How Many States Do I Need for Virtual Sales?

Hey, good morning! Rich here with Summit Life Group. Are you an independent agent looking to do remote sales, tele sales, or virtual sales? If you’re an agent or advisor considering this path, one of the common questions that often comes up is: “How many states do I need to be licensed in to sell virtually?” or “What states do I need to be licensed in to sell virtually?” I just want to address that quickly because it’s a frequent topic, and it’s part of the onboarding process we help agents with when they partner with us.

One mistake I see agents make is randomly choosing states to get licensed in without fully understanding why they’re doing it. For example, they might think, “I like people in South Dakota,” and then decide to get a license there. While you can certainly get licensed in every state, doing so significantly increases your costs and administrative workload.

I don’t recommend randomly adding states unless you have a specific reason for doing so. In a perfect world, if you live in Texas, you’d probably prefer to do business solely in Texas. However, the benefit of virtual sales—regardless of the product or niche you’re selling—is that you’re not limited to just your state. The decision should really come down to the volume of people you need to speak with and the lead program you’re running.

If you’re unsure about this, I advise against investing in multiple states upfront. You might end up choosing states that don’t align with the lead programs you plan to run. Instead, get started by figuring out what system and lead programs you’ll be using. If you’re partnering with an agency like ours, we can guide you through the process to determine the best states for your situation based on the lead programs you’re running. You can always add more states later, depending on whether you’re doing preset appointments, outbound calls, inbound calls, and so on. The type of programs you run will dictate the number of states you may need.

If you’re running your own programs, identify which states are necessary based on the leads you’re targeting. That’s really the best way to make the decision. At the end of the day, people are people. While certain agents may prefer working in specific areas, your expertise allows you to assist and help people anywhere. It really comes down to having enough people to talk to.

The greatest advantage of virtual sales is that you’re not limited by geography. For example, if you live in a small town, face-to-face sales might require significant travel to reach interested prospects. In contrast, virtual sales free you from those limitations, though you still need to be licensed in any state where you plan to do business.

I hope this helps you make a more informed decision. Remember, don’t randomly add states unless you understand why you’re doing it. Make sure your decisions are intentional and aligned with the lead programs you’re running.

If you’d like to learn more about Summit Life Group, we’re an innovative platform that connects consumers directly with licensed professionals in the insurance and retirement space. We support independent life insurance agents and advisors all over the country, offering various programs and ways to help you grow. If you’re looking for an agency to partner with, fill out the link below to learn more about Summit Life Group.

Go make it a great day!

Join us:  https://slgteam.com

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