What's the difference between an agent and a broker?
There are three different sources for your auto and home insurance (amongst other products). You can buy through a captive agent like American Family or State Farm. These agents have a limited product offering and limited choices because they represent only that carrier.
You can also buy through a broker. This gives you access to a wide array of products and and the longest list of carriers available. Brokers, however, do have a fees and/or commission and they have limited access to all of the service features that your policy might require. For that reason, brokers tend to be a great option for difficult to place insurance rather than your standard risks like auto and home insurance.
With an independent agent, you get the best of both worlds. Your independent agent usually represents between three and nine different insurance companies so if your rate increases or you have a concern about quality with one of those companies, he or she can offer a choice. It's easier for your agent to change carriers for you because all of your information is already available. Plus, your agent gets to know whats important for you and can assess many options to determine the best value for your needs. There is another bonus! Unlike brokers, independent agents don't have any fees or commissions that get added on to your premium. We get paid while we're servicing your policy-- it's a company direct rate and you still have that personal touch and human contact that you get with an agent.
Well, we hope this answers your questions about buying channels. We value your feedback and would love to have a conversation with you. Please give us a call or e-mail us if you would like to talk.
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