Kathmandu. Professional Insurance Agents Association Nepal, Insurance Central Committee Nepal Life Chairman, #Ganesh Adhikari. He has been active in the agent profession for about 2 and a half decades. He started his agent profession with Nepal Life Insurance in 2058 BS. Born in Jyamire, Khotang, Adhikari currently lives in Biratnagar. He is currently the Senior Agency Manager of Nepal Life’s Biratnagar branch. Before joining the insurance sector, Adhikari was associated with the teaching profession. Due to his excellent insurance business, he has so far succeeded in becoming MDRT five times and COT once. Summary of the conversation with one of those successful agents on Insurance Talk:
Can you make a living by doing insurance, getting insurance, and becoming an agent?
What are your current problems? If they are solved, people can happily go to their homes to get insurance.
Regulatory bodies change various policies and rules from time to time. Insurance is a long-term contract, and the agent makes a commitment to the insured for 10-15 years. However, problems are arising when the rules are changed. In addition, insurers have also made it seem like the profession of agents is cheating by making bonuses fluctuate from time to time. Due to this, agents are fleeing, wondering if their future is in insurance agents. For this, the regulatory body should play a role in making it clear that agents have a big role in bringing insurance to the villages and cities. The insurer and regulatory body should make them understand that by further increasing the services and facilities provided to agents, they should be protected and trust in this profession should be maintained.
You say that facilities should be added. Are you saying that there are too many regulatory bodies and companies and that they should be reduced?
We are not just asking for facilities. Looking at the insurance companies of the world, even in big countries with a larger population than ours, there are not as many insurance companies as there are in Nepal. Since this country is small and the population is also small, it is only necessary to make insurance companies stronger and better by merging quality and good companies. There is no disagreement on other issues.
What are the benefits and losses for the insurance sector, companies, and agents when you are a full-time (full-time) and part-time (only for a short time) agent?
When you work as a full-timer or when you use all your time to invest only in insurance, your income increases. If you do some work and become an agent only as a part-timer, you will not have enough time to give to the customers. Those who say that I work a lot now, I will give my time to insurance completely have also given their full time. Some are doing it only on holidays or taking time out of office hours to get insurance. No matter how they work, they have worked by fulfilling the obligations given by the state, including taxes to be paid to the state.
As an educated Nepali citizen, I will not engage in any other profession. I will become a full-time agent and sell policies. My parents’ dreams will come true. Investment will also be made to ensure the future of my sons and daughters. Is it possible to fulfill dreams like buying a house and a car?
It is possible. An agent should have knowledge of everything. Then I should be determined to become an agent full-time. If someone enters the insurance sector with such a dream, then it is possible. He should be able to give his perseverance, patience and continuity to this.
But, today, those who cover the insurance sector are part-timers?
The agents feel that the insurers’ view of insurance agents has become distorted or that insurance companies have gone so far as to say that companies can run even without agents. Insurance companies should get rid of that.
No, when we ask people we meet in the market what they do, I do this and that profession. In my free time, I often find that I sell policies as an agent of this company. Now the question is also being raised as to how quality of service they provide?
Part-timer agents cannot give all the time they have to give. This is certain. Those who are engaged full-time will have more services and facilities and more time to provide to the insured. Part-timers cannot do that. Part-timers are not restricted anywhere, so they can do a little bit at a time. For example, most of the people working in Pathao in Kathmandu are students and employees. Those who work all day earn more and those who work less earn less. In insurance too, those who work from 6 am to 8 pm earn more. Therefore, those who are engaged as whole-timers also earn more.
Are you a full-timer or a part-timer?
I have been involved in the teaching profession for a long time. Also, I have been working in the insurance sector for 24 years. I have not given full time either. I am currently also the central president of the Professional Insurance Agents Association. I have to fight for the rights and service facilities of agents. Also, I have other professions. That is why I am working only part-time now.
How satisfied are you with the income you get from other fields and the income you get once you invest in insurance?
