Ready-made business plan for an insurance company. We are opening an insurance company. Features of building a business plan for selling insurance services
To open it yourself insurance company starting from scratch will require significant investments, the payback of which will take at least four years. For successful work in this area, the company must include in its range the maximum range of services that are directly or indirectly related to the main activity. This includes protection against risks to people and property, and expert work on assessing insurance claims.
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Services provided
The range of services provided by the insurance agency, aimed at legal entities:
| Object of insurance | Description |
| Property | This service allows you to reduce the risk of unexpected expenses/losses in the event of damage/destruction/theft of insured property |
| Carrier's liability | Entrepreneurs whose business is related to the transportation of various cargoes can protect their commercial vehicles and/or transportation objects |
| Responsibility of construction organizations | In December 2012, Federal Law No. 294 was adopted, obliging developers to insure their civil liability to shareholders. Thus construction companies protect their obligations to transfer the residential premises to the participant in shared construction within the period specified in the contract. Enterprises also protect themselves from the possibility of technical risks. This type insurance is the key to the financial security of a company conducting construction and installation work. This protects the developer from numerous risks for objects under construction, property and special equipment at the construction site. |
| Financial risks | A businessman can protect his business from such dangers as:
|
| Staff | This insurance allows the employer to reduce costs in the event of work-related injuries and illnesses of employees. |
The range of basic insurance agency services aimed at individuals:
| Object of insurance | Description |
| Property | The client can insure:
Thus, the buyer of an insurance product protects his property from the following risks:
|
| Life/health | This service allows you to provide the relatives and friends of the insured citizen (in the event of a serious illness or death of the latter) with certain funds |
| Automobile | It is proposed to sell two types of policies:
The second type of service is the most profitable for the agency. The owner of the car will receive compensation in the event of an insured event, for example:
|
| Mortgage | This product will help the agency client fulfill his debt obligations to credit institution, for example, in case of loss of usual income due to:
|
| Medical assistance | Voluntary health insurance allows you to receive:
|
Relevance
Circumstances that make the insurance business attractive:
- high profitability;
- prospects;
- significant demand for insurance services;
- variety of activities and business formats;
- government support for the industry;
- moderate competition.
Market description and analysis
Main trends in the Russian insurance market:
- In recent years, the following types of insurance have been in increased demand: life, accident, property, and financial risks.
- At the end of 2016, the total authorized capital of domestic insurers amounted to 216.5 billion rubles, and a year earlier it was 189.2. There is a trend of consolidation of market participants both in terms of the size of the joint-stock fund and the amount of premiums. In 2016, the average capitalization of companies increased from 566 to 842 million rubles.
- As of December 2016, there were 251 insurance companies and 5 specialized reinsurance companies operating in Russia. At the end of 2017, their total number did not exceed 200 (including medical ones).
- Market leaders: PJSC Rosgosstrakh, JSC SOGAZ, PJSC Ingosstrakh.
- The upward trend in the concentration indicator remained in relation to companies above the TOP 10. An increase in this parameter is observed for all types, with the exception of business risk insurance.
- More than 70% of market participants have share capital up to 479 million rubles.
- The structure of premiums for domestic companies is dominated by voluntary insurance of liability (about 40%) and property (about 20%).
- In 2016, the amount of insurance premiums from agencies amounted to 1,180.63 billion rubles. For the same period, the amount of payments was 505.8 billion rubles.
- The predominance of the following sales channels for insurance products is observed: direct sales (30%), through agents (30%), in banks (25%).
- The insurance market is concentrated in Moscow and the Moscow region.
- Today, the state of the insurance industry in Russia can be diagnosed as stable.
Photo gallery
Market structure by size authorized capital in 2015 and 2016 Insurance market concentration indicator for the period from 2010 to 2016 Key performance indicators of the insurance market over time (from 2010 to 2016) Ratio of rates of insurance premiums and payments (by quarters for 2013-2016) Structure of types of insurance and premiums of companies (in 2014-2016) Sales channels for insurance products in 2016 and 2015
Target Audience
The target audience of an insurance company can be very diverse, it depends on:
- agency specializations;
- range of services provided;
- pricing policy;
- location of company branches, etc.
The main consumers of insurance services from among legal entities:
- industrial enterprises;
- trading companies;
- financial and credit institutions;
- agricultural enterprises;
- organizations operating in the service sector.
According to the level of income received, all consumers can be divided into:
- the poor (including pensioners, large families, students, people with low salaries, etc.);
- middle class (for example, car owners, tourists, small entrepreneurs);
- rich (including successful large businessmen, owners luxury real estate, vehicles etc.).
A businessman can target the activities of his own insurance company both to all types of clients and to a specific category of consumers.
Competitive advantages
In order for an insurance company to stay afloat and operate successfully for many years, it must have the following key competitive advantages:
- well-known and promoted brand;
- a well-thought-out assortment that takes into account the characteristics of the local market and the expected location of the agency;
- availability of both compulsory and voluntary insurance programs;
- competent pricing policy;
- a sufficient number of competent agents and other employees;
- location of company branches in high traffic areas target audience;
- prompt and friendly service;
- active work of insurance agents with potential clients;
- positive customer reviews.
Advertising campaign
- Branding. An entrepreneur must take care to create a bright trademark and logo.
- Outdoor advertising. Placing banners, streamers, billboards and other structures in crowded places.
- Corporate website. It should be a resource created and developed by a team of professionals. Information about the company, insurance products, contact details and other information is posted here.
- Promotions/presentations.
