Purchased insurance leads can be an effective way for motivated agents to keep prospecting for new clients. Every agent’s goal should be to get in front of as many potential customers as close as possible to when that customer is ready to buy insurance.

But how to know which insurance leads to buy? Sometimes the insurance leads from reputable insurance marketing companies are sourced using compiled information, such as public records. Other sources may include self-reported information, such as surveys or questionnaires filled out on the internet

Which type of lead-gathering is best?

The only way to realize which is best for your insurance agency is to try the time-honored method of test-test-test. It may sound boring and mechanical, but unless you track the leads and the conversions, as well as how you responded, and then how many closed deals you have, you won’t know the true value of a lead. Think in terms of process.

Unfortunately, most agents lack the discipline to truly track the leads in two critical ways:

1. They don’t track enough leads over time. 2. They don’t accurately compare apples to apples.

In order to combat 1, it’s better to track a lead source for at least two to three months to know how it’s truly converting for you.

To get a handle on #2, you need to record-record-record. How was the lead sourced? How was your agent follow-up? Did your agency drop the ball somewhere along the line (be honest).

Remember, there’s lots of lead companies in business because their leads work for some agents. You need to do the homework to know if they’ll work for your insurance agency.