Six question sets for agency owners hiring a producer: licensing, prospecting, coverage knowledge, service and retention, ethics and suitability, plus a scorecard with red flags and the checks to run before the offer. Download as DOCX.
The first agency owner who asked me for help hiring a producer had interviewed six people and hired two of them. Both were gone inside a year. When I asked what he had asked them, he said he mostly talked about the agency and got a feel for whether they were hungry. Every candidate had been hungry. That is the format an insurance interview rewards if you let it.
Insurance sales is the one role where the interview format flatters exactly the wrong trait. Confidence in a conversation is the thing a good producer and a bad producer both display, so an unstructured chat tells you almost nothing. What separates them is where their business actually came from, whether a client can follow their explanation of a coverage, and what they do when the profitable recommendation is the wrong one.
At FirstHR, we build for small businesses that hire without an HR department, and a four-person agency is exactly that. This page gives you six question sets written for the employer side of the table: every question states why it is worth asking and what a strong answer sounds like, plus a scorecard, a red-flag list, and the checks to run before you make an offer. More hiring kits sit in the hiring templates library.
TL;DR
Interview an insurance agent in five areas: licensing and carrier appointments, prospecting evidence, coverage knowledge in plain language, service and renewals, and ethics under commission pressure. Screen licensing first on the phone, verify the license on your state insurance department lookup before the offer, and score every candidate on the same rubric.
What to Assess in an Insurance Agent
Assess five things: license and appointment readiness, self-generated production, coverage knowledge a client can follow, service and renewal habits, and ethics under commission pressure. Charisma is not on the list, because it is the one quality that shows up equally in the producers who last and the ones who quit in month seven.
The reason to run this as a structured interview is specific to the role. When you ask different questions of different candidates, you end up comparing conversations rather than evidence, and the most enjoyable conversation wins. Ask the same core set, in the same order, and score each answer before you talk to anyone else about the candidate.
Weight the sets to the job you are actually filling. A captive personal lines desk needs coachability and coverage explanation more than territory prospecting. An independent commercial producer needs the sales set weighted heavily and a real discovery habit. A Medicare or benefits practice needs the compliance questions treated as the core of the interview rather than a closing formality.
Screen Licensing Before Anything Else
Run the licensing questions on a ten minute phone screen, before you spend an hour on anyone. Licenses are issued state by state, and agents need one in each state where they sell, with life and health lines licensed separately from property and casualty, which means a candidate can be fully licensed and still unable to sell what you sell.
Most states issue a license only after specified coursework and a state exam covering insurance fundamentals and state law, and then require continuing education on ethics, consumer protection, and product detail to keep it, according to the U.S. Bureau of Labor Statistics. Agents who also sell securities need a separate registration through the industry regulator, which matters if variable products are part of your mix.
Carrier appointments are the part owners forget. An appointment ties a specific agent to a specific carrier, it does not travel with the person when they change agencies, and filing a new one takes weeks. Ask which appointments are active today, and plan the start date around reappointment rather than around the candidate's notice period.
Verify the License Yourself, Before the Offer
Every state insurance department publishes a free public license lookup. Search the candidate, confirm the license is active, confirm it covers the lines you sell and the states you sell in, and note the expiration date. This takes about two minutes and settles the single largest risk in the hire. Ask separately for a copy of any non-solicit or book-ownership clause the candidate signed with their current agency, and read it before you build a plan around the clients they say they will bring.
The Six Question Sets
The questions below are grouped into five competencies plus a scorecard. Each set states why each question is worth asking and what a strong answer sounds like, so you can score an unfamiliar line of business without being an expert in it yourself.
Licensing and Appointments
Ask this first
License lines, states, renewal dates, carrier appointments, continuing education, and what the candidate signed about their current book. The cheapest filter you have, and the one to run on the phone screen.
Prospecting and Sales
Do they create demand?
Where their last twenty policies actually came from, how many hours go to prospecting, and what they produced last year. Separates a producer from someone who worked a lead list.
Product and Coverage
Can a client follow them?
Personal lines, commercial lines, and life and health questions that test plain-language explanation rather than memorized definitions. Use only the lines you actually write.
Service and Retention
Will the book stay?
Rate increases, denied claims, annual reviews, and documentation. Renewals are where an agency keeps or loses its economics, so this set matters as much as the sales one.
Ethics and Suitability
The set agencies skip
Commission versus suitability, walking away from a sale, and what happens when a client suggests softening an application answer. This is the set that protects your license.