I have taken the agent profession as a service. I am active in Red Cross, Jesus, Lions, etc. Rather than earning a lot from insurance, I have taken it with the intention of involving any citizen who is deprived of it. In terms of income, I also earn from other professions. However, I have customers who I have connected with or known through insurance 24 years ago, and I have an ongoing relationship with them.
How many average policies can an agent sell in a year to make a good living as a full-time agent?
The agent profession also varies depending on the company. The facilities provided by the companies vary. A few years ago, small insurance policies of 25,000 to 50,000 were available. At that time, it felt like a big insurance. I myself was a primary level teacher when I got insurance in 2058 BS. My salary was 2,143 rupees. When I got insurance for 15 years, I had to pay 7,000 premiums. Three to three and a half months’ salary had to be invested in insurance. However, today the salary of a primary level is around 32 thousand. The same is true for a shopkeeper. Therefore, instead of setting aside just one month’s salary, it is possible to take an insurance policy of 5 lakh rupees. If you take a policy with a slightly higher premium, it will be even more. Therefore, even by insuring a small policy, you can earn a living. However, since you can take policies worth crores, you will earn more from them. Therefore, it is not enough to say that much. The more you can do, the more you will earn.
How many insurance policies have you taken out?
I cannot say exactly that much. However, the insurance I have provided has matured and is maturing. The insurances I initially provided over the past 24 years are now maturing. I have provided insurance to thousands of people. I was born in Khotang. I have provided life insurance to many citizens in Khotang. I also lived in Solu. I also provided insurance to the citizens there.
Once an insurance policy was sold. The premium came for a few months. Then you left the place. Now which channel do you use to continue that insurance? Otherwise, there will be a lapse again?
It was difficult to provide insurance earlier. There were also few banks. The branches of the insurance company were not in the mountains. I used to take the file from Khotang, Solukhumbu, Bhojpur, Okhaldhunga and other places in a week or 15 days, come to Biratnagar, get the file prepared, get the insurance and give it to the insured. Now there are branch offices in every district. Again, I am associated with Nepal Life. Nepal Life has 194 branches and sub-branches across the country. Those who had insured in the beginning, now there is at least one branch in every district. They are providing facilities to go to the available branches to pay the premium, take loans from the branch. Now Nepal Life does not have to take out loans for any insured, claim payment, survivor money or maturity money reaches the insured’s account within two hours of reaching the insurance office. This is now easy.
When you first started your career as an agent, how did you convince people about insurance? What is the difference between their perception then and their perception now?
In the beginning, when I was entering the insurance sector, there were few Nepalis employed. It was very difficult to pay for insurance. Now employment has also increased. The income of those who go abroad has increased. That is why they understand insurance in the current situation. People who entered insurance when there were four companies, when there were nine companies, they thought that agents would flee. That understanding is not there now.
Now there is a one company one agent policy!
This is a policy brought by the regulatory body without discussion, without design. Whoever made this rule has brought such a rule without understanding. Even when agents were allowed to insure all companies, the insured was insured with the company that was good, the product was good. The company that had the highest bonus was the company that was insured. However, now restrictions have been imposed. Which has also made it difficult for the insured. Nepalis are understanding that they should get insurance from the company where my relative is an agent. This did not allow them to get insurance from good companies.
Are there also good and bad companies?
There are. After the agent understands the good, he distinguishes the good from the bad. Initially, he is trained. He says good accordingly. However, when he understands himself, then he can distinguish the good from the bad. Even if he feels that he is in the wrong place, the current policy does not allow him to change the organization. The good and the bad can also be distinguished from the services and facilities provided by the insured. The insured should be able to get the facility of taking a loan after 3 years of insurance. After that, the interest paid by the insured varies according to the company. Some companies call after 15 days if they still need a loan, while some give it within 2 hours. No company runs away to escape. The one that offers good bonuses and quick facilities is the best company.