- Distribution of paper materials (including booklets, brochures, leaflets).
- Placing advertisements in newspapers/magazines, on local/central television, on the Internet (for example, banners, contextual advertising).
- Offering company services to potential clients over the phone.
- Cooperation with banking organizations, car dealerships, travel agencies and other organizations.
- to yourself;
- its merits and advantages;
- services provided, etc.
Step-by-step opening instructions
To organize your own insurance company from scratch in Russia you need:
- Analyze the market for the functioning of the future company.
- Carefully consider the package of insurance services provided.
- Create detailed business plan with calculations.
- Determine sources of financing.
- Prepare papers for registering the company's activities and obtaining a license.
- Register the agency as a legal entity.
- Apply for a license.
- Carry out company branding.
- Select premises for the head office and branches.
- Conclude purchase and sale/lease agreements for premises.
- Carry out design, construction, repair and finishing work in insurance agency buildings.
- Select staff.
- Organize advanced training/insurance training courses.
- Establish alternative sales channels for insurance services (through intermediaries).
- Conduct advertising campaign events.
- Ceremonial opening of the head office and branches.
Documents
Key points in the insurance agency registration process:
| Name | Description |
| Authorized capital | Minimum values of the Criminal Code (as of 01/01/2017):
|
| Form of ownership | Options legal registration activities:
|
| OKVED codes | When registering a business, the founders indicate the following types of activities:
|
| Company name | According to current legislation, the name of the agency must contain the word “insurance” or its derivative |
| Licensing | Each type of insurance requires a separate permit and additional contributions to the authorized capital |
To register a company, the following documents are submitted to the tax office:
- statement;
- full and abbreviated name of the organization;
- constituent documents (including the charter and constituent agreement);
- originals and copies of passports of the founders and the director;
- TIN and registration of the general director;
- paper evidence of payment of the amount of the authorized capital;
- documents about the location of the agency's head office.
The following are submitted to the Insurance Market Department under the Central Bank of Russia to obtain a license:
- a statement expressing the founders’ intention to obtain a certain type of permission to carry out the agency’s activities;
- package of constituent documents;
- a description of the rules, principles and tariffs for insurance products sold;
- certificate of registration of a legal entity;
- information about the founders;
- information about the general director (autobiography, documents confirming his education, qualifications, work experience, etc.);
- detailed business plan;
- internal audit data;
- documentary confirmation of the amount of contributed authorized capital in the required amount;
- receipt of payment of state duty.
It will take about 3-6 months to prepare documents for obtaining an insurer's license and their consideration by the Central Bank of the Russian Federation. The validity period of the permit is unlimited and does not require renewal. As a result of successful completion of the license registration process, the company will be enrolled in the Unified state register subjects of insurance business.
In order for the company’s activities not to be suspended, the maximum liability for an individual risk should not exceed 1/10 of the agency’s authorized capital.
Room and design
Criteria for choosing premises for the head office of the insurance company and its branches:
| Sign | Description |
| Square | For the central office - at least 200 square meters. For branches optimal size– about 100 square meters. |
| Location | Suitable building:
|
| Infrastructure | Key Features:
|
| Communications | Availability in the building:
|
Zoning of the insurance central office:
| Name of premises | Approximate area, sq. m. |
| Manager's office | 20 |
| Legal department | 15 |
| Hall for receiving clients | 80 |
| 20 | |
| Agent room | 35 |
| Accounting department | 10 |
| Cash register | 10 |
| Reception area | 10 |
| Waiting area for clients | 20 |
| Staff room | 10 |
| Utility room | 30 |
| Bathrooms for staff and clients | 10 |
| Total | 270 |
Features of the design and renovation of the insurance agency office:
- It is recommended to use light colors in the interior;
- in the decoration of walls, ceilings, floors, etc., it is better to use modern building materials;
- the room should not be overloaded with furniture;
- the office should be spacious, clean and comfortable;
- Various posters and banners with information about the insurance products sold should be placed on the walls;
- furniture must have a respectable appearance;
- the central office and branches of the agency are registered in the corporate identity color scheme and the same style.
Reception area and customer waiting areas Meeting room Meeting room Example of a customer service room Waiting area Client reception area
Equipment and inventory
Equipment and inventory for equipping an insurance company consisting of one central office and five branches:
| Name | Quantity, pcs. | Approximate price, rub./piece. | Total cost, rub. |
| Computer | 35 | 20 000 | 700 000 |
| Office equipment (including printers, phones, faxes, MFPs, paper shredders, etc.) | — | — | 240 000 |
| Cash register equipment (including cash registers, banknote counters, banknote detectors, etc.) | — | — | 720 000 |
| Camera | 6 | 20 000 | 120 000 |
| Safe for storing papers | 15 | 10 000 | 150 000 |
| Safe for money | 12 | 15 000 | 180 000 |
| Furniture for the customer waiting area | — | — | 250 000 |
| Reception equipment | — | — | 1 000 000 |
| Furniture for the manager's office | — | — | 250 000 |
| Staff room equipment (including furniture, refrigerator, microwave, kettle, etc.) | — | — | 500 000 |
| Furniture for the meeting room | — | — | 500 000 |
| Equipment for utility rooms | — | — | 500 000 |
| Furniture for customer service hall | — | — | 2 000 000 |
| Bathroom equipment | — | — | 500 000 |
| Furniture for agents' room | — | — | 1 300 000 |
| Security and fire alarm system | — | — | 1 000 000 |
| Video surveillance | — | — | 500 000 |
| Air conditioner | 12 | 40 000 | 480 000 |
| Other equipment and supplies | — | — | 500 000 |
| Total | — | — | 11 390 000 |
Cash register equipment – 120,000 rubles Reception area equipment – 170,000 rubles Furniture for a room for insurance agents – 200,000 rubles Office air conditioner – 40,000 rubles
Staff
Since today in Russia it is difficult to find qualified personnel for an insurance agency, they will have to be trained or “lured away” from already established competitors.