Scorecard and Red Flags
Score, do not guess
A seven-area rubric, a red-flag checklist, and the verification steps to complete before the offer, including the state license lookup.
Use the Sets That Match Your Lines, and Never Skip the Ethics One
Only ask the product questions for lines you actually write. A personal lines agency does not need the underwriter negotiation questions, and a commercial shop does not need the term versus permanent discussion. The one set to run with every candidate regardless of experience level is ethics and suitability, because it is the set that protects your license and the one almost no agency asks.
6 Free Question Sets to Download
Download all six as a single Word document, or copy individual sets. Each follows the same structure: the questions, why each one is worth asking, what a strong answer sounds like, and space for notes. The final file is the scorecard with a red-flag checklist and the verification steps to complete before the offer.
Download All 6 Insurance Agent Question Sets
Licensing, prospecting, coverage, service, ethics, and a scorecard with red flags. All in one DOCX.
Set 1: Licensing, Appointments, and Book of Business
Run this on the phone screen. License lines and states, renewal dates, active carrier appointments, continuing education, securities registrations, and what the candidate signed about soliciting their current clients.
Licensing, Appointments, and Book of Business Questions
INSURANCE AGENT INTERVIEW: LICENSING, APPOINTMENTS, AND BOOK
Candidate: __
Interviewer: __
Date: __
Ask this set first, on the phone screen. It is the cheapest filter you have.
QUESTIONS TO ASK
1. Which insurance licenses do you hold right now, in which states, and when
does each renew?
Why ask: an unlicensed candidate is not a faster hire, it is a delayed one.
Strong answer: exact lines (property and casualty, life and health), exact
states, and renewal dates the candidate knows without checking.
2. Has a license or a carrier appointment of yours ever been declined,
suspended, revoked, or not renewed?
Why ask: it is job related, it is verifiable, and you will find out anyway.
Strong answer: direct, unprompted context if there is anything to disclose.
3. Which carriers have you been appointed with, and which appointments are
still active?
Why ask: appointments do not travel automatically, and reappointment takes
time you should plan for.
Strong answer: names the carriers, knows which appointments lapse on exit.
4. How current is your continuing education, and how do you keep track of it?
Why ask: a lapsed CE requirement stops production, not just paperwork.
Strong answer: a system (calendar reminders, a tracker), not a memory.
5. Do you hold any securities registrations, and do you intend to use them
in this role?
Why ask: selling variable products pulls in a separate regulator.
Strong answer: clear on what the registration does and does not allow.
6. What happens to your current book when you leave, and what have you signed
about soliciting those clients?
Why ask: a non-solicit or a book ownership clause is your problem the day
you hire.
Strong answer: knows exactly what they signed and offers to share it.
7. If we sponsor the license instead, what is your study plan and timeline?
Why ask: for a career changer this predicts whether they will pass.
Strong answer: a specific course, a target exam date, hours per week.
WHAT TO DO WITH THE ANSWERS
Verify, do not trust. Every state insurance department publishes a license
lookup. Check the license number, the lines, the status, and the expiration
before the offer, not after. Ask for written confirmation of any restrictive
covenant the candidate is still bound by.
NOTES
[Record license numbers, states, lines, renewal dates, and carriers here.]
Set 2: Prospecting and Sales
Where the last twenty policies came from, hours per week spent prospecting, last year's production and how it was measured, and how the candidate handles a prospect whose only question is price.
Prospecting and Sales Questions
INSURANCE AGENT INTERVIEW: PROSPECTING AND SALES
Candidate: __
Interviewer: __
Date: __
QUESTIONS TO ASK
1. Where did your last twenty policies actually come from?
Why ask: it separates a producer who creates demand from one who worked a
lead list somebody else paid for.
Strong answer: a breakdown by source with rough percentages, and honesty
about how much came from company-supplied leads.
2. Walk me through your week. How many hours go to prospecting, and when?
Why ask: production in this role is mostly a calendar question.
Strong answer: a protected block, a daily activity number, and what they
do when the number slips.
3. Tell me about a client you wrote who first said no. What changed?
Why ask: tests persistence and whether it comes with judgment.
Strong answer: a real sequence of contacts, a reason the client changed
their mind, and a clear line where they would have stopped.
4. How do you handle a prospect whose only question is price?
Why ask: cheapest-policy shoppers are where coverage advice goes to die.
Strong answer: reframes to coverage and exposure, quantifies the gap, and
is willing to lose the sale rather than write the wrong policy.
5. What did you produce in your last full year, and how was it measured?
Why ask: a candidate who owns a number should be able to say it.
