Basics

BASICS
REVIEWS
COMMON INQUIRIES
IN THIS ARTICLE

What Is The Average Income Of Insurance Agents In Canada?

What Is The Average Income Of Insurance Agents In Canada
Canadian LIC

By Harpreet Puri

CEO & Founder

  • 11 min read
  • June 10th, 2025

SUMMARY

What is the average income of insurance agents in Canada? The content explains how earnings vary based on experience, product type, province, and support system. It highlights how life insurance policies and term life insurance plans impact commissions, what new agents can expect, and what top earners at Canadian LIC are doing differently. Includes real numbers, first-year expectations, career growth, and how structure affects success.

Introduction

"Can I really make a living as an Insurance Agent?"

It’s one of the first questions we hear when someone sits down across the desk at Canadian LIC, thinking about a career in financial services. Whether they’re recent grads, immigrants with sales experience, or professionals pivoting after burnout, the question is always the same: Is this sustainable?

The short answer?

Yes — but your income depends on what kind of insurance agent you want to be, where you work, how hard you’re willing to hustle, and what support system you have behind you.

At Canadian LIC, we’ve mentored agents who struggled at first but now earn six figures annually — and others who quit before they made their first $10,000. The difference wasn’t luck. It was clarity, training, and structure.

This in-depth article will explore:

  • Real numbers: What insurance agents in Canada are earning in 2025
  • Income ranges by role: captive vs. independent, salaried vs. commission-based
  • The impact of product type (life, health, investments)
  • What top-performing agents are doing differently
  • What Canadian LIC offers new agents to scale sustainably
  • What to expect in the first 12 months — and beyond

First, Let's Break Down the Numbers

What Is the Average Income for Insurance Agents in Canada?

According to recent industry data (Q1 2025):

  • Overall national average: $62,000–$68,000 per year
  • Entry-level agents (Year 1–2): $35,000–$48,000
  • Mid-career (Year 3–5): $65,000–$85,000
  • Top-tier agents (5+ years): $120,000–$250,000+

These numbers vary significantly based on:

  • Province
  • Licensing level (LLQP only vs. MFDA/IIROC licensed)
  • Commission structure
  • Support and marketing budget
  • Client base (retail vs. corporate)

Income by Product Type

Product TypeTypical CommissionRecurring Revenue?Client Frequency
Term Life Insurance40–80% first-yearNoOnce every 10–20 years
Whole Life/Permanent50–90% first-yearYes (renewal trials)Low
Critical Illness40–70% first-yearNoModerate
Disability Insurance40–60% first-yearSome renewalModerate
Investment (Seg Funds)3–6% upfront + 0.5–1% annual trailerYesHigh
Group Benefits10–15% of premiumYesHigh

The key takeaway? Income isn’t just about what you sell. It’s about what you build.

Agents who focus on building a base of renewable income products create consistency. Those who sell mainly term insurance face feast-or-famine cycles — unless they scale fast.

What Influences an Agent's Income in Canada?

1. Agency Structure: Captive vs. Independent

Captive Agents (e.g., working for one company):

  • Lower-income ceiling
  • Less control over product choice
  • Higher training and stability upfront
  • Some base salaries or leads

Independent Agents (like at Canadian LIC):

  • Full control over products and schedule
  • No ceiling on commissions
  • Need to self-generate leads
  • Much higher upside (and pressure)

At Canadian LIC, our agents are independent but supported, meaning they have access to 30+ insurance carriers, full product flexibility, and in-house mentorship but still operate with entrepreneurial freedom.

2. Province & Licensing

Agent incomes are generally higher in:

  • Ontario
  • British Columbia
  • Alberta

Where there’s:

  • More wealth concentration
  • Higher cost of living (larger policies)
  • More immigrant populations need education-based sales

Also, those licensed to offer segregated funds or other investment-linked products consistently out-earn those restricted to life-only licenses.