The company's staff for the central office and five divisions:
| Job title | Number, people | Salary of one staff unit, rub./month. | Payroll fund, rub./month. | Payroll fund with accruals, rub./month. |
| General manager | 1 | 100 000 | 100 000 | 131 000 |
| Head of the branch | 5 | 60 000 | 300 000 | 393 000 |
| Secretary | 6 | 20 000 | 120 000 | 157 200 |
| Chief accountant | 1 | 60 000 | 60 000 | 78 600 |
| Accountants | 2 | 25 000 | 50 000 | 65 500 |
| Managers responsible for certain areas of insurance | 5 | 25 000 | 125 000 | 163 750 |
| Insurance consultants/agents | 30 | 25 000 | 750 000 | 982 500 |
| Inspectors | 3 | 50 000 | 150 000 | 196 500 |
| Cashiers | 8 | 20 000 | 160 000 | 209 600 |
| Service staff | 10 | 15 000 | 150 000 | 196 500 |
| Total | 71 | — | 1 965 000 | 2 574 150 |
Requirements for the main employees of the company - insurance agents:
- higher economic/financial education;
- Experience in the insurance industry is preferred;
- communication skills;
- competently delivered speech;
- active life position;
- ability to sell insurance services and negotiate;
- desire to learn;
- presentable appearance;
- Computer knowledge and ability to use office equipment.
The video material raises the question of how to become a professional in the insurance market. Here we tell you where specialists for this field of activity study. Filmed by the channel: “PRO BUSINESS TV”.
Financial plan
Subsequent financial planning The activities of the insurance agency are based on the following information:
| Indicator | Meaning |
| Number of founders | Three people |
| Source of funds | Equity |
| Legal form of agency | Public joint stock company |
| License | For life insurers |
| Minimum authorized capital | 240 million rubles |
| Number of branches | Five branches and one head office |
| Head office location | Russia, Moscow, business center in the central part of the city |
| Branch locations | Moscow - 3 branches, St. Petersburg - 2 divisions. All representative offices are located in busy areas with high traffic of potential clients. |
| Central office area | 300 square meters |
| Average area of agency branches | 100 square meters |
| Premises | Long term rental |
| Number of employees | 71 people |
| Target Audience | Individuals and companies/organizations. Income level – average |
How much does it cost to open?
The cost of opening your own insurance agency consists of the following expenses:
| Cost items | Approximate prices, rub. |
| Amount of authorized capital | 240 000 000 |
| Registration of a license | 150 000 |
| Creation of a legal entity | 60 000 |
| Obtaining permits from regulatory authorities | 100 000 |
| Purchase of equipment and inventory | 11 390 000 |
| Acquisition of software and other intangible assets | 1 500 000 |
| Rent for premises (for 4 months) | 2 800 000 |
| Branding | 500 000 |
| Design, renovation and decoration of office and agency branches | 1 500 000 |
| Advertising costs (including website development) | 1 200 000 |
| Salary with accruals (for 3 months) | 7 725 000 |
| Consumables | 500 000 |
| Other costs | 1 000 000 |
| Total | 268 425 000 |
Regular expenses
The owner of the insurance company incurs the following monthly expenses:
| Cost items | Approximate prices, rub. |
| Insurance payments | 39 600 000 |
| Rent | 700 000 |
| Utility costs | 130 000 |
| Salary (including deductions) | 2 575 000 |
| Advertising | 60 000 |
| Depreciation of fixed assets | 130 000 |
| Transportation costs (fuel, vehicle maintenance, etc.) | 50 000 |
| Security agency services | 600 000 |
| Other expenses | 50 000 |
| Total | 43 895 000 |
Income
The performance parameters of the insurance company were determined based on the following data:
Key indicators economic efficiency business:
Schedule
Opening an insurance company on your own will require not only large financial investments and knowledge, but also considerable time (8-12 months).
Schedule of the process of implementing a business idea for an insurance agency from scratch:
| Stages | 1-2 month | 3-4 month | 5-6 month | 7 month | 8 month |
| Analysis of the domestic insurance market | + | ||||
| Determining the direction and format of the business, range of services | + | ||||
| Business design | + | ||||
| Preparation of documents for opening a legal entity | + | ||||
| Agency registration | + | ||||
| Preparation of documents for obtaining a license | + | + | |||
| Checking of papers by specialists of the Central Bank of the Russian Federation (to obtain permission to carry out insurance activities) | + | + | |||
| Obtaining a license | + | ||||
| Search for premises for the central office of the company and its divisions | + | ||||
| Branding | + | ||||
| Concluding rental agreements for suitable buildings | + | ||||
| Development of design projects for agency representative offices and head office | + | + | |||
| Carrying out construction/repair/finishing work | + | ||||
| Selection, purchase, transportation and installation of company equipment | + | + | |||
| Advertising campaign | + | + | + | ||
| Search, selection, hiring and training of agency employees (including general director and chief accountant) | + | + | |||
| Obtaining permits to commission premises from supervisory services (fire inspection, SES, etc.) | + | + | |||
| Organization alternative options sales of company products (through intermediaries) | + | + | |||
| Selecting a security agency and concluding a service agreement with it | + | ||||
| Grand opening of the agency's head office and branches | + |
Risks and payback
External and internal risks of implementing a business project to open an insurance company:
| Risk factor | Description of the risk | Probability |
| Competition | An increase in the number of market participants will lead to a decrease in demand for insurance services and will entail an increase in marketing costs | High |
| Tightening requirements of government agencies for insurance agencies | The reason for the closure of many participants of this market is the growing number of requirements placed on companies by the state. Including:
| Average |
| Decrease in solvency of the population and legal entities | The unstable economic situation in the country may cause a reduction in incomes of the population and private businesses. This, in turn, will lead to a decrease in demand for insurers' services. | Average |
| Low qualifications of agents, administrative and management personnel and other specialists | Today in the labor market it is quite difficult to find competent and competent workers for the insurance industry. They will either have to be lured away from competitors or trained on their own. | High |
| Simultaneous occurrence of multiple insurance events | This risk may lead to the ruin of the company. Company specialists must carefully approach the issue of developing the range of services provided and setting tariffs for them. | Low |
The payback period for the insurance business will be 4-4.5 years.