Strong answer: premium written, policy count, items per household, or
whatever their agency tracked, stated plainly and consistently.
6. How do you ask for referrals, and when in the relationship?
Why ask: referrals are the cheapest acquisition an agency has.
Strong answer: a named moment in the process and specific wording.
7. What does your first ninety days here look like if we hire you?
Why ask: it reveals whether they have a plan or expect one.
Strong answer: licensing and appointments first, then a concrete activity
target, then production.
WHAT A STRONG ANSWER LOOKS LIKE
Numbers, sources, and a repeatable weekly rhythm. Weak answers describe
personality (a people person, a hard worker) instead of activity, or credit
results to the agency brand and the lead flow without naming their own part.
Ask what was the result after every story.
NOTES
[Capture production numbers, lead sources, and activity levels here.]
Still Using Spreadsheets for Onboarding?
Automate documents, training assignments, task management, and track onboarding progress in real time.
Personal lines, commercial lines, and life and health questions that test plain-language explanation instead of memorized definitions. Use only the sections that match what you sell.
Product and Coverage Knowledge Questions
INSURANCE AGENT INTERVIEW: PRODUCT AND COVERAGE KNOWLEDGE
Candidate: __
Interviewer: __
Date: __
Use the questions that match the lines you actually write. Skip the rest.
PERSONAL LINES
1. Explain the difference between actual cash value and replacement cost to a
homeowner who has never heard either term.
Why ask: it tests knowledge and plain-language explanation at once.
Strong answer: a short, jargon-free explanation and the practical
consequence at claim time.
2. A client wants the state minimum auto liability limits. What do you say?
Why ask: the answer shows whether they sell coverage or sell price.
Strong answer: explains the exposure above the limit, offers an umbrella,
documents the client's choice either way.
3. How do you explain a deductible increase as a premium strategy?
Strong answer: ties the saving to what the client can absorb out of pocket.
COMMERCIAL LINES
4. Walk me through how you would quote a small contractor.
Why ask: commercial requires a discovery habit, not a rate quote.
Strong answer: asks about operations, payroll, subcontractors, vehicles,
and certificates before touching a rating tool.
5. How do you explain the difference between general liability and
professional liability to an owner who thinks one covers everything?
Strong answer: a concrete example of a claim each policy would and would
not pay.
6. Tell me about a submission an underwriter declined. What did you do next?
Strong answer: worked the file, not the underwriter, and found a market.
LIFE, HEALTH, AND BENEFITS
7. When is term the right recommendation and when is permanent coverage?
Why ask: this is where suitability problems start.
Strong answer: anchors to the client's need and time horizon, not to the
commission difference, and says so without being prompted.
8. How do you handle a client who wants to replace an existing policy?
Strong answer: knows replacement carries disclosure requirements and does
the comparison in writing.
HOW TO SCORE THIS SET
You are not testing memorized definitions. You are testing whether a client
would understand the answer. Score plain language, a real example, and a
willingness to say I would check that rather than guess.
NOTES
[Capture coverage explanations and any factual errors here.]
Set 4: Client Service, Retention, and Renewals
Rate increases, denied claims, annual coverage reviews, documentation habits, and the retention number the candidate ran their book at. Renewals decide agency economics, so this set carries real weight.
Client Service, Retention, and Renewal Questions
INSURANCE AGENT INTERVIEW: SERVICE, RETENTION, AND RENEWALS
Candidate: __
Interviewer: __
Date: __
QUESTIONS TO ASK
1. Walk me through how you handle a renewal that comes back with a large
rate increase.
Why ask: renewals are where an agency keeps or loses its economics.
Strong answer: contacts the client before the notice arrives, explains the
driver, remarkets where it makes sense, and never lets the client hear it
first from the carrier.
2. A client calls angry about a denied claim. Take me through the call.
Why ask: this is the hardest conversation in the job and it is common.
Strong answer: listens first, reads the policy language, explains the
denial honestly, and helps with the appeal path where one exists.
3. How do you keep in touch with clients between renewals?
Strong answer: a scheduled review cadence, not random check-ins, and a
reason for each touch.
4. How do you run an annual coverage review?
Why ask: reviews drive both retention and additional lines.
Strong answer: a checklist of life changes and exposures, done on a
calendar rather than when a client happens to call.
5. Tell me about a client you kept who was about to leave. What did you do?
Strong answer: a specific save, with the reason the client was leaving
named honestly.
6. How do you document conversations and recommendations?
Why ask: documentation is the agency's defense when a client says they
were never offered a coverage.
