What Is an Auto Insurance Broker by bettysampson


									What Is an Auto Insurance Broker?
When you need to buy car insurance, you have the choice to work with an insurance agent or an insurance broker. While they both can provide
you with an auto policy, the way that they go about it varies. Brokers can often provide you with more options and possibly save you money.

Agent vs. Broker
      o                  An insurance agent is an individual who works for a specific insurance company. This individual is also referred to as a
            captive agent. A broker is someone who sells insurance for many different companies at the same time. Brokers are not affiliated
            with only one insurance company but can sell policies from all of the companies that they contract with. Their customers can gain
            access to many more policies than those who work with insurance agents.

Finding Policies
      o                   When you work with an auto insurance broker, you can tell him exactly what type of policy you are looking for. You can
            make a list of the features that you want in a car insurance policy, and then the broker will go to work. The broker will look through
            the various types of insurance policies that he has available. When the broker finds a policy that matches the criteria that you have
            set forth, he will contact you with the information.

      o                 In exchange for the services that they provide, insurance brokers are compensated in various ways. Many insurance
            brokers receive a commission for each sale that they bring in. Others also receive a small percentage of the monthly premiums that
            you pay the insurance company. This allows auto insurance brokers to create a source of residual income for themselves over the
            long term.

      o                   One of the benefits of working with an auto insurance broker is that she is independent. The broker does not work for
            one particular insurance company, which means she will not have any bias toward any one type of company. Auto insurance
            brokers will truly be interested in helping you find the best policy for your needs. They can look at your situation and recommend a
            policy based on your particular circumstances.

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