The idea of starting an insurance business requires a careful approach if you want to earn real income. First of all, keep in mind that the business plan of an insurance company should be based on the fact that it is necessary to conduct a full market analysis of existing insurance services in advance.
Important points in organizing an insurance company:
- - the authorized capital of the establishment of a legal entity must be at least 120 million rubles;
- - only a citizen of the Russian Federation who meets certain requirements can manage a company;
- - insurance activities are permitted only after obtaining a license; in order to obtain permission for a type of activity, insurance rules developed for a specific company will be required;
- - to obtain permission to carry out activities, it is necessary to have a central office of the company.
Decide what type of insurance you will engage in; the amount of authorized capital will depend on this. For life insurance, a capital of 240 million rubles will be required, and for reinsurance, at least 480 million.
Main organizational stages.
The Russian market is already crowded with insurance companies. A detailed study of the market will make it possible to find a less filled niche. It would be wiser to choose one of the types of insurance, or services that are just gaining popularity among consumers.
As an idea, you can use, for example, a lightning strike during a thunderstorm or a meteorite fall.
When you have chosen the type of insurance you will engage in, it is worth deciding on the scale of your company’s work: city, region, entire country. The formation of the staffing table will depend on this.
There is another way to determine the scope of activity. Choose a specialization, for example, in water transport.
Without attracting third-party investments, you will not be able to implement your business plan. It is for this reason that such a document should be as detailed and understandable as possible for future co-founders.
Be aware that registering a legal entity is a fairly lengthy process. You will also need a license from the Ministry of Finance, which can take from four to twelve months to obtain.
The most important.
In the insurance business, important factor is a stable and justified motivation for the organizers and their like-minded people to achieve a specific level of sales.
Probably, more important than the authorized capital, there will be competently selected personnel capable of self-motivation and seeing a real perspective before failure. Even in the first stages, pay attention to the psychological aspect.
Your investors should be prepared in advance for a long-term placement of their capital and not a quick return on it.
For reference.
The number of insurance agencies in Russia has decreased by twenty percent. According to data as of the end of January this year in the unified state. The register of insurance entities included 459 insurance agencies, 14 of which are reinsurance agencies.
Despite the fact that the insurance market is sufficiently developed, the current situation in this sector is such that opening a new insurance agency may be difficult. profitable idea based on the needs of the target audience.
In the capital and other large cities people often seek insurance services jewelry companies. Insurance of financial risks arising during the joint construction of residential or non-residential facilities is in demand in megacities. You can always find your niche for opening an agency by conducting a thorough analysis of the insurance market for available services. To do this, taking into account all the features outlined below, they create a business plan for an insurance agency. One of the possible options is a franchise or branch of an already popular agency. Such a project could be a good starting point in the future for a new and independent agency.
Features of the insurance agency business plan project
The essence of the project is to create an agency for insurance of life and health, property and other valuables. Main goal business plan - to assess the prospects and economic efficiency of the project to create an insurance agency from scratch. The plan can be used as commercial offer when negotiating with a potential investor or when obtaining a commercial loan.
The project implementation is planned for 2 years.
During this period it is planned to achieve the following goals
— creation of a profitable enterprise;
— meeting the needs of the target audience in the field of life and property insurance for both individuals and legal entities;
- obtaining high profits.
The main financial aspects of a new business are as follows:
— the period within which the company will recoup all initial investments and reach the level of profitability – 2 years. Under favorable conditions - earlier;
- total cost of the project (the amount of the commercial loan that is planned to be issued at the beginning of the activity) - 1 million 200 thousand rubles;
— loan payments will begin from the first month of the enterprise’s activity. During the first two years, the total amount of payments will reach 82 thousand rubles;
— interest rate on the loan is 17.5%. In the future, this figure may be reduced;
— the total economic effect from the sale of services over the indicated period, under favorable conditions, will reach 84 million.
In general, starting a business in the insurance industry will be characterized by a low level of costs. But in order to avoid losses and have the opportunity to develop in the chosen direction, you need to think carefully about all areas of activity and draw up a clear plan for all upcoming stages.
Features and prospects of working as an insurance agent - in the video:
Features of the insurance company's activities
By offering life insurance and various types of property as its main services, the company immediately identifies an approximate circle of its clients. The target audience of the insurance company is very wide. First of all, these are private individuals who insure their lives in case of illness or death, accident or work injury. The second, more extensive and highly paid category is insurance of movable and real estate individuals, as well as organizations and enterprises.
