If you’ve ever gone online to buy insurance, you know how frustrating the experience can be. In and of itself, shopping for insurance is not most people’s cup of tea.
But what if we told you that you could purchase all of the insurance you need in your life, quickly, efficiently, and in one place? P.S. You’ll also be getting the best value for your money. Sounds great, doesn’t it?
It’s all about how you shop for insurance, and more importantly, who you shop with.
In the following article, we’ll show you how smart shoppers buy their insurance. But first, let’s go over some definitions.
Direct Buy Insurance, Captive Agents & Independent Agents: What Does It All Mean?
Insurance is a complicated industry and, therefore, so is the terminology associated with it. Below, we’ll define three terms that you’ll see a lot when researching various ways to buy insurance. These also happen to be your only three buying choices when it comes to purchasing insurance policies of nearly any kind:
Buying insurance option 1: Direct Buy Insurance
When someone says they buy their insurance “direct,” this means they get it directly from an insurance provider. This can be achieved by going online to the provider’s website (for example, Esurance or Geico), or it can be done by calling their central call center on the phone.
Buying insurance option 2: Captive Agents
The process of working with a captive agent is more personalized. When someone buys their insurance (auto, home, travel, etc.) from a captive agent, they mean that they have a specific, local agent who helps them with their insurance needs. They buy their insurance through this captive agent from the one, singular insurance provider that the captive agent writes policies for. This is a key point: Captive agents work only with one parent insurance company.
Buying insurance option 3: Independent Agents
Finally, when someone buys insurance with an independent agent, this means that they again, work with a specific local agent. The only difference between independent agents and captive agents is that the former works with numerous insurance companies. This allows them to pass on a number of plan options (from various companies) to their clients.
How Independent Agents Are Different
It is true that there are pros and cons to each of the insurance buying options listed above. But remember that one option stands out above the rest when it comes to service, value, and quality coverage. You