‘Agent’ is the backbone of the insurance business, choose a good leader and come into this profession made its future secure

Insurance is the backbone of the business the insurance agent. The only bridge that connects the insurer and the insured is the insurance agent. It is not possible to take insurance business to new heights without agents. In the current situation it would be foolish to say that the insured will directly come to the insurance company and take insurance.

Regardless of economic recession or many adversities, those who continue to work by choosing the profession of insurance agent can become a good motivator or example. One of those good catalysts is Rina Khatri’s conversation with Ambika Gautam, Senior Agency Manager, Himalayan Life Insurance: 

As an insurance agent, you have been contributing to the insurance sector for a long time what is insurance in particular? 

-No matter what field we work in some of the money we earn from it should be set aside for insurance. Which can be an important evidence for our future. What people have is movable and immovable property. What is needed for tomorrow is movable property. Even if a person has immovable property it cannot be taken out at the time of need. No matter how much a person earns, 5 to 10 percent of it should be allocated for insurance. Tomorrow if something happens to you or your family or if you are a stick of old age there is insurance.

Tell us about your contribution to the insurance sector and how you got involved.- When I came to Kathmandu, that’s when I realized that insurance is a very good subject. At that time, I completed 20 years of insurance and took maturity. At that time too, I was informally thinking that I would join insurance. During that time, I have been working in Himalayan Life continuously for the past five years while I have been involved in various fields. Formerly Union Life Company. Later it merged and became Himalayan Life. I have been in the insurance industry for almost 25 years.

What inspired you to come to this field in the beginning?-At first I thought that I should keep some of the money I earned in insurance. Once the wife of a deceased came to the media and cried. The reason was that he could not pay his son’s school fees of 11,000. Then I thought that a person who drives a car worth a hundred million must have insurance.

And as afternoon understands will no longer be insured. And what I said, what could not be done to get insurance for a person like him? Why could the agent not insure him? Insurance is for everyone the rich and the poor can get insurance. As I understood this matter. it was difficult for him to pay his son’s fees and support his family because he did not have insurance. After seeing that. I decided to go into the insurance sector and insure people like him.

Now the country is in an economic recession, the economy is also in a critical state, how are you continuing your work at such a time?

– Even though we cannot provide large-scale insurance as before due to the economic recession, we have moved forward to ensure that 5 to 10 percent of the earned income should be insured anyway. Although the economic situation of the country is critical, insurance is for your future. Many have already understood. Many people keep telling us that no matter what business you are doing now. Insurance is the only thing that will work later.

If we look at the situation of insurance agents, whether it is because of harassment by the government or for some other reason. why has the agent had to protest?

– When we came to know about this matter. we went to knock on the door of the insurance authority many times. Insurance regulations, which are in draft form in the Ministry of Finance. What’s in it? We are not told.

Whether that regulation is good or bad, we don’t know. After hearing that it is not good for insurance agents, we met with the chairman of the authority and the executive director. Why are you saying that the insurance company has brought the insurance.

There is no account of how insurance agent agencies are positioned in the market. An agent should not sell the policy to the insured. Through this media, I would like to say to the Ministry of Finance, Insurance Authority, and related agencies of the state that if the regulation is not universally accepted, it is wrong, then it is requested to correct it and proceed with the draft.

Is it true that you were not included in the draft?

– We believe that the authority should be included. And must be included. Because our regulatory body is the insurance authority. The authority is the insurance authority, along with life and non-life, we are the parents of the agent. After this, we are confident that the authority will not work against us. However, whatever is being heard outside may not be in the draft.

Some may have exaggerated. However, as far as the agent is concerned about cutting the service facilities that have been provided, it has raised doubts. There was no discussion about the draft including the agent. That is why we are having doubts about our service facility being cut. After this is passed, we are raising our voice loudly to protect our rights and interests in time so that you do not bother us tomorrow.

What will be your steps against it if the regulation comes due to the reduction of services provided by from stakeholders ? – If our services are cut off, there is no point in staying silent. We also have a family and children. However, it is not easy to enter the market. Insurance is not only understood by insurers or regulators. Unless the insured can be properly convinced about the insurance, there is no insurance.

The agent is the one who delivers to the insured. It doesn’t seem like the people who come to the company and ask us to insure them will come by themselves. Therefore, we should be given service facilities to run the insurance business. We are united to raise the necessary voice and take any steps for this.

Recently, to advance the profession of agent in a professional manner, the agent exam has also been started. Can you tell us something about the effect it will have on the future?What I always say is that the agent must be professional. Just as we prepare a person for insurance by conveying it well, it creates a kind of confusion in the mind of the insured that some people go and take care of their own security. The authority should have decided after understanding all this. Actor is a top profession. It seems that the agent is not active in getting the insurance even though he is not able to explain the insurance properly to the insured.

How many questions the insured asks the agent, what is the understanding of insurance in their eyes, if the agent can explain about insurance, people are ready to take insurance. Agents should proceed only after studying a lot. My personal opinion is that once the authority should ask the agent, but this examination system brought by the authority is good.

Complaints are also heard that the examination system has become more complicated, why is it called more complicated?

– It should not be considered complicated and should not be said. Not only should the agent have a license, but he should also have knowledge about insurance. Filled in, if the insured asked any question, what if the agent could not answer it? If someone thinks that I will get long-term insurance for the insured, then it should not be considered a hassle. As before, there is no situation in which an agent license can be obtained on the basis of submitting an educational certificate, it should not be.

