Commission vs Hourly: How Insurance Sales Pay Works
Pay · September 22, 2026 · 5 min read
The first question anyone asks about insurance sales is the right one: how do I get paid? Here is how pay works in this field, straight from the Bureau of Labor Statistics, and how it stacks up against jobs people usually compare it to.
How insurance agents are paid
According to BLS, independent agents may be paid by commission only. Agents who are employees of an insurance company or firm may be paid salary only, salary plus commission, or salary plus bonus. BLS also notes that commissions are the most common form of compensation, especially for experienced agents, and that the size of a commission depends on the type and amount of insurance sold and whether it is a new policy or a renewal.
Source: BLS, Occupational Outlook Handbook, Insurance Sales Agents, Pay
The trade you are making
An hourly job pays you for time. Commission pays you for results. That cuts both ways. Commission income is not capped by an hourly rate, and it is not guaranteed either. A slow week shows up in your pay. A great month does too.
The numbers
National median annual wages from BLS, May 2025:
| Occupation | Median pay |
|---|---|
| Insurance sales agents | $62,280 |
| Real estate sales agents | $52,830 |
| Customer service representatives | $44,770 |
| Retail sales workers | $35,560 |
| Waiters and waitresses | $35,230 |
| Cashiers | $32,880 |
For insurance sales agents, BLS also reports that the lowest 10 percent earned less than $37,330 and the highest 10 percent earned more than $138,140. That spread is what commission looks like on a chart.
Sources: BLS Occupational Outlook Handbook pages for each occupation, May 2025 data.
How to judge a commission offer
- Ask what percentage or amount you earn per policy, and on which products.
- Ask when you are paid, and whether anything can be taken back later.
- Ask what it costs you to work: licensing, tools, leads, anything else.
- Ask what training you get before your pay depends on your calls.
AIM pays on commission, and your manager walks through the exact structure in your interview. Start the application and ask every question on this list.