Becoming An Insurance Broker In Ireland: A Guide

If you're interested in becoming an insurance broker in Ireland, there are a few different pathways you can take. One option is to pursue an Insurance Practitioner Apprenticeship, which is a three-year, work-based training programme that combines academic study with on-the-job learning. This apprenticeship leads to a Level 8 honours degree – the BA (Hons) in Insurance Practice. Alternatively, you can gain entry through an administration or insurance technician role and work your way up, gaining relevant experience and qualifications over time. Regardless of your path, it's important to note that insurance brokers in Ireland must be authorised or registered to provide advice or information to consumers on financial products and insurance. This involves a detailed authorisation process through the Central Bank, which can take at least six months to complete.

Education and qualifications

There are a variety of pathways to becoming an insurance broker in Ireland, with no set entry requirements. One option is to pursue an apprenticeship, such as the Insurance Practitioner Apprenticeship, which is a three-year, work-based training programme that combines academic study with on-the-job learning. This apprenticeship leads to a Level 8 honours degree – the BA (Hons) in Insurance Practice.

Another option is to gain entry through an administration or insurance technician role, acquiring the relevant experience and qualifications to progress. This could involve completing a pre-contract examination covering topics such as insurance law, ethics, and sales practices, and then applying for a license from the Central Bank of Ireland, which regulates insurance agents in the country. This process requires providing proof of qualifications and experience, as well as undergoing a background check. It is important to note that engaging in certain activities, such as providing advice or information to consumers on financial products, without being registered with the Central Bank of Ireland is an offence.

Regardless of the pathway chosen, there are certain skills and qualities that are essential for a successful career as an insurance broker. These include good communication and interpersonal skills, numeracy and business communication skills, accuracy and attention to detail, confidence and strong negotiating abilities, honesty and integrity, report-writing ability, organisational skills, and the ability to gather and analyse information quickly. Additionally, a basic understanding of spreadsheet software and a good understanding of the insurance market, products, and regulations are advantageous.

Registration and authorisation

To become an insurance broker in Ireland, you must be authorised and registered to provide advice or information to consumers on retail financial products and/or arrange or offer to arrange retail financial products for consumers. This includes the following classes of insurance business:

• General insurance products
• Life assurance products
• Investment and pensions
• Health and medical insurance products

The authorisation process is detailed and can take a substantial amount of time, usually at least six months. The process takes into account the individuals managing and directing the firm's activities, the nature of the legal entity, and the range of regulated activities to be provided.

The Central Bank of Ireland's website outlines all the stages of the application process, including links to the relevant forms and guidance for completion. While the Central Bank does not charge a fee for processing applications, there are several costs associated with being an authorised broker, including annual levies to the Industry Levy, the Financial Services Ombudsman, and the Investor Compensation Company Ltd (ICCL). Additionally, brokers must obtain professional negligence insurance.

Before applying for authorisation, individuals must complete a pre-contract examination covering insurance law, ethics, and sales practices. Once they have passed this exam, they can apply for a license from the Central Bank of Ireland, which involves providing proof of qualifications and experience, as well as undergoing a background check.

It is an offence to engage in any insurance broker activities without being registered with the Central Bank of Ireland.

Skills and qualities

To become an insurance broker in Ireland, you must possess a unique blend of technical and soft skills.

Technical Skills

• Mathematical skills: Insurance brokers must be comfortable with numbers and quick and accurate with calculations. This skill is essential to avoid errors in calculating insurance cover and revising insurance policies.
• Organisational skills: Insurance brokers must be able to keep their work and workspace organised to maintain detailed records, improve efficiency, and save time. This skill is crucial when dealing with large numbers of clients and keeping track of their insurance policies.
• Attention to detail: Being detail-oriented is essential for insurance brokers to identify even the smallest errors in calculations or insurance policies. This skill ensures that brokers can review insurance policies thoroughly and correct any mistakes promptly.