Strong answer: notes in the agency system the same day, and a written
record of any coverage the client declined.
7. What retention rate did your book run at, and how do you know?
Strong answer: a real number, or an honest we did not measure it.
WHAT A STRONG ANSWER LOOKS LIKE
Service answers should sound like a process, not a personality. Listen for
proactive contact before renewals, honesty during bad news, and same-day
documentation. Candidates who describe service as being available when clients
call are describing a reactive book that will quietly leak.
NOTES
[Capture retention numbers, review cadence, and documentation habits here.]
Set 5: Ethics, Suitability, and Compliance
Commission versus suitability, walking away from a sale, what happens when a client suggests softening an application answer, client data handling, and completed compliance training.
Ethics, Suitability, and Compliance Questions
INSURANCE AGENT INTERVIEW: ETHICS, SUITABILITY, AND COMPLIANCE
Candidate: __
Interviewer: __
Date: __
This is the set most agencies skip and the one that protects the license.
QUESTIONS TO ASK
1. A client qualifies for a product that pays you well but fits their need
poorly. What do you do?
Why ask: it is the whole job in one question.
Strong answer: recommends the suitable product, explains the reasoning,
and treats the commission difference as irrelevant to the recommendation.
2. Tell me about a sale you walked away from. Why?
Why ask: an agent who has never declined a sale has either never been
tested or never noticed.
Strong answer: a specific case, usually a suitability or a disclosure
problem, described without drama.
3. An application is easier to place if one answer is softened. The client
suggests it. What happens next?
Why ask: application fraud starts as a small favor.
Strong answer: refuses immediately, explains rescission risk to the
client, and documents the accurate answer.
4. How do you make sure a client understands what they are buying?
Strong answer: plain language, a written summary, and a habit of asking
the client to explain it back.
5. What personal client information do you handle, and how do you protect it?
Why ask: producers carry Social Security numbers, medical answers, and
financial data on their laptops.
Strong answer: named practices, not intentions.
6. What compliance training have you completed, and when?
Why ask: anti-money-laundering and carrier product training are usually
annual and are a condition of appointment.
Strong answer: knows which trainings, which carriers required them, and
when they expire.
7. Describe a time you disagreed with a manager about how something should
be sold.
Strong answer: raised it directly, and did not quietly comply.
WHAT A STRONG ANSWER LOOKS LIKE
The tell is speed. An agent with settled ethics answers the suitability
question in one sentence and then explains. Hesitation, a question about how
the agency handles it, or an answer that starts with it depends on the client
is worth a follow-up and a note on the scorecard.
NOTES
[Capture the exact wording of any hesitation or qualification here.]
Set 6: Scorecard and Red Flags
A seven-area rubric with space for evidence rather than impressions, a red-flag checklist, and the verification steps to complete before the offer, including the state license lookup and reference calls.
Insurance Agent Interview Scorecard and Red Flags
INSURANCE AGENT INTERVIEW SCORECARD
Candidate: __
Interviewer: __
Date: __
Score each area from 1 (poor) to 5 (excellent). Write the evidence, not the
impression. Score before you discuss the candidate with anyone else.
Coachability and product training fit Score: [ 1 2 3 4 5 ]
Evidence: __
RED FLAGS
[ ] Vague or shifting production numbers
[ ] Credits all results to the agency brand or the lead flow
[ ] Cannot name a sale they walked away from
[ ] Treats a suitability question as a gray area
[ ] Will not say what they signed about soliciting their current clients
[ ] License status the candidate cannot describe precisely
[ ] Reluctant to provide references from carriers or managers
[ ] Describes service as being available when clients call
VERIFICATION BEFORE THE OFFER
[ ] License verified on the state insurance department lookup
[ ] Lines and expiration dates confirmed
[ ] References called, with a question about ethics in each call
[ ] Background check completed where the state or carrier requires one
[ ] Restrictive covenant from the prior agency reviewed in writing
SUMMARY
Total score: ______ / 35
Recommendation: [ ] Strong yes [ ] Yes [ ] No [ ] Strong no
Key strengths: __
Key concerns: __
Interviewer signature: __
What a Good Answer Sounds Like
A strong answer in this role has three parts: a specific situation, the candidate's own action in it, and a number. Weak answers describe a personality or credit the agency brand. The examples below show the same question answered well and badly, which is usually easier to use than a definition.
Where did your last twenty policies actually come from?
Strong answer: Breaks the book down by source with rough percentages: referrals, cross-sold existing clients, agency-supplied leads, walk-ins, community networking. A strong candidate is honest about how much came from lead flow somebody else paid for, and can name what they personally built.
