How an Insurer Receives an Application

Most insurance companies receive an insureds’ application directly from their agency base. Agents have the option of mailing an application, sending it electronically or entering it completely online. Some insurers give a bonus to the agency which send in the most applications.

Insurance agents can send an application to an insurer in many ways including the tried and true method of using the postal service to mail it. Not too long ago there were only a couple of methods that were available for agents to send an application to an insurer to process. The most common method though was to mail the application and all supporting materials. Insurance companies existed long before the advent of the internet and electronic communication. An insurance agent either gave an application to a visiting representative or wait for it to get received in the mail. Today, most insurance companies are moving away from using mail as an option to send and receive applications.

Another method that is available to agents to send applications to an insurer is to send it electronically. There are many ways an application can be sent electronically. This includes using a standard fax machine and also the use of computer software. Some companies offer computer software to generate a quote and the corresponding application. This software can be setup to send a completed application using a file transfer method over the internet. This allows an agent to complete an application on the computer software and click a button to send the document directly to the insurer. Many insurance companies are utilizing some sort of electronic communication for their applications.

Many insurance companies today are using the internet to receive applications directly from agents as well as insureds. Some insurance companies sell all of their policies directly online and others offer a specific web site for their agents to use. Insurance agents today have the option of completing an application for insurance directly on the insurers web site. When done the application is received and a policy number is available immediately. There are many advantages to using the internet to complete an application. The internet is by far the easiest and most convenient way to send and receive various types on information including an insurance application.

Insurers offer many bonuses and commissions to their various agencies for sending them the most policies. One such bonus can be given to the agency that sends the most applications for a specific period of time such as one month. Many times the applications need to be received a certain way such as electronically or online.