How to Become LIC Agent: Know about Exam, Salary & Commission

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Want to know how much salary a LIC Agent make? Apart from the salary, how much commission do they make? What are the perks and benefits? We have got answers to all your questions on how to become LIC Agent? Go ahead and give it a read.

LIC agent scheme: If an individual has passed class 10th and wishes to increase his/her earnings by working full time or part-time, then there is a good opportunity for the individual with the LIC (Life Insurance Corporation). The individual can work at his/her own pace and time because the duty hours are not as fixed as such. Also, there has been a reduction in the educational qualification that is needed to become an agent from class 12th to class 10th. Along with other advantages, one of the major benefits that the individual gets is the option to work part-time or full time and unlimited earning.

The process of becoming a LIC agent

  • For an individual to become a LIC agent, he/she should be 10th pass and 18 years is the minimum age that is required. Earlier, the individual needed to be 12th pass.
  • The individual will have to contact the nearest branch office of the LIC and meet as soon as possible with the development office there.
  • An interview will be scheduled and taken by the branch manager, and if he/she finds the individual okay, then he/she will be sent to the Agency/Department Training center.
  • The training compromises of 25 hours. All the necessary aspects of the life insurance business are covered. Once the training is complete, the individual needs to pass the pre-recruitment test that is conducted by the IRDAI or Insurance Regulatory and Development Authority of India.
  • Once the individual completes the examination, he/she will be getting an appointment letter and an identity card. The individual will then be appointed as an agent by the Branch Office, and then he/she would be a part of the team under the Development Officer.

Required Documents

Following are the necessary documents:

  • Copy of class 10 mark sheet
  • 6 passport size photo
  • Address proof such as driving license, voter ID, copy of PAN card and Aadhar card

Important points to remember:

  • Give the correct information to the customer.
  • The individual should take part in the insurance company’s seminars.
  • The agent should make only the promises that the company can keep.
  • The agent needs to have good communication skills.
  • The individual should be well behaved.
  • Always be updated with the information and new product about his/her own company.
  • The individual should share the new LIC products through social media.
  • The individual is not supposed to keep the customer in confusion.

Fees for the LIC Agent Exam

A per the IRDAI portal, for online registrations, the fee is much higher as compared to the fee for offline registration. Following is the fee structure:

How to Become LIC Agent: Know about Exam, Salary & Commission

1. Online Exam and Registration

  • The registration fee is Rs. 150.
  • The online training fee is Rs. 150.
  • Books or the study material that is needed costs about Rs. 200.
  • The Pre Recruitment Test is online costs around Rs. 500.
  • The total expenses that will be made by the individual will be around Rs 1000.

When the individual registers online with the help of IRDAI, the individual gets a password and a unique reference number. The individual can change the password later as per his/her convenience.

2. Offline Exam and Registration

  • The registration fee is Rs. 150.
  • Books or study material are going to cost Rs. 200.
  • Pre Recruitment test, which is offline, costs Rs. 500.
  • The total expense that the individual has done becomes about Rs. 850.

Dates of LIC Exam

No fixed dates are pre-decided by IRDAI on which they conduct the Pre Recruitment Tests for the individuals who wish to become a LIC Agent. However, once the individual has successfully registered for the Pre Recruitment Test, LIC informs the individual about the dates of the exam and the venue. It is advisable for applicants to check IRDAI regularly if they have registered online for the Pre Recruitment Test. The LIC Portal has all the news about exam dates.

If an individual has registered offline with the help of a LIC Development officer, then he/she needs to stay in touch with the officer so that the individual can get all the details about Pre Recruitment Tests. The individual can also register offline by going to the LIC branch office.

LIC Exam Hall Ticket

The individuals who have registered offline for the Pre Recruitment Test can collect their respective exam hall tickets from any of the nearest LIC offices. The ticket is needed to be attested by a senior LIC officer.

The individuals who have registered online, their hall ticket will be available on the IRDAI portal for download.