3. Marketing and Lead Generation

We’ve seen new agents at Canadian LIC outperform veterans because they:

  • Worked referral networks
  • Used digital marketing (email, Instagram, LinkedIn)
  • Partnered with real estate agents, mortgage brokers, or immigration consultants
  • Hosted webinars and local community talks

Your income is directly tied to how visible and active you are, not just how “experienced” you are.

Canadian LIC's Perspective: What Income Really Looks Like Year by Year

We mentor new agents from Day 1, and we’ve seen consistent earning patterns based on dedication, not background.

Year 1: Learning and Hustling

  • Focus: Licensing, product knowledge, and generating leads
  • Common Income Range: $30,000–$50,000
  • Traits: High rejection, slow start, wins from family/friends, lots of free training sessions
  • Canadian LIC Advantage: Weekly 1-on-1 coaching, joint appointments with top agents, done-for-you marketing materials

Year 2–3: Confidence and Scaling

  • Focus: Referrals, cross-selling, developing retention strategies
  • Common Income Range: $55,000–$85,000
  • Traits: Steady monthly sales, first referrals start coming in, growth from repeat clients
  • Canadian LIC Edge: CRM access, automation tools, product-matching engine, internal client referral pool

Year 4+: Strategic Growth and Specialization

  • Focus: Niching down (e.g., Super Visa, business insurance, retirement planning)
  • Common Income: $100,000–$250,000+
  • Traits: Team building, managing assistants, automating follow-ups, and revenue from trials
  • Canadian LIC Bonus: Eligibility for performance bonuses, travel incentives, exclusive top-tier carrier contracts
Insurance Agent Growth Pyramid

What Top-Earning Agents at Canadian LIC Do Differently

We work closely with advisors earning over $200K per year — and here’s what sets them apart:

  1. They follow a calendar-based sales system (not random outreach)
  2. They teach, not sell — by helping people understand what they didn’t know
  3. They upsell protection and investment together (e.g., life + CI + RRSP)
  4. They ask for referrals early
  5. They reinvest in their brand — websites, lead funnels, and content

Our top performers are not always the flashiest, but they are consistent, coachable, and connected.

Questions We Get from Aspiring Agents

  • Is there a base salary?

Not at Canadian LIC. However, we do offer commission advances, joint case closings, and lead-sharing pools.

  • Do you get benefits?

As independent advisors, you can enroll in discounted advisor benefit plans through our partners.

  • Do I need to be great at sales?

You need to be great at helping people understand financial risk — the rest is teachable.

  • Can I do this part-time?

Yes — but part-time input leads to part-time output. Many of our full-time agents started part-time, and we have a growth track just for them.

What New Agents Often Get Wrong

  1. Thinking one product will make them rich
  2. Relying only on family/friends
  3. Fearing rejection instead of building confidence
  4. Wasting hours on paperwork without automation
  5. Quitting before momentum kicks in

Success in insurance is not about hype. It’s about systems, mentorship, and follow-through.

What Canadian LIC Provides to Help You Grow

  1. Full access to 30+ insurance providers (life, health, investments, group)
  2. Dedicated onboarding coach and 90-day action plan
  3. One-click CRM system for tracking leads and clients
  4. Weekly live training (sales, product, compliance)
  5. Custom client proposals with illustrations and comparisons
  6. Co-branded marketing materials
  7. Lead support for qualifying agents
  8. Incentive trips, contests, and MDRT-track programs

Our mission isn’t to hire the most people — it’s to help the most people succeed.

Final Thoughts: Is Insurance a Good Career in 2025?

If you’re asking this question, you’re probably looking for more than just a paycheque.

You’re looking for:

  • Autonomy
  • Purpose
  • Income you control
  • The ability to make a real impact

The average income of insurance agents in Canada may be $62K — but the real potential is far greater for those with the right guidance and commitment.

At Canadian LIC, we believe that financial advice should be built on trust, and careers should be built on transparency. That’s why we don’t sugarcoat the hard parts — and we don’t let you face them alone.

If you’re ready to see how this path could work for you, let’s talk.

