When buying insurance for your car, do you seek the help of an auto insurance agent, or do you opt for a broker? While both are experts in the market, an agent is different from a broker in the ways below.

Differences Between the Two

While both serve as a link between an insurance company and potential insurance buyers and have state licenses permitting them to sell policies, they are different. The difference is in who they represent. An auto insurance agent serves the interest of an insurance company, while a broker serves their customer's interest.

All About an Auto Insurance Agent

The agent serves the insurance company and sells the policies to potential buyers. They provide in-depth and accurate information on different policies available in the company they work for.

Insurance agents sign contractual agreements with their employers. The agreements contain the specific insurance policies they can sell and their compensation plan. There are two main categories of agents—a captive agent who works for one company and an independent agent who serves multiple companies.

An In-depth Look into Insurance Brokers

When contracting the services of a broker, they will assess your car and assess the different risks your car is highly exposed to, and according to your unique needs, make recommendations. By law, a broker must choose products that safeguard your interest. Brokers are independent, and thus, do not serve one insurance company. They go to various companies, compare plans and quotes to find a plan that fits their client.

Advantages of Seeking the Services of an Auto Insurance Agent Over a Broker

• Saves You Money: Agents can get you the policy you desire at discounted rates. Alternatively, if you are unsure of the company you would like to buy your policy from, an independent agent can make comparisons for you.
• Spend Less Time Finding an Insurance Policy: Rather than spending a lot of time researching, agents can consolidate your needs and offer you a policy.
• Different Options: When uncertain of the policy you should get, an independent agent can offer you different options depending on the policy you need and coverage preference.

Get Your Auto Policy from A Reliable Auto Insurance Agent 

Now that you understand how an insurance agent differs from a broker, you can purchase your insurance from either. However, seeking the services of an auto insurance agent will save you time, money and presents you with numerous options. Contact services like Kesner Insurance Agency Inc to learn more.