What should be the relationship between the agent and the insured?– The relationship between the insured and the agent should be like flesh and blood. The insured is insuring because of the agent. He looks at the actor. There are 14 companies in Nepal, all the companies are good. However, it is the responsibility of the agent to take it to the company.

Agents are the backbone of insurance. It acts as a bridge between the company and the insured. The insured may require an agent at various times for long-term service. Or there may be a situation where the insured has to make a claim in the middle. Similarly, the insured may need a loan, at that time the insured looks for an agent.

How do you find the relationship between the insured and the agent in Nepal’s perspective?

– If I look at my own situation, what is the situation of the insured? What does the insured want? At the time of taking the premium, the information is given from time to time by contacting them personally instead of depending on the message. Even when offers come from time to time, I have informed the insured about it.

If the agent proceeds by having a direct relationship with the insured, the insured is also happy. If the insured can be served for a long time, the insured feels a lot of relief. I will continue in this profession as long as I can work. As a matter of fact, there is a family relationship between me and the insured.

Tell us about the happiest and saddest moments you have experienced in the insurance sector.- Earlier, when he was in same Union Life, he was a hardware shopkeeper. My friends told me that you can insure everyone, but you can’t insure him. Why did the representatives of other companies also go and try to explain. Then I went to him and started explaining about insurance. No matter who you get the insurance from. I don’t want to get insurance from Ambika Gautam. But, always take insurance. Because tomorrow, if they are in trouble, the family will get relief. Nothing happens to old age. It cannot be said that there will be no need to go to a nursing home later. Who will look at that? Cash is needed at that time. In the event that the savings kept in the bank are also empty, the insurance is the only thing. Insurance is a contract. It includes the amount paid by the insured in the contract. I made him insured for 10 million by explaining that the amount should not be paid at once. And he died after paying two times the premium. The family that he insured will not know. I went looking for a policy. After he finished his work, the policy was found in the drawer.

There is a capital of 1 million in that policy. Then after bringing that policy and completing the necessary procedures in the company, he called his family and paid the claim amounting to 11 million. It bandaged their wounds. Remembering this moment makes me very happy.Many people say that it is as easy to insure as it is to make a claim. But that’s not it. If you have the necessary documents, you can get a claim easily. For example, if I have a bank account and I go without a check, will the bank give me money? It does not give yes, similarly, yes insurance can also be easily claimed if there are necessary documents.

However, the fact that there are more incidents of claims not being paid in the market than those that have been paid, has it had an impact?

– What happens in this matter, initially there is a contractual agreement between the insured and the agent. I will pay the premium for so many years. However, the insured takes 5 years of premium and pays only 1 year of premium. And after his death, the family comes saying they want payment for the insurance. And there is a problem. After this, even the company cannot pay the claim. Everything is in the policy. If you understand that and proceed accordingly, the claim is easily found.

In your opinion, is insurance agent work or service?

– This is service rather than action. Because some mother has to come to the media and cry because she can’t teach her son. If an ordinary person had an insurance of 10 crores and had set aside some amount for insurance, that situation would not have happened today. This matter touched my heart, I left other professions and started insurance. I am also human. I also have a household, I also have to eat, so the company should also look after us.

Insurance companies along with the authority are actively involved in expanding insurance coverage. What is the role of the actor in this?

– Even if the insurance companies go to the market, the insurance sector cannot expand until the agent conveys the insured. I don’t think that the agent will go to the company and get the insurance unless the agent explains the necessary knowledge and services to the insured about the benefits of the insurance.

How much does the economic recession affect the agent? How do you work at this time?-Economic recession is a situation in which those who come to become agents for a while cannot last. We are the people who have gone ahead to embrace this profession forever, we should not be disturbed by such a situation. The market is not the same all the time, it should be understood. Even if we are able to convey the insured, even if it is a situation of economic recession, it will still be a small insurance even if it is not a big one.

What do you think the authority and insurance association should do?– The insurance companies have certainly not done anything bad to us and do not think they will. Even though they do not say it verbally, they have understood that the agent is the spine. However, the authority may not know anything. The insurer should tell the authority about this and the authority should also ask the agent about you. The authority should not cut off the services provided by the company.

The authority should call us and discuss. We also do not make demands that are difficult for the authorities. The state, insurance authorities, insurers and agents should all be comfortable. Do not embarrass anyone.

The insurance authority does not seem to be in discussion with the agent. Is it not necessary?-The insurance authority should sit in discussion with the professional insurance agent. The authority is the parent of the insurance company and the agent. The authority should understand that the insurance agent is the backbone of the company. It should not exclude anyone.

What advice would you give to agents and insureds who are looking to enter the insurance – Get insurance. I focus on the insured rather than the agent. There may be 1-2 percent out of a hundred who directly come to the company without telling anyone to get insurance. Even if it happens like that the company provides insurance by hiring an agent. It seems that the insured is trying to get insurance through the agent. Because the contact with the agent is easier for the insured than with the company. I say everyone should get insurance.

It means to yourself. And who wants to come as an agent. What I want to say to them is that they should choose a good leader and come to the profession of acting only after understanding everything. It has a future.