Weak answer: A weak answer describes personality instead of sources, or credits the agency brand and the lead program without naming any part of the pipeline the candidate created.
A client wants the state minimum auto liability limits. What do you say?
Strong answer: Explains in plain words what happens when a claim runs past the limit, quantifies the exposure against what the client owns, offers higher limits and an umbrella, then documents the choice if the client still declines. Sells coverage, and is willing to lose the sale rather than write the wrong policy.
Weak answer: A weak answer writes the minimum without a conversation, or lectures the client in policy jargon they will not follow and calls that an explanation.
A product pays you well but fits the client poorly. What do you do?
Strong answer: Answers in one sentence, recommends the suitable product, and only then explains the reasoning. The commission difference does not appear in the answer unless the candidate raises it to dismiss it.
Weak answer: Hesitation, a question about how your agency handles it, or an answer that opens with it depends on the client. Note the exact wording and follow up.
The most useful follow-up is the shortest one: what was the result? Ask it after every story and wait through the pause. Producers who ran their own pipeline reach for numbers naturally, while candidates who rode a lead program tend to restate the story in different words.
Production signals
Names sources for their own pipeline
States a real number for last year
Protects a weekly prospecting block
Coverage fluency
Explains a term without jargon
Uses a claim example, not a definition
Says I would check that instead of guessing
Ethics signals
Answers the suitability question fast
Can name a sale they walked away from
Refuses to soften an application answer
Red flags
Production numbers that shift between answers
Cannot describe their own license status
Will not discuss a signed non-solicit
The Ethics Questions Most Agencies Skip
Ask every candidate what they do when a product pays them well and fits the client poorly, and whether they can name a sale they walked away from. These two questions carry more predictive weight than anything else on the page, and most agency interviews never ask them.
The reason to ask is structural. An agent is paid by the sale and trusted by the client, which puts a small conflict inside every recommendation. The candidates worth hiring have already resolved it, and you can hear that in how fast they answer. Hesitation, or a question back about how your agency handles it, is not automatically disqualifying, but it belongs on the scorecard verbatim.
Ask
What a strong answer includes
Commission versus suitability
Recommends the suitable product first, explains after
A sale you walked away from
A specific case, usually suitability or disclosure
Knows replacement carries disclosure duties, compares in writing
Protecting client data
Named practices for laptops, files, and sharing
Compliance training completed
Which courses, which carrier required them, when they expire
Pair the answers with references. When you call a former manager, ask specifically about accuracy on applications and how the candidate handled a suitability call, rather than only whether they hit their number. A reference check aimed at ethics is worth more than one aimed at performance you already discussed.
Pay, Classification, and What to Ask
Decide your pay structure and the classification before the interview, because both change which questions matter and what you can promise. Insurance agent pay is mostly commission, which produces one of the widest earnings spreads of any sales occupation and makes market medians a starting point rather than an answer.
According to the Bureau of Labor Statistics Occupational Employment and Wage Statistics survey (May 2025), insurance sales agents had a median annual wage of $62,280, about $29.94 an hour, with the lowest 10 percent under $37,330 and the highest 10 percent above $138,140. Treat the ladder below as a market anchor for the base, then design the commission separately.
Insurance sales agents, annual wages (BLS OEWS, May 2025)
10th percentile
$37,330
25th percentile
$46,870
Median
$62,280
75th percentile
$96,950
90th percentile
$138,140
Classification is the part that gets small agencies in trouble. The outside sales exemption under the Fair Labor Standards Act turns on the facts of the job, not the title: the primary duty must be making sales, and the employee must be customarily and regularly away from the employer's place of business, as the Department of Labor explains in its outside sales fact sheet. An inside producer quoting at a desk does not fit it, and commission-only pay does not create an exemption by itself.
Agencies that engage producers as 1099 contractors face a separate question, decided by the economic reality of the relationship rather than by what the contract says, which the Department of Labor covers in its employment relationship fact sheet. Our guide to employee versus contractor status walks through the practical version. This is general information, not legal advice.
Ask the Pay Questions Out Loud in the Interview
Commission disputes almost always trace back to something that was discussed but never written down. In the interview, state the structure plainly: base if any, new business rate, renewal rate, whether a draw is offered and whether it is recoverable, when commission is earned, and what happens to renewals if the producer leaves. Ask the candidate to repeat back their understanding. Then put the same words in the offer letter. Five minutes here prevents the argument that ends most producer relationships badly.
