How to Become a Motor Insurance Agent in India: Eligibility & Process (2025 Guide)

The demand for motor insurance in India has grown rapidly with the rise in vehicle ownership and stricter government regulations. From cars and bikes to commercial vehicles, motor insurance has become a mandatory requirement for every vehicle owner. This growth has opened up a significant opportunity for individuals interested in building a stable, flexible, and high-income career in the insurance sector. If you’re exploring How to Become a Motor Insurance Agent, now is the perfect time to enter this fast-growing and rewarding profession.

If you’re looking for a profession that offers good earning potential, minimal investment, and long-term career security, becoming a motor insurance agent can be an excellent choice. In this detailed guide, we explain how to become a motor insurance agent in India, the eligibility requirements, training, benefits, and step-by-step process to get certified.

What Does a Motor Insurance Agent Do?

A motor insurance agent helps customers choose the right car, bike, or commercial vehicle insurance policies based on their needs. Their responsibilities include:

· Educating clients about policy coverage, IDV, add-ons, and premiums

· Helping customers compare and select motor insurance policies

· Assisting with policy renewals

· Supporting clients during claim settlement

· Maintaining long-term relationships for renewal income

Motor insurance agents can work independently or tie up with multiple insurance companies as POSP (Point of Sales Person), offering the flexibility to sell motor insurance from different insurers.

Why Become a Motor Insurance Agent in India?

Becoming a motor insurance agent offers several advantages, including:

1. High Earning Potential

Motor insurance is renewed every year. This means agents earn recurring commissions on every renewal — building a stable long-term income.

2. Zero Investment Career

You do not need to invest in an office or inventory. A smartphone and basic internet access are enough to start.

3. Flexible Working Hours

Whether you are a student, homemaker, working professional, or retiree — you can work part-time or full-time.

4. Growing Industry

With crores of vehicles on Indian roads and rising awareness of insurance, the demand for motor insurance agents continues to increase.

5. Work From Anywhere

Most tasks such as selling policies, sending quotes, and renewing insurance can be done online.

Eligibility Criteria to Become a Motor Insurance Agent in India

To become a certified motor insurance agent, you must fulfill some basic eligibility conditions.

1. Age Requirement

You must be at least 18 years old to apply.

2. Educational Qualification

As per IRDAI guidelines, the minimum educational requirement is:

· 10th pass in rural areas

· 12th pass in urban areas

3. Basic ID & Address Proof

You will need:

· Aadhaar Card

· PAN Card

· Passport-size photographs

4. IRDAI Training & Exam

Every motor insurance agent must undergo 15 hours of IRDAI training (online/offline) and pass the IRDAI exam to receive the license.

How to Become a Motor Insurance Agent in India — Step-by-Step Process

Here is a complete step-by-step guide on how to become a motor insurance agent in India:

Step 1: Choose an Insurance Company or Become a POSP

You can apply directly to any IRDAI-approved insurance company, or register as a POSP (Point of Sales Person) through an insurer or licensed insurance intermediary.

Popular insurers include:

· HDFC ERGO

· ICICI Lombard

· Bajaj Allianz

· Tata AIG

· Reliance General Insurance

· SBI General Insurance

Step 2: Complete KYC and Submit Documents

You need to upload or submit:

· Aadhaar

· PAN

· Educational certificate

· Passport-size photos

Once verified, the insurance company or POSP platform will proceed to enroll you.

Step 3: Complete the IRDAI Training (15 Hours)

As per IRDAI regulation, every motor insurance agent must undergo 15 hours of mandatory training. This training covers:

· Fundamentals of motor insurance

· Types of motor policies

· Add-ons like Zero Depreciation, Engine Protect, etc.

· Claims process

· IRDAI rules and ethics

The training can be completed online through mobile or laptop.

Step 4: Appear for the IRDAI Exam

After training, you must appear for the IRDAI licensing exam.
 It consists of multiple-choice questions (MCQs). Passing marks are usually 35%–40%.

Once you clear the exam, you become eligible to sell motor insurance legally.

Step 5: Receive Your License & Start Selling

After clearing the exam, you will receive your IRDAI Motor Insurance Agent License.
 You can now:

· Sell car and bike insurance

· Provide policy renewals

· Earn commissions

· Work directly with customers or businesses

You can even expand your portfolio to include:

· Health Insurance

· Life Insurance

· Commercial Insurance

Earning Potential of a Motor Insurance Agent in India

Motor insurance agents earn income in the form of commissions on every policy sold and renewed.
 Typical commission rates include:

· New motor policy: 10% to 15%

· Renewal policy: 5% to 10%

· Add-ons: Additional commission

Top-performing agents earn ₹50,000 to ₹1,50,000 per month, and some make even more depending on their network and experience.

Skills Needed to Become a Successful Motor Insurance Agent

While no advanced qualification is required, having the following skills can help you excel:

· Good communication skills

· Basic understanding of vehicles

· Customer service mindset

· Networking ability

· Honesty and transparency

· Basic smartphone and internet usage

Documents Required to Apply

· Aadhaar Card

· PAN Card

· 10th/12th Marksheet

· Passport-size photos

· Bank account details

Benefits of Becoming a Motor Insurance Agent

· Lifetime renewal income

· Flexible working hours

· Zero investment

· No office required

· Work with multiple insurers

· Strong industry demand

· High job satisfaction

· Career growth opportunities

Conclusion

With rising vehicle ownership and mandatory motor insurance laws, there has never been a better time to start a career as a motor insurance agent in India. The process is simple, requires minimal qualifications, and offers excellent income potential.

If you want a profession that gives you financial independence, stability, and long-term growth, learning how to become a motor insurance agent in India can help you build a rewarding and successful career.

Frequently Asked Questions

Q.1. What is the minimum qualification required to become a motor insurance agent?

As per IRDAI guidelines, you must have completed 10th grade in rural areas or 12th grade in urban areas to apply for a motor insurance agent license.

Q.2. What is the minimum age to become a motor insurance agent?

The minimum age requirement is 18 years. Anyone above 18 can apply.

Q.3. Do I need to take any training to become a motor insurance agent?

Yes. Every applicant must complete 15 hours of mandatory IRDAI training, which covers motor insurance basics, policy types, claims, ethics, and regulations.

Q.4. Is there an exam to become a motor insurance agent?

Yes. After completing training, you must appear for the IRDAI licensing exam, which includes multiple-choice questions. Passing this exam is mandatory to receive the agent license.

Q.5. How long does it take to become a motor insurance agent?

The entire process — including registration, training, exam, and license issuance — usually takes 10 to 20 days, depending on the insurance company and exam schedule.