How would you create the perfect insurance lead? Most agents would request a lead that is inexpensive, easy to obtain, and from a prospect looking to purchase coverage right away. Do you think this is just a fantasy? Not anymore! Today it’s a reality. In fact, it’s been a reality since the advent of the Internet (or online) lead source industry in 1998.

In the past, insurance agents have received leads via traditional marketing methods: expensive media advertising, frustrating cold calling, and the use of often stale and ineffective mailing lists. These sources are drying up, as each is becoming more expensive, just as it is becoming less productive as well. Some of them demand time and energy that would be better spent actually selling and closing clients, while others put individual agents and small agencies into competition with larger, far-better funded, national companies.

Fortunately, the same technological revolution that’s reshaping the world is leveling the playing field for insurance agents. Let’s take a look at how online insurance leads work:

1. Agents sign up with companies like NetQuote and agree to pay a fixed amount per lead for exactly the type of consumer they want, in the exact area they service, for the exact line of business they desire.
2. Consumers go online to research and compare costs for any type of insurance they and their families need. They fill out quote request forms on websites they recognize, and those websites – or online lead aggregators – deliver the prospects’ information to agents with whom they do business. (Note: Many online lead aggregators have significant advertising budgets in order to drive traffic to their websites. For instance, NetQuote – the industry leader – spends well over $50 million per year on marketing to online insurance shoppers.)
3. Agents receive leads in real-time and can immediately make contact with these “hot prospects” who are ready-to-buy. Many agents will use a comparative rater to find the best quotes for each prospect, a lead management system to better manage their leads, or an agency management system to better manage their customers and prospects.
4. The most effective agents make quick contact with prospects, gaining a decisive advantage over the competition.

As for the title of this article, Internet leads are “better” because they are from prospects that agents want most: prospects that are targeted, pre-qualified, and ready-to-buy. Internet leads are “cleaner” because the questionnaires used by the best online lead services, like NetQuote, are extremely detailed, eliminating many unwanted applicants. They are “faster” because they deliver leads in real-time and in a format that can be used in integration with an agency’s insurance systems (e.g. rater, lead management or agency management systems), saving valuable re-keying time and significantly reducing errors and omissions.

In short, thanks to technology, the online insurance lead process is a match made in heaven for agents and consumers alike. As a member of NetQuote’s nationwide network of insurance agents, you’re already a huge leap ahead of your competitors. But also consider some of the other tools that are available to you, like insurance systems. Within online leads and online tools, you’ll have even more time to focus on building your book and watching your agency grow.