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Score every candidate on the same rubric immediately after the interview, while the answers are still exact. Write the evidence rather than the impression, and if more than one person interviewed, have each score independently before anyone discusses the candidate out loud.
Scoring area
What a 5 looks like
Licensing and appointment readiness
Active license in your lines and states, appointments known
Prospecting and production
Names their own sources, states a real number
Coverage knowledge
Plain-language explanation with a claim example
Service and retention
Proactive renewal contact, same-day documentation
Ethics and suitability
Answers fast, can name a sale they walked away from
Communication
A client would follow the explanation without jargon
Coachability
Open to carrier product training and a set process
Then verify. The strongest interview in the world does not survive a license that expired in March, so run the checks below before the offer goes out. An interview evaluation form keeps the scoring consistent across candidates, and clean notes make the interview feedback conversation short.
State license lookup
Confirm the license number, the lines, the status, and the expiration date on your state insurance department site. Two minutes, and it settles the single biggest risk in the hire.
Carrier appointment history
Ask which appointments are active and which lapsed. A pattern of terminated appointments is worth a direct question before the offer.
References with an ethics question
Call former managers and ask specifically about accuracy on applications and how the candidate handled a suitability call, not just whether they hit their number.
Restrictive covenants in writing
Get a copy of any non-solicit the candidate signed with their current agency, and read it before you plan around their book.
Fair, Legal, and Structured Interviewing
A fair interview and an effective one are the same interview. Asking every candidate the same job-related questions, scored on the same rubric, keeps you inside anti-discrimination rules and produces better hires at the same time, which is why structure is the recommendation rather than a compliance chore.
Ask about the job, not the person
Federal anti-discrimination law, enforced by the EEOC, prohibits basing a hiring decision on protected characteristics, and questions that probe them create risk even when they are asked as small talk. Keep away from age, race, religion, national origin, sex, pregnancy or family plans, disability, and genetic information. In an insurance interview the specific traps are friendly ones: asking how long a candidate plans to keep working before retiring, whether young children will interfere with evening appointments, or where an accent is from. Every question in these sets is written to stay on the work. This is general information, not legal advice.
License questions are job related, and should be verified
Asking which licenses a candidate holds, in which states, and whether a license or appointment has ever been suspended or revoked is directly tied to whether they can legally do the job, which makes it a fair question to ask every candidate. The important half is what comes after: verify it. Every state insurance department publishes a public license lookup, and checking the number, the lines, the status, and the expiration takes a couple of minutes. Do it before the offer rather than after the start date, and treat a mismatch as a conversation rather than an automatic no.
Use the same core questions for every candidate
A structured interview, where every candidate faces the same core questions scored against the same rubric, predicts on-the-job performance better than a free-flowing conversation and reduces the chance that the decision rests on rapport. This matters more in insurance sales than almost anywhere else, because charisma is the exact trait a good producer and a bad one both display in an interview. Write the questions in advance, ask them in the same order, and score immediately afterward. The downloadable sets and the scorecard here exist to make that easy.
Background checks follow their own rules
Many states and most carrier appointment processes require a background check for a producer, and running one is normal in this industry. Running it correctly is a separate discipline: candidates get written notice, they consent in advance, and an adverse decision based on a report carries its own notice steps. If you use a screening company, follow its compliance workflow rather than improvising, and apply the same standard to every candidate for the same role. Where a criminal record comes up, the state insurance department, not the agency, usually decides what it means for licensure.
Same Questions, Same Rubric, Better Hires
A structured interview, where every candidate answers the same questions scored against a consistent rubric, predicts on-the-job performance more reliably than an unstructured conversation, and asking the same job-related questions of everyone also keeps you within the EEOC rules against basing decisions on protected characteristics. In a role where charisma is the trait an interview naturally rewards, structure is also the only real defense against hiring the best talker.
Keep questions tied to the work and stay away from the friendly traps about age, family plans, health, or national origin. Our guide to the questions employers cannot ask covers the specifics, and the same discipline is what reduces bias in the decision. This is general information, not legal advice.
Interviewing an Agent Without HR
A carrier runs producer candidates through recruiters, assessments, and a scored panel debrief. A small agency runs them through the owner, between renewals and a claim call. The sets on this page are built for the second situation, where the whole hiring process is one person with limited time and a real cost if the hire misses.
You are the owner, the sales manager, and the only interviewer
At a carrier, a producer candidate goes through a recruiter, a personality assessment, a panel, and a scored debrief. At a four-person agency, the owner runs the whole interview between renewals and a claim call. That is what these sets are built for. Run the licensing questions on the phone screen so you never spend an hour on a candidate whose license lapsed two years ago, pick the product questions that match the lines you actually write, and keep the ethics set for every candidate regardless of experience. One owner with a written question set and a rubric interviews better than a large company with an unwritten process.