Many insurance companies offer too many types of services at once. This may complicate entering the market, as it will require too much investment of time and money, as well as attracting large quantity specialists. Therefore, it is worth starting with a limited list of services, with a main focus on serving individuals and providing a limited range of services to enterprises and organizations.
The operating principle and procedure of an insurance company largely depends on the type and scale of its activities. But overall general order includes the following responsibilities of the insurer:
— drawing up insurance programs of all types provided for in the strategy. At this stage, all financial aspects are calculated and a specific insurance proposal is developed;
- signing an agreement with the client - an individual or organization;
— receipt from the policyholder of the first insurance payment, of which 15% is received by the insurer as a commission and payment of expenses incurred, and the remaining amount goes to the insurance reserve. The insurance reserve, in turn, is divided into 2 parts: 70% for the accumulative reserve and 15% for the risk reserve. Both reserves are invested in instruments provided by law;
— upon the occurrence of an insured event, agency specialists review all submitted documentary evidence and make a decision on the advisability of making insurance payments, their amount and procedure.
The procedure for insurance and payments may differ slightly, but the principle is standard for all organizations. It is determined by relevant legislation. True, organizations can have different sales channels - both direct and brokerage channels are active in the market. At the same time, on domestic market The share of the brokerage channel for sales of insurance services is still quite low and amounts to less than 4 percent. The Russian insurance system is characterized to a greater extent by the participation of non-insurance intermediaries - banks, travel agencies or car dealers. Vivid examples are MTPL and comprehensive insurance policies.
Internet insurance today also represents not only direct sales of insurance services. Over the past few years, the number of Internet agents performing intermediary functions has increased significantly.
Registration
The insurance company can be immediately registered as an LLC. There are other types of legal entities. But a limited liability company will be the most convenient and profitable for a start-up organization. When drawing up the charter for the LLC being opened, you need to list in detail the planned services of the agency, not forgetting about additional and auxiliary offers. When filling out the documents, you must provide all activity codes of the new company. For this purpose, a specialized OKVED classifier is used. In it, one or more suitable activity codes are selected. No matter what they may be additional types activities, they must be related to insurance and must be separately indicated when drawing up the application. For example, this could be damage assessment, which has a direct connection with insurance.
A mandatory condition for creating an LLC is the contribution of the authorized capital. Its size largely depends on the services provided by the campaign. The higher the value of the services (for example, life insurance of the client), the larger the authorized capital. But the minimum amount is 10 thousand rubles.
Other documents required when opening a legal entity are the charter, the decision to create an LLC (or another form), the decision to appoint a manager and, if there are several founders, the minutes of the founders’ meeting.
License. Certificate
The agency may act on the basis of a special permit document— licenses for services provided. All legal requirements regarding types and forms of insurance, as well as licensing and certification - in a specialized federal law“On the organization of insurance business in the Russian Federation” ().
You must first pass the certification required by law. This process is quite complex, it takes place under the guidance and control of the Ministry of Finance and requires a long time - usually certification takes up to a month. To complete it you will need a package of documents, including:
- Insurance rules.
- Documentation for opening a campaign.
- Tariff calculations.
The specificity of the campaign is that everyone new look insurance requires the preparation of new documents. In addition, the head of the company must confirm his qualifications in this field. The success of the undertaking will depend on the work experience of the manager himself and the number of positive reviews about his activities.
The result preparatory work the enterprise will be entered into the relevant state register after receiving a license. The entire licensing process will take up to six months, so you need to take care of this in a timely manner.
Regulatory documents that must be studied before starting work:
Stages of creating a business
The basic sequence of actions for opening an insurance agency is as follows:
— development of a strategy for the future company;
- preparation of marketing and financial plan;
— renting or purchasing office space, equipping it and preparing it for opening;
More detailed plan insurance agency includes the following stages:
| Stages | Execution conditions | Completion deadlines |
| Start of the project | 1 – 2 year | |
| 1 month project | First 30 banking days | |
| Receiving credit funds | Availability of a mandatory package of documents | 1 month |
| Entry into the state register, registration with administrative and tax authorities | Concluded investment agreement | From 1 to 30 calendar days |
| Selecting a location, preparing documentation | Preliminary work | 1 month |
| Purchase of equipment | Conclusion of an investment agreement | Up to 30 calendar days |
| Equipment installation | Receiving investment funds | Up to 30 calendar days |
| Hiring employees | Production activities | Up to 30 calendar days |
| Staff training | The end of the stage of organizing the production process | Up to 1 month |
| Advertising | Within 1 month | Up to 1 year |
| End of the project | 12 – 24 months |
Premises and equipment
The main condition for the selected office space is good access to it and the availability of convenient parking for clients’ personal vehicles. There should be good transport links nearby - a metro station and public transport stops for clients who do not have their own car. At the entrance, a noticeable sign is required that will orient visitors and serve as an advertisement.
The room may be small, but spacious enough to accommodate several employees and the opportunity to meet with clients. Maximum area - 150 sq. m, but maybe less. The design of the office as the face of the agency is very important. This issue needs to be given a lot of attention: there should be no bright, emphasized decorative details here. Clients are more attracted to a strictly business-like appearance, which speaks of the company’s reliability.
The purchase of office equipment will be important stage opening a company. At the first stage you need to purchase:
— desks and chairs for employees in the quantity necessary to provide furniture for the entire team;
— chairs, armchairs or sofas for waiting by clients;
- computers with high-quality software for all specialists;
— other office equipment – printers, scanners, copy machines;
- connection to telephone and Internet.
