Insurance Agent

Insurance agents help customers choose and buy insurance policies, explain coverage, collect premiums and sometimes assist with claims. They are usually paid commissions by the insurers whose products they sell.

There are two main types. Captive or tied agents represent a single insurance company and sell only its products. Independent agents represent several insurers and can offer a wider range of products, although still only from the companies they have agreements with.

For example, a family looking for home and car insurance might visit a captive agent for a large insurer, who offers that insurer's policies, or an independent agent, who compares policies from several insurers.

The key difference from an insurance broker is whom they represent. Agents legally represent the insurer, while brokers typically represent the customer and search the wider market. In practice, the distinction varies by country and the terms are sometimes used loosely. Agents must usually be licensed and follow rules on disclosure and conduct.