Charisma interviews well and produces nothing
Insurance sales attracts confident talkers, and an interview is exactly the format a confident talker wins. The candidates who fail in month seven usually interviewed better than the ones who lasted. The defense is evidence: ask where the last twenty policies came from, ask what the production number was and how it was measured, and ask the same questions of everyone so you compare answers rather than impressions. When a story arrives without a number, ask what the result was and wait. A rubric filled in right after each interview keeps the most charming conversation from becoming the default hire.
The hire is not done when the interview is
An insurance hire has a compliance track running next to the onboarding track, and it starts the day the offer is accepted. Verify the license on the state lookup, start carrier appointments immediately because they take weeks and appointments do not transfer with the person, confirm errors and omissions coverage, and schedule product and compliance training before the first sale. FirstHR covers the people side of that sequence: the offer and the confidentiality agreement signed electronically, document management for the license and appointment paperwork, training modules for product and compliance courses, and task workflows so nothing sits waiting on somebody remembering it. Applicant tracking is coming soon to FirstHR.
The other thing that changes at small scale is the shape of the role. A captive agency and an independent one are hiring different people, and the interview should reflect that rather than treating producer as a single job.
What to weight
Captive agency hire
Independent agency hire
Coachability to a fixed product and process
Self-generated prospecting evidence
Comfort comparing multiple carriers
Depth in one carrier product suite
Licensing and appointment readiness
Ethics and suitability judgment
Use a phone screen for licensing and a full interview for everything else, and write the role down before you start. A posting that names the lines, the license expectation, the lead source, and the pay structure filters candidates before you ever speak to them.
Once you choose someone, the compliance work starts immediately and runs alongside normal onboarding. License verification, carrier appointments, errors and omissions coverage, and product training all have to happen before the first sale, and appointments in particular take weeks that people forget to plan for.
Send the offer in writing
State the pay structure exactly: base, commission rate, renewals, draw and whether it is recoverable, and the classification. Commission disputes almost always trace back to a vague offer.
Verify and start appointments
Check the license on the state lookup, then file carrier appointments on day one. They take weeks, and a producer without appointments cannot write business.
Confirm E&O and training
Errors and omissions coverage in place, plus carrier product training and any anti-money-laundering course, scheduled before the first client conversation.
Track every renewal date
License renewals, continuing education deadlines, appointment terms, and certifications all expire. Put them on a tracked schedule rather than in someone's memory.
Write the offer carefully, because the pay structure is where producer relationships go wrong. A clear offer letter naming the base, the commission rates, the draw terms, and the classification prevents most of it, and our insurance agent onboarding checklist covers the license, appointment, and training sequence in order.
FirstHR connects the people side of that sequence in one place: the offer and confidentiality agreement signed electronically, document management for license and appointment records, training modules for carrier and compliance courses, and task workflows with renewal dates tracked rather than remembered. To be clear on scope, FirstHR is an onboarding and HR platform, not an agency management system, a rating tool, or a payroll provider, so pair it with those. Applicant tracking is coming soon to FirstHR.
Key Takeaways
Screen licensing on a ten minute phone call: lines, states, renewal dates, active carrier appointments, and any non-solicit the candidate signed.
Verify the license yourself on the state insurance department lookup before the offer, not after the start date.
Ask where the last twenty policies actually came from, and push every story to a number.
Test coverage knowledge by whether a client could follow the explanation, not by whether the definition is textbook correct.
Run the ethics and suitability set with every candidate; it is the set that protects your license and the one most agencies skip.
Anchor pay to the federal survey median of $62,280 a year, then design commission and classification deliberately and write both into the offer.
Frequently Asked Questions
What questions should I ask when hiring an insurance agent?
Ask across five areas and screen licensing first. Start with which licenses the candidate holds, in which states, when they renew, which carrier appointments are active, and whether a license or appointment has ever been suspended or revoked. Then move to production: where their last twenty policies came from, how many hours a week go to prospecting, and what they wrote last year. Add coverage questions in the lines you actually sell, such as explaining actual cash value versus replacement cost in plain language. Cover service and renewals, because a book that leaks at renewal costs more than a slow first quarter. Finish with ethics: what they do when a product pays well but fits the client poorly, and whether they can name a sale they walked away from. Every question on this page states why it is worth asking and what a strong answer sounds like.
