The short answer
Insurance lead programs come in four main types. Exclusive leads go to one agent only. Shared leads go to several agents at once. Aged leads are older and cheaper. Live transfers connect you to a prospect on the phone in real time. Each one trades price against how easy the person is to reach. Before buying any, ask what kind they are, how fresh, whether they're exclusive, what they cost, and whether buying them is required.
Why leads matter so much
Picture two new agents with the same license and the same training. One spends her mornings calling people who filled out a form an hour ago. The other spends his calling a list of names that six other agents called last week.
Same effort, very different days. That's why lead programs deserve as much attention as contract levels when you compare organizations. They shape how you spend most of your time.
The four main types
| Type | What it is | Typical tradeoff |
|---|---|---|
| Exclusive | Sold to one agent only | Higher price, no competition on the same prospect |
| Shared | Sold to several agents | Lower price, a race to call first |
| Aged | Older leads, often weeks or months | Much cheaper, much harder to reach |
| Live transfer | A prospect connected to you by phone in real time | Highest price per lead, a conversation right away |
Exclusive leads
The prospect filled out a form, responded to a mailer, or clicked an ad, and only you receive their information. You're not racing other agents, which means you can take time to build trust. The tradeoff is price.
Shared leads
The same prospect is sold to several agents. The first to call often wins. Shared leads reward speed and persistence, and they can feel crowded. Prospects who get five calls in ten minutes are sometimes annoyed before you say a word.
Aged leads
Leads that are older, often 30 days to several months. They're cheap because most people won't answer. But some do, and agents with a disciplined follow-up system sometimes work them well. See a follow-up system for leads who don't buy today.
Live transfers
A call center reaches the prospect, confirms basic interest, and connects the call to you. You skip the dialing. You pay more for each one, and you need to be ready to talk the moment the phone rings.
Where leads come from
Most leads come from a few sources: direct mail, online forms, social media ads, and television or radio ads. The source shapes the conversation. A homeowner who returned a mortgage protection mailer is in a different frame of mind than someone who clicked a social media ad. See mortgage protection leads explained.
Questions to ask before you buy
- What type is it? Exclusive, shared, aged, or live transfer.
- How fresh? How many minutes or days old when you receive it?
- Where does it come from? Mailer, web form, social ad, TV?
- What does it cost, and is there a minimum?
- Is buying leads required to stay with the organization?
- What happens with bad data? Wrong numbers and duplicates happen. Ask about replacements.
If an organization won't answer these in writing, see IMO red flags.
Leads are only half of it
A good lead called late is a bad lead. Agents who do well with any lead type have three habits: they call fast, they follow up many times, and they track every attempt. The lead program you choose matters. What you do with it matters more.
How lead costs fit your budget
Leads are a business expense, like inventory. Before you buy, decide what you can spend each month without stress, and treat it as an investment you'll measure, not a bill you'll hope pays off. Ask every organization you're considering how its lead program works, and add the answers to your comparison from how to choose an IMO.
Where Ridgewell fits
Ridgewell is a remote, independent insurance agency. Agents work online from anywhere they're licensed, helping homeowners with mortgage protection, mortgage payoff planning, and life insurance, with training, a lead program, and an AI assistant.
Ridgewell costs $99 a month, plus the cost of any leads you choose to buy. You also pay your own licensing and exam fees. Agents are independent contractors paid by commission only. See how Ridgewell's lead program works and compare it with your other options.
Where to start
Write down the six questions above and send them to every organization you're considering. Compare the answers in one table before you spend anything on leads.
To see Ridgewell's answers, watch the free overview.
General information about insurance lead types. Lead quality, pricing, and availability vary by vendor and organization. Buying leads does not ensure sales. Agents are independent contractors paid by commission only. Results vary.
