What’s the Difference Between a Broker and an Agent?

When you’re shopping for insurance of any kind, it can be difficult to know where to start, what kind of coverage you need, and where to get the best deals. This is why both insurance brokers and insurance agents exist. So what’s the difference between the two? Read on below to discover which insurance professional you should trust with your business or personal insurance needs.

 

Insurance Brokers

 

First, let’s talk about brokers. An insurance broker is a completely independent professional who partners with multiple companies that sell insurance. This is great for you because you will have access to a huge range of products, plans, options, and price points. Brokers shop around to find the best deal for you or the best coverage possible at your desired price. In addition, brokers know the ins and outs of the insurance business and know how to find deals and discounts on every type of insurance. The broker will let you know if you qualify for any discounts and can help you claim them.

 

Brokers have also spent their entire careers dealing with insurance companies and can help you cut through the jargon and confusing policies to find the best option. You can rest assured you will be in good hands with an insurance broker.

 

In addition to a wealth of experience, brokers also have to pass licensing exams so you know they are well-versed in every situation in the insurance industry and can get you set up with the best coverage.

 

Insurance Agents

 

The main difference between an insurance agent and an insurance broker is that an agent represents a single insurance company.

 

The biggest disadvantage of using an insurance agent is that an agent does not have a range of services and products from different companies to offer. This can make you feel as if you are not getting the best deal because the options for shopping around are very limited. Your coverage options and price will be extremely limited with an agent who only works for one insurance company.

 

While an agent does have to get a license, brokers are required to complete many more courses in order to obtain theirs. Therefore, brokers can be more qualified and have much more experience than agents.

 

Which should you go with?

 

While there are advantages and disadvantages to both insurance brokers and insurance agents, the choice is clear. An insurance broker will be able to offer you the widest varieties of coverage options and price points and will work with you to find the plan that is right for you. They are not limited by working for only one company like an agent is.

 

If you’ve decided to go with an insurance broker, there’s no better choice than Frontlight Insurance. Frontlight is a one-stop shop insurance brokerage offering sophisticated council and advice grounded in an analytical approach. We place the needs of our clients above all else and make sure we get you the best deals and coverage possible. We cover the full range of services from auto, personal, commercial, and property insurance to risk management, employee benefits, and consulting. Give the experts at Frontlight Insurance a call today at 310-684-5799 and find out how we can help solve your risk and insurance challenges.