Soft Skills

• Communication skills: Clear and confident communication is vital for insurance brokers when dealing with clients, internal and external stakeholders, and insurance companies. Effective communication ensures that insurance brokers can explain insurance policies, discuss options, and complete insurance paperwork with ease.
• Interpersonal skills: Building positive relationships with clients and colleagues is essential for success in the insurance industry. Empathy, reliability, and active listening skills enable brokers to create a pleasant experience for their clients and foster long-term relationships.
• Negotiation skills: Insurance brokers often find themselves negotiating insurance policy prices and terms on behalf of their clients. Strong negotiation skills, backed by clear communication, help brokers reach agreements that satisfy all parties involved.
• Problem-solving skills: Creative problem-solving is a highly valued skill in insurance brokerage. Brokers must be able to analyse situations, think creatively, and devise fitting solutions within a short time frame. This skill is particularly useful when dealing with clients who have unusual insurance needs.
• Customer service skills: Insurance brokers are responsible for dealing with people and ensuring their satisfaction. Delivering on promises, going the extra mile, and tailoring solutions to meet clients' needs are essential aspects of providing excellent customer service in this industry.

These skills and qualities will not only help you secure a job as an insurance broker but also excel in your role and climb the career ladder.

Salary and benefits

The salary of an insurance broker in Ireland varies depending on experience. The average insurance broker salary in Ireland is €35,000 per year or €17.95 per hour. Entry-level positions start at €32,500 per year, while experienced workers can earn up to €56,500 per year. The highest-paid insurance brokers in Ireland earn €45,000 per year, while the lowest-paid earn €24,000 per year.

There are a few ways to increase your salary as an insurance broker in Ireland. One way is to change employers and find a company that is willing to pay a higher salary for your skills. Another way is to gain advanced degrees and qualifications, which may lead to promotions and higher income. Additionally, if you oversee more junior insurance brokers, this management experience can also increase your earning potential.

There are several routes to becoming an insurance broker in Ireland, and some of these can influence your salary. One route is to secure an entry-level customer service role and then receive training and qualifications through your employer. Another route is to complete third-level qualifications first and then look for a job in the industry. A third option is to enrol in the Insurance Practitioner Apprenticeship Programme, which is a three-year, work-based training programme that combines academics with on-the-job learning. This programme is open to school leavers, new graduates, and career changers who meet the entry requirements. Apprentices will earn a salary while studying towards their degree, and this salary will be commensurate with the industry entry-level rate.

Career advancement

To advance your career as an insurance broker in Ireland, you can pursue further education, develop specialised skills, and gain industry experience. Here are some detailed steps and strategies to enhance your career in this field:

• Education and Qualifications: Consider enrolling in the Insurance Practitioner Apprenticeship, which is a three-year, work-based training programme that combines on-the-job learning with academics. This apprenticeship allows you to specialise in one of the core areas of the industry – underwriting, claims, or direct customer support. You will earn a Level 8 honours degree, the BA (Hons) in Insurance Practice, which is widely recognised in the insurance sector.
• Develop In-Demand Skills: Focus on developing strong communication and interpersonal skills, as well as negotiating and influencing abilities. Honesty, integrity, and confidence are also highly valued in the insurance industry. Additionally, gain a deep understanding of financial products and services, and refine your analytical and problem-solving skills. These skills will help you provide sound advice to your clients and build long-lasting relationships.
• Specialise in a Niche Area: Consider specialising in a specific area of insurance broking, such as marine, energy, engineering, risk assessment, or claims broking. By becoming an expert in a niche area, you can position yourself as a valuable resource for clients and potentially command higher fees or salaries.
• Network and Build Relationships: Attend industry events, conferences, and workshops to expand your professional network. Building relationships with colleagues, competitors, and potential clients can open doors to new opportunities, partnerships, and referrals. A strong network can also keep you informed about the latest industry trends and developments.
• Stay Updated with Industry Trends: The insurance industry is constantly evolving, so it's important to stay abreast of the latest changes. This includes keeping up with regulatory updates, new products and services, and emerging risks. By demonstrating a thorough understanding of the current landscape, you will be seen as a trusted advisor by your clients.
• Seek Mentorship and Guidance: Seek out mentors or coaches who have extensive experience in the insurance industry. Their insights, advice, and guidance can help you navigate career challenges and make informed decisions about your professional development. Mentorship can also open doors to new opportunities and provide you with a support system as you advance in your career.

By following these steps and continuously investing in your professional growth, you can advance your career as an insurance broker in Ireland, increase your earning potential, and establish yourself as a trusted expert in the industry.

Frequently asked questions