To create a comfortable atmosphere, the workplaces of specialists should be demarcated. You can equip several separate small offices. If this is not possible, the room is zoned using screens.
Staff
At the time of opening the agency, there should be no more than 10-20 employees on staff. A larger staff will be too expensive to maintain on a monthly basis. In addition, a start-up insurance agency is unlikely to be able to count on a large number of clients. The team will include:
- manager,
- accountant,
- lawyer,
- insurance agents.
The main responsibility of insurance agents is to independently find clients to provide them with insurance services. Otherwise, you will have to wait a long time for the company to develop. By preliminary plan, in the first 2 years, as the company develops, it will be necessary to increase the team to 100 - 150 full-time and freelance agents.
As business opportunities expand, the number of employees and insurance agents will also grow. And for the business to develop, there must be insurance agents on staff who can convince and sell insurance services. The more services are sold, the better the insurance agency will do. The company's profit will depend on this.
To accurately recruit professional staff, you need to get acquainted with a large number of applicants and select only the most professional and experienced. To retain new employees, you need to create the most favorable conditions labor, interest agents with a positive bonus, possible career advancement, and a good percentage of the services they sell. You can also go by training beginners using special trainings. It is advisable to use these two types of work with agents simultaneously. Be sure to hire several experienced insurance specialists who do not require training.
The dress code of employees is one of the optional, but important conditions. The strict appearance emphasizes the authority of the company and the professionalism of its specialists.
Marketing. Basic strategies for attracting clients
A marketing campaign should begin with studying the state of the market, current trends and dynamics. Crisis phenomena, which periodically influence the general state of the economy, are important in the functioning of the insurance market. Thus, in 2008–2009 and 2013–2014, the insurance market significantly reduced its activity, which is natural due to the international and domestic crisis. At the present time, the echoes of the last crisis are still being felt by most insurance agencies, especially small market participants. To cope with this problem and retain customers, it is necessary to offer more favorable conditions, comprehensive insurance packages, and necessarily improve the quality of services.
Statistics show that despite some negative trends, the insurance market is still growing and expanding. A particularly popular area is life insurance: every year everyone uses this service in great demand. If we analyze the insurance situation in the country as a whole, we can conclude that as a result of the crisis, the total number of companies on the market has decreased. At the same time, only strong and competitive participants remained in this segment.
The driving force of an insurance agency forward is the advertising of each individual insurance service, since the work of an insurance agency is the sale of insurance services.
With each specific insurance service, they need to go to the target audience of customers, sometimes mixing them. A profitable solution there will be a “two in one” offer - a discount when insuring two objects at the same time.
With small starting capital and the impossibility of giving immediately wide range insurance services, you can focus on one type of service. It is important that this direction is not yet widespread enough on the market or is completely new. In the absence of competition, you can achieve high results in business development. And as the business develops in the future, add new insurance services.
According to statistics, the following advertising methods work best:
— Internet: creation and promotion of a website, posting information about insurance services on thematic websites, using banner and contextual advertising;
— Media, especially the use of thematic publications. This will allow you to reach the target audience as much as possible;
A good method would be to offer services directly to potential clients - organizations and enterprises - in the form of online newsletters with information about current service packages. Customer reviews are one of the best promotion methods in this area. This is due to high cost insurance services and a low level of consumer confidence in little-known and untested companies.
As in short term open your own insurance business - in the video:
Finance
First, you need to count on a minimum capital of 20 million rubles. Having such an amount will allow you to confidently start a business and not be afraid of a temporary lack of profit.
When opening an insurance campaign, you must count on the following main expense items:
| Expense item | Expenses per month | Expenses for the year | One-time costs | Total expenses for the year |
| Rent (purchase) of premises (from 40 sq.m.) | 30000 | 360000 | 60000 | 420000 |
| Purchase of equipment, including computers and office supplies | 106000 | 106000 | ||
| Buying a car | 430000 | 430000 | ||
| Website creation, hosting, scripts | 120000 | 120000 | ||
| Advertising expenses | 45000 | 540 thousand | 540 thousand | |
| Remuneration | 332000 | 3.9 million | 3.9 million | |
| Taxes | 99800 | 1198000 | 1198000 | |
| Additional costs | 71560 | 71560 | ||
| Total | 407 thousand | 4.9 million | 788 thousand | 5.7 million |
Thus, the financial result regarding investments during the first year of the company’s operation is as follows: to open and develop an insurance company during the designated period, you need to have an amount of up to 6 million rubles available. This condition is relevant for a small organization of several insurance agents. If a larger organization is initially opened, this amount can double. However this project provides for a gradual expansion of the company's scale.
The financial year begins in January. The deadline for making tax payments will begin from the beginning of the year. The list of taxes for LLCs under the standard taxation system will be as follows:
The income part of the business plan should begin with drawing up an approximate pricing policy for the future agency. This indicator is determined taking into account the cost of the organization and the current pricing policy in the industry. Average tariffs for insurance services in the country today are as follows:
By dividing the entire 2-year period of opening and developing a business into 2 main stages - investment and operation, you can draw up the following service provision plan:
| Period | Type of service | Volume of production and sales for 1 month. (pcs.) | Price, rub. | Sales revenue, rub. |
| 1 – 12 months of investment | Life and health insurance | 20 people | From 120 thousand | From 2.4 million |
| 1 – 12 months of investment | Other insurance | 100 objects | From 17 thousand | 1 million 680 thousand |
| Life and health insurance | 50 people | From 134.4 thousand | From 6.7 million | |
| 13 – 24 months of operation | Other insurance | 200 objects | From 18.5 thousand | From 3.7 million |
If in the future the current market trends continue, that is, an increase in the volume of services provided in the amount of 10–22% per year, then the annual growth in the volume of sales of the company’s services will reach more than 58 million rubles per year.
