To become a Geico agent, here are the cost, competency, licensing requirements.
GEICO is a trusted leader in the insurance world. This company offers a range of comprehensive auto insurance services.
In addition to this, it offers you the opportunity to become its agent. This is what we seek to discuss. The opportunities as well as how to take advantage of them.
Can independent agents sell Geico? Yes. By showing you all it takes to become its agent, you get to prepare beforehand. Read on to find details of these and more.
So how can you get appointed by Geico?
Becoming a GEICO Agent – Checklist
Becoming a GEICO agent comes with a lot of requirements. These are in the form of preconditions that should be met by interested persons. They include the cost implications among others.
In this section of the article, we will discuss these and more.
We are confident that you’d have as much information to start the application process.
The Cost Implications
As with any business endeavor, cost is an essential part of becoming its agent.
So, how much cost are we looking at? You need a minimum startup cost of $100,000 to be considered (This could go lower based on what you choose). The upper end of its startup costs goes as high as $200,000 or more.
This also depends on several factors.
According to GEICO, its startup cost requirements will cover employee expenses, office build-outs, and leases. Others include equipment, phone service, insurance, and advertising among others.
Are Loans Available to Interested Parties?
To become a GEICO agent, you’d need to source for funding entirely on your own. This is because it doesn’t have a provision for loans or any type of commissions that aid startup costs.
How to Commence your Journey
The “how” is usually important for any undertaking. To start your journey, you only need to visit its “apply” webpage.
Here, you’d find a detailed process of how to begin. All necessary guidance to successfully complete the application process is necessary.
But this will require that certain conditions are met. This includes its cost implications as well as financial background and criminal record checks.
Financial Background and Criminal Records Check
This is one of GEICO’s basic conditions for appointment as its agent. These are a necessity to ensure the best outcome for all parties involved.
So, as an interested candidate, you first get interviewed and screened. After this process, you are only recommended to a GEICO officer if you’ve demonstrated sufficient competence to run a business.
But the final decision to appoint lies with the GEICO officer in charge.
2. What Does “Sufficient Competence” Mean?
We’ve used this term to capture certain characteristics which GEICO looks out for. So, what are these characteristics? To be considered, you must be a highly competitive and confident sales professional. An added ability includes being able to save up capital required for this undertaking.
Prospective GEICO agents must be stubborn optimists. These should be able to navigate through challenges with the singular goal of attaining their set goals.
But above all, you must have a strong business acumen which, coupled with strategic marketing creates a winning formula. These attributes stand you out! Also, your chances are much more enhanced.
Other Things You Must Know
We have provided the needed information on how to apply . However, there are still other things you need to know.
These are necessary and give you a heads-up on what to expect during the application process. Without much delay,
let’s consider some of these;
Is there an Insurance Licensing Course of Any Sort?
This question is often raised by prospective GEICO agents. This is quite understandable but the reality is they don’t offer any of such. You are expected to have been fully licensed before the application process. You should consider doing so if you haven’t obtained full licensing.
Are you confused about where to obtain this? You don’t need to be. Your state insurance licensing division provides this service. This takes no time and can be completed within a short period.
GEICO Payment Model
As its agent, GEICO pays you through new and renewal business commissions. These are for insurance premiums generated. Its monthly payments are effected through Automated Clearing House ACH transactions.
Opportunities for GEICO Agents
As its agent, you benefit from a range of opportunities. One of these includes the ability to represent both GEICO as well as other insurance companies.
But…there’s a condition. You only get to represent other insurance companies that pose no competition whatsoever.
In other words, you only work with its partner companies.
Anything short of this is unacceptable.
GEICO has a wide market segment. But this won’t be possible if you’re interested in an agent opening in a preferred location.
In other words, GEICO has the sole rights and responsibility to choose local agent appointments. These are done for the benefit of the company as well as its agents. This isn’t a setback as there are huge growth opportunities in all its locations.
- The Local Agent Business Model
GEICO has a business model in place that guides its agents as well as services offered. As an entrepreneur, you get exclusive representation rights.
This is in addition to insurance lead generation as well as prospecting. Stores are strategically located in places that provide easy access.
As its agent, you get to hire and train your employees. Their wages are also your responsibility.
All your employees must be licensed insurance counselors. But how many employees are we looking at? Well, there’s no fixed number. However, this can be anywhere between 4 to 8 employees.
GEICO leases computers to all its agents. These come pre-configured. Local agents benefit from its cooperative advertising program. Therefore, you’d find information on these and more during your registration.
There you have it. We haven’t only provided you with the steps on how to apply but also included relevant information.
What more? Your application can begin immediately. More so, GEICO’s efficient support system guards against taking uninformed decisions.
We believe that you’d find these quite useful in your bid to become a GEICO agent.
As seen above, becoming a GEICO agent is quite easy. Although this depends on meeting all its requirements.