More To Know

    Get The Best Insurance Quote From Canadian L.I.C
    Call +1 416-543-9000 to speak to our advisors.
    Get Quote Now

    Frequently Asked Questions — Average Income of Insurance Agents in Canada

    Yes — but not overnight. At Canadian LIC, we’ve seen agents hit six figures within 3–5 years by building client relationships, offering full protection solutions (life + critical illness + investments), and consistently following up. It takes structure, not luck.

    Most first-year agents we coach earn between $30,000 and $50,000. Some earn more by going full-time right away and leveraging joint cases with our senior advisors. Others work part-time to get their feet wet, then scale. Either way, your income is tied to how many conversations you start, not just how many policies you sell.

    At Canadian LIC, we work on a commission-based model, but with support, coaching, and lead access. Some banks or direct carriers may offer a small salary or base stipend, but your earning ceiling is limited. Our agents grow their income as their client base and skills grow, without caps.

    Products with recurring revenue, like whole life insurance, segregated funds, and disability insurance, often create stronger long-term income. Critical illness and mortgage coverage offer good upfront payouts. The key is to offer full protection, not just one product.

    We hear this question often. Captive agents (tied to one company) get basic tools and fewer choices. At Canadian LIC, you’re independent with full backing, which means more product options, better commissions, and unbiased advice for your clients. It’s more work upfront, but more growth long term.

    No. What you need is empathy, discipline, and a willingness to learn. Some of our top performers were teachers, nurses, tech workers, and even newcomers to Canada. We teach you how to have real conversations, not push products.

    No one likes starting there, but it happens. We help you go beyond your warm circle with online marketing tools, community strategies, and scripts that actually work. The goal is to build a referral-based practice that doesn’t depend on chasing friends forever.

    That’s what sets Canadian LIC apart. We don’t leave you on your own with a login and a product binder. You get:

    • 1-on-1 coaching
    • Weekly team calls
    • Joint client meetings
    • Access to our quoting tools and CRM
    • Fast support when you need it

    You’re in business for yourself, but never by yourself.

    Most new agents complete their LLQP license within 4–8 weeks. From there, you can write your first policy within a month. We help you set up fast, from contracts to quoting software to compliance.

    That’s the beauty of this industry. Your license is portable, your clients are yours, and the renewal income you earn stays with you. Many agents turn this into a second-income stream, semi-retirement plan, or full-blown business — whatever fits your life.

    get Term Life Insurance Quote

    Key Takeaways

    • The average income of insurance agents in Canada ranges from $62,000 to $68,000, with top performers earning $120,000 to $250,000+ based on experience, product mix, and effort.

    • First-year agents typically earn between $30,000–$50,000, especially when supported by mentorship and access to diverse product options like at Canadian LIC.

    • Selling life insurance policies, term life insurance plans, and disability or investment-linked products creates opportunities for both upfront income and long-term residuals.

    • Agents offering renewable products like whole life, critical illness, and segregated funds build stable income faster than those focused only on one-time sales like term life.

    • Working independently with full support (like Canadian LIC’s model) allows for higher commissions and broader product choice compared to captive agency roles.

    • Geographic location and licensing level (LLQP vs. MFDA) significantly impact earning potential, with Ontario, BC, and Alberta offering stronger opportunities.

    • Top earners at Canadian LIC follow systems, invest in marketing, build referral pipelines, and focus on client education, not sales scripts.

    • Canadian LIC provides tools like weekly coaching, CRM access, custom marketing, and lead programs to help agents grow sustainably.

    • The industry offers real long-term career potential, but income is directly tied to hustle, relationship-building, and consistency, not shortcuts.

    Sources and Further Reading

    To support the data and insights in your blog “What is the Average Income of Insurance Agents in Canada?”, here are authoritative sources and further reading links:

    Salary Data & Industry Averages

    Mentorship, Training, and Career Growth

    These resources provide comprehensive information on earnings, career progression, mentorship, and the factors that influence insurance agent income in Canada.

    Feedback Questionnaire:

      1. Full Name:











      IN THIS ARTICLE

      Life Insurance Policy Form