What do insurance agents make a year?
Christopher Davis
Updated on March 24, 2026
Insurance agents and brokers
| Wages* | Low (5th percentile) | Average |
|---|---|---|
| Starting | $16.83 | $25.82 |
| Overall | $19.38 | $35.55 |
| Top | $23.74 | $50.13 |
Do State Farm agents own their business?
* State Farm agents are independent contractors and are solely responsible for office expenses and decisions regarding the employment and/or management of agent team members employed by them.
How much does a State Farm agent make a year?
Average State Farm Mutual Automobile Insurance Company Licensed Agent yearly pay in the United States is approximately $35,145, which is 43% below the national average.
How many insurance agencies end up losing money?
Why nine out of ten agency acquisitions end up losing money. If you’re considering buying, merging, or selling an agency now or in the future, consider this: Preliminary results of a current study show that 90% of all insurance agency acquisitions lose money!
How much should an insurance agency sell for?
To assume that your agency falls exactly in the middle is simplistic and unrealistic. For example, an agent recently said that his agency should sell for 1.5 times revenues because that’s what agencies in his area were selling for. What if his agency is better managed (and thus less risky) than other agencies in his area?
What does it mean to be an independent insurance agent?
To become an Independent insurance agent means that you have an insurance agency. The agents are also known as insurance sales agents.
What happens when the owner of a life insurance policy dies?
If the owner and the insured are two different people and the owner dies first, the policy ownership has to pass to a successor owner until the death of the insured results in the proceeds being paid to a beneficiary.
