career as an agent. These are the minimum requirements that anyone must fulfill to become an agent.

  1. The applicant must be at least 18 years old.
  2. They must complete their 10th or 12th standard, depending on where they are from.
  3. They must complete their mandatory practical training with an insurer of choice.
  4. They must also clear a simple prescribed examination

What is the Process of Becoming a Health Insurance Agent?

As someone who has been an agent specialising in health insurance for the past 5-6 years, I am biased towards health insurance and will mention the steps for the same. There, however, shouldn’t be much difference and people looking to specialise in any other field. The only difference will be the insurance provider of choice.

These are the steps anyone over 18 and someone who has completed their secondary or senior secondary education can take part in.

  1. Visit the Niva Bupa Health Insurance or your preferred insurer’s website and click on “Become an agent” at the top of the page.
  2. Once taken to the new page, fill out the requested information and submit it.
  3. You will then be contacted by them and be able to complete your mandatory practical training with them.
  4. After this, prepare for the examination and clear that exam with passing marks to get a license to become an agent.
  5. You can then join the insurer and start working as an agent.


The role of an insurance agent has risen from just being a sales function to someone who represents the insurer in front of customers today. This has offered greater freedom and more opportunities for success. By fulfilling these responsibilities, you, too, can become a successful agent in insurance.

Also Read: The Impact of Pre-existing Conditions on the Cost of Health Insurance Plans

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