Studying for LIC Agent Exam

LIC Agent Exam is also known as the LIC agent Pre Recruitment Test. Studying for this test is pretty simple. The individual can download the material online by going on the website – the Insurance Institute of India (III). Also, the individual can buy a book from LIC or IRDAI.

The individual also needs to read lots of newspapers and keep his/her general knowledge updated.

LIC Agent Exam Syllabus

The LIC syllabus consists of Hindi and English languages. There are some questions on general knowledge as well as basic mathematics. It also covers several rules, laws, and regulations that govern the life insurance business in India. IRDAI made these laws.

Also Read: Company Secretary Course Details: Admission, Fees & Exam

The individual needs to complete a minimum of 100 hours of studies before he/she appears for the Pre Recruitment Test or LIC Agent Exam.

LIC Agent Exam 

  • The time duration for the exam is 60 minutes.
  • There is a total of 50 questions that are presented in front of the individual.
  • The questions are the objective type, which refers to the fact the individual needs to select one correct answer from the given choices.
  • The worth of each question is equal to one mark. It means that the entire test is of 50 marks.

The individual is supposed to score a minimum of 18 marks in the Pre Recruitment Test so that he/she can qualify for working. The more marks the individual scores, the better it is.

Become LIC Agent

Once the individual completes the LIC Agent Exam, the individual is ready to become a LIC agent. LIC will be issuing an appointment letter to the individual that designated person is their authorized agent. The individual will also get a license from IRDAI, which is suggestive of the fact that the individual can perform his/her duties as a LIC agent.

The individual should know that he/she cannot become LIC Agent just with an appointment letter in their hand from the corporation. They also require the insurance agency license from IRDAI before they further get into the business.

Perks for LIC Agents

Once an individual becomes a LIC agent, various advantages are available for rewarding hard work.

  • For the individuals who are newly appointed LIC agents and if they perform exceptionally well, then they get entry to Branch Manager’s Club.
  • Divisional Manager s Club: When an individual performs good as Branch Manger s Club member, then the club status is increased with the performance of the individual.

The individual also gets entry to:

  • Corporate Club
  • Chairman’s Club
  • Zonal Manager’s Club

More Benefits for LIC Agents

The individual also gets various financial benefits for saving money

  • They get advance for festival celebrations
  • Furniture Allowance
  • Office maintenance allowance
  • Low-interest home loan
  • They get free interest free vehicle loan
  • Reimbursement of landline telephone bills as well as mobiles.


The LIC official website says that they offer one of the best remuneration systems that are available in the current times in the industry that not only takes care of the individual’s earnings but also guarantees earnings for the future. The individual thus can set his/her income targets with the potential to earn as much as he/she wants for the rest of their lives.


LIC says that the agents are constantly rewarded and recognized based on their performance. Several competitions take place so that it promotes healthy competition amongst agents, and therefore, efforts can be recognized.

Salient Features of LIC Agency

  • Lifelong Income – LIC pays the individual the commissions on premiums for policies that the individual has sold long after they have retired.
  • The individual can also sell LIC policies by opening an online agency.
  • LIC provides support to all of its agents.
  • The ID card that is issued by LIC for agents is considered to be valid, government-issued proof of identity.

Also Read: Top 10 Health Insurance Plans For You In India

The flipside of LIC Agent

There are many drawbacks also that are attached to becoming LIC Agent. These are:

  • There is stiff competition from private insurers, especially those insurers who are holding JV with foreign companies.
  • Middle-class Indians were once the primary customers for LIC life insurance. But, with time, they are exposed to better investment options.
  • There is a loss of faith in insurance products because of relatively low returns and high premiums.

Sushma Singh

Sushma is a financial expert and online entrepreneur. With years of experience in personal finance and business management, she is dedicated to empowering individuals to take control of their finances and make smart investment decisions. Through Moneymint's website, she provides insightful tips, strategies and resources to help individuals grow their wealth and achieve financial stability. Join Sushma on the journey to financial freedom today!

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