To overcome difficulties at entering the market and smoothly pass the entry barrier, it is imperative to attract highly qualified specialists and use high-quality equipment. Competent marketing strategy and well thought out advertising campaign. To find the best specialists, it is necessary to allocate approximately 1 month for the search for personnel, selecting the best through interviews.
Risks
When planning the income of an enterprise, be sure to take into account all possible risks.
The main ones
— high level of competition in the insurance industry;
— lack of proper trust among potential clients, especially private individuals;
— high level of competition in the industry for positions of top managers and specialists in other areas;
— high level of capitalization of investments.
The conclusion about opening an insurance agency as a type of business may be as follows. First of all, such an enterprise is potentially highly promising and profitable, differs high profitability and constantly increasing demand among potential clients. All these advantages take place with proper organization of the company’s work and a timely advertising campaign. The weaknesses of this industry are high competition, continued distrust among the target audience and lack of specifics in legislative framework. In the future, the prospects for the insurance business will depend on the general economic situation in the country, the quality legislative regulation this issue, as well as competent business planning by each entrepreneur.
The main features of opening an insurance agency are in the video:
The plan for opening an insurance company that you decide to open should begin with identifying a special segment, type of activity for already existing market relevant services. It is most profitable to identify an unoccupied niche in the market or a segment in which there is an increased and unsatisfied demand... for alcohol.
The Russian insurance market is characterized by a high level of employment, which complicates the search for new free niches for the activities of young companies. And yet, focusing on innovative insurance products, it is still possible to find effective business solutions.
Opening plan
We present to you for free ready-made example business plan for opening an insurance company, which will help you start your own business providing insurance services.
This example contains all the calculations and tables for a specific city, so in your case all the numbers will, of course, be different.
How to open an insurance company
So, how to open an insurance company? Let's consider information that will help you in starting this business.
Registration
Engaged in insurance business legal entities(LLC, CJSC, etc.), whose charter clearly defines the types of insurance services that they will provide. In addition, the minimum authorized capital of the company is 20 million rubles, which varies upward depending on the services provided (especially increases when planning life insurance).
Company license and certification
In order for an insurance company to be included in the Unified State Register of Insurance Organizations, that is, licensed, it is necessary to undergo a certification procedure, which can last from six months to a year. An important point here is confirmation of the qualifications of the management of the insurance company: education and work experience of the general director, his business reputation. You will also need well-written constituent documentation and clearly formulated insurance rules for each type of planned insurance activity.
Investments and opening costs
The primary costs of opening an insurance company, which will be spent on purchasing or renting, as well as equipment for the company’s office, salaries and advertising, depending on regional characteristics, will range from half a million to a million dollars.
Room
The requirements for an insurance company office are quite standard: convenient location, parking for employees and clients, sufficient space (depending on the specifics of the work), its design and dress code for employees. The design of the office determines the client’s first impression of the insurance company, so it must be consistent business style, emphasize the solidity and reliability of the company.
Work staff
The composition of an insurance company's employees is usually divided into two groups: office workers - management, legal services, accounting, and insurance agents - the “gold reserve” of each insurance company. Forming a staff of insurance agents, on whom the flow of clients of an insurance company depends, is a key personnel task. This can be solved either by attracting experienced employees, who will need to be provided with preferential conditions, or by training newcomers. Typically, insurance companies seek to combine these two paths, forming human resources potential of experienced and novice employees.
Basic strategies for attracting clients
In the insurance business, it is important to develop targeted advertising strategies, that is, for each type of insurance, find the most effective types advertising, its placement, etc. For example, for home insurance, it is profitable to look for clients in areas of new buildings, cottage communities, and on real estate websites.
Low prices for services at the beginning of work is an effective advertising move.
Prospects for this business
The efficiency of the insurance business depends on the gradual expansion of the list of services provided, which occurs due to the development of the insurance company. Normal payback period: 3-5 years. If the profit corresponds to 10% of the total amount of insurance premiums, such a business can be considered successful.
Having your own insurance company, frankly speaking, is not the fastest-paying type of business. However, despite decent competition, there is a definite chance that in small towns a private insurance company can bring its owner considerable income. But only in the long term. It is absolutely not recommended for beginners and inexperienced entrepreneurs to engage in this business. The insurance company business plan presented below with calculations reflects the organization’s realities in as much detail as possible. of this business in a provincial town.
The direct investment that an entrepreneur will have to make in opening an insurance company will not exceed 2.7 million rubles. However Russian legislation clearly regulates the size of the authorized capital of an insurance company, without which its registration is impossible. It amounts to a decent amount - 20 million rubles. Therefore it is assumed that of this enterprise there will be several founders with approximately equal shares of investments.
Resume
An insurance company, an example of which is given in this business plan, must be registered as a limited liability company under the management of one or more founders. When choosing a taxation system, you should opt for UTII - “imputation”. Tax rate in this system it is 15%. In some regions it is planned to introduce a reduced rate, up to 7.5%, but so far this has not been implemented in any subject. When registering an insurance company, you need to select the following OKVED codes:
- 65.11 “Life insurance”.