How do I verify an insurance agent’s license before hiring?
Use your state insurance department’s public license lookup, which every state publishes free. Search by name or license number and confirm four things: the license is active, it covers the lines you need (property and casualty, life and health, or both), the state matches where the agent will sell, and the expiration date is not imminent. Do this before the offer, not after the start date. Also ask which carrier appointments are currently active, because appointments are separate from the license, they do not transfer to your agency automatically, and reappointment can take weeks. If the candidate will sell in more than one state, confirm non-resident licenses too. Where a criminal record or a prior disciplinary action comes up, the state insurance department decides what it means for licensure, not the agency.
Should I hire a licensed insurance agent or sponsor the license?
It depends on how quickly you need production and how much training you can give. A licensed agent with active appointments can start writing far sooner, and you can interview them on real production numbers rather than potential. Sponsoring an unlicensed candidate widens the pool considerably, often to strong salespeople from other industries, but you carry the study time, the exam risk, and several weeks before the first sale. If you sponsor, interview for the study plan specifically: which course, which exam date, how many hours a week. Also decide in advance whether you will recoup course and exam costs if the person leaves quickly, and put that in the offer rather than raising it later. Many small agencies hire one of each: a licensed producer for near-term revenue and a sponsored trainee for the year after.
How much do insurance sales agents get paid?
According to the Bureau of Labor Statistics Occupational Employment and Wage Statistics survey (May 2025), insurance sales agents had a median annual wage of $62,280, about $29.94 an hour. The spread is wide because the pay is largely commission: the lowest 10 percent earned under $37,330 and the highest 10 percent earned more than $138,140, with the 25th percentile at $46,870 and the 75th at $96,950. Use those numbers as a market anchor and then decide your own structure, which is usually some combination of base salary, new business commission, renewal commission, and sometimes a draw. If you offer a draw, state clearly in writing whether it is recoverable. Vague commission language is the most common source of disputes with producers, so settle the structure in the offer letter rather than in conversation.
What are the red flags in an insurance agent interview?
Watch for production numbers that shift between answers, a candidate who credits every result to the agency brand or the company lead flow without naming their own pipeline, and an inability to name a single sale they walked away from. Treating a suitability question as a gray area is a serious signal, as is hesitating on what happens when a client suggests softening an application answer. Practical red flags matter too: a candidate who cannot describe their own license status precisely, who will not say what they signed about soliciting their current clients, or who is reluctant to provide references from former managers or carriers. Finally, be careful with candidates who describe client service as being available when clients call, because that is a reactive book that will quietly leak at renewal. The downloadable scorecard includes this checklist.
Are insurance agents exempt from overtime?
It depends on the facts of the role, not the job title, and it is worth deciding before the interview because it shapes the offer. The outside sales exemption under the Fair Labor Standards Act applies when the employee’s primary duty is making sales and they are customarily and regularly away from the employer’s place of business. A field producer who spends most of the week meeting business owners can fit it. An inside producer quoting at a desk generally does not, no matter how the offer letter is worded, and telephone sales are treated as inside sales. Commission-only pay does not by itself make anyone exempt. Some agencies also engage producers as independent contractors, which is a separate analysis based on the economic reality of the relationship rather than on the contract label. When the classification is close, get advice. This is general information, not legal advice.
How long should an insurance agent interview be?
Run a short licensing screen first, then a 45 to 60 minute interview. The screen is a 10 minute phone call covering licenses, states, renewal dates, active appointments, and any restrictive covenant, which costs almost nothing and removes the candidates who cannot legally start. The main interview then has room for two or three questions from each of the sales, coverage, service, and ethics sets, plus follow-ups, plus the candidate’s own questions, which reveal how they think about the role. Depth beats breadth: three questions with real follow-ups tell you more than fifteen asked from a list. Score the rubric immediately afterward while the answers are fresh. Most agencies run two rounds, with the second focused on ethics, coverage depth, and a conversation about the first ninety days.
What happens after the interview when hiring an insurance agent?
The compliance work starts the day the offer is accepted. Verify the license on the state lookup, send an offer that states the pay structure exactly, and file carrier appointments immediately, because appointments do not follow the person and can take weeks to complete. Confirm errors and omissions coverage, schedule carrier product training and any anti-money-laundering course before the first client conversation, and put every license renewal, continuing education deadline, and appointment term on a tracked schedule rather than in someone’s memory. FirstHR handles the people side of that sequence with e-signature for the offer and confidentiality agreement, document management for license and appointment records, training modules, and task workflows. Applicant tracking is coming soon to FirstHR.