- 65.12 “Insurance other than life insurance.”
- 65.12.1 “Medical insurance”.
- 65.12.2 “Property insurance”.
- 65.12.3 “Civil liability insurance”.
- 65.12.4 “Insurance against accidents and illnesses.”
- 65.12.5 “Risk insurance”.
- 65.12.6 “Insurance for a traveler traveling outside his permanent residence.”
- 65.20 “Reinsurance”.
The office of an insurance company needs to be located in a room with an area of about 150 square meters. m, which is rented closer to the city center. All fire safety rules, as well as SanPiN standards, must be impeccably observed. The lease agreement is concluded for a one-time period of three years, with full payment for the first six months. It would not be amiss to conclude contracts in advance for cosmetic repairs of the premises and maintenance computer equipment.
The work of the insurance company consists of two main areas:
- Providing personal insurance services, including life and health insurance, as well as liability insurance for intermediaries.
- Services related to insurance of property and material assets, including real estate, cars and other vehicles, as well as financial risks.
The owner of an insurance company is free to choose which development path to choose, but it is better to start with a small range of services, supplementing it as far as possible.
How much do you need to invest in opening?
The initial costs of organizing an insurance company look like as follows(amount of authorized capital not included):
Calculations show that 37% initial capital will be used to pay for rent and office renovations. And this is completely justified, since the image of an insurance company plays a huge role in its future success in the market. Office equipment should be purchased of high quality from time-tested manufacturers.
Marketing plan
A competent marketing and promotion system aimed at expanding the client base is the key to the successful start of an insurance company and its subsequent active development. Exemplary marketing plan should be bold, even somewhat daring, and include the following aspects:
- Large-scale advertising campaign in all kinds of media - newspapers, thematic magazines, radio stations and local television.
- Creation of a website for an insurance company with a built-in online consultation function.
- Promotion in all well-known Internet search engines for medium and low-frequency queries, as well as the purchase of contextual advertising packages.
The above marketing activities will ensure the attraction of a large number of clients already at the stage of formation of an insurance company.
The insurance company will “live” on the insurance premiums of its clients. For a small city it is quite possible to recruit in the first six months client base 5000 thousand people. Average cost per month insurance premium from each client will be approximately 2000 rubles. Accordingly, the annual revenue of the insurance company will be about 10 million rubles. Part of this money will be spent on remuneration for agents, but these expenses are offset by profits from the provision of related services.
Production plan
The office of the insurance company should be spacious and decorated with a claim to discreet luxury. The usable area of the room is 150 “squares”, it is advisable to divide it into the following “compartments”:
- 20 sq. m to be provided for the office of the general director of the company.
- 15 sq. m to give to an accountant and lawyers.
- Place work areas for office managers on 50 “squares”.
- 10 sq. m allocated to the PR manager, head of the sales department and HR manager.
The office premises of the insurance company must have a fire alarm and an emergency fire extinguishing system, and it is also necessary to post an evacuation plan in case of a force majeure situation in plain view of everyone.
The work schedule of insurance agents, as a rule, is not standardized. Other employees of the insurance company work according to the regulations Labor Code RF. The most successful office schedule for an insurance company looks like this:
- Monday – Friday from 08:30 to 17:30.
- Saturday from 09:00 to 13:00.
- Sunday is a day off.
The list of insurance company employees is presented below:
| № | Job title | Number of people | Salary, rub. | Monthly payment fund, rub. | Payment per year, rub. |
| 1 | General manager | 1 | 70 000 | 70 000 | 840 000 |
| 2 | Head of Sales Department | 1 | 50 000 | 50 000 | 600 000 |
| 3 | HR Manager | 1 | 40 000 | 40 000 | 480 000 |
| 4 | PR manager | 1 | 40 000 | 40 000 | 480 000 |
| 5 | Office Manager | 3 | 20 000 | 60 000 | 720 000 |
| 6 | Lawyer | 2 | 30 000 | 60 000 | 720 000 |
| 7 | Accountant | 1 | 30 000 | 30 000 | 360 000 |
| 8 | Secretary | 2 | 25 000 | 50 000 | 600 000 |
| 9 | Insurance agent | 5 | 8 000 | 40 000 | 480 000 |
| TOTAL | 440 000 | 5 280 000 | |||
Calculations of income and expenses
This section of the insurance company business plan is devoted to the calculation material costs and potential profits from the work of this organization in a provincial city.
The main expenses of an insurance company are as follows:
Insurance company profitability small town calculated in this table:
Calculations show that the net profit of the insurance company after making all tax contributions should be about 1 million rubles. Menstruation net profit will be around 80-100 thousand rubles, and this is quite a decent amount, taking into account the specifics of running this business in small town. Accordingly, the profitability of the insurance company will be about 31%, and the payback period for this business project will be from two and a half to three years.
Possible risks
In itself, opening an insurance company in a small town is a rather risky undertaking - let alone maintaining its “operational capacity”. There are several fundamental risk factors that can seriously disrupt the full functioning of an insurance company:
- Pressure from competitors, contributing to the outflow of clientele.
- The risk of bankruptcy due to a sharp increase in insurance claims and, as a consequence, payments for them.
- Introduction of changes to legislation related to the activities of insurance companies.
- Declining level of well-being of the population, refusal of insurance by clients.
If an entrepreneur decides to open his own insurance company, then, most likely, its development will follow one of the opposite paths, corresponding to the expression “hit or miss.” Either success or complete failure. Unfortunately, the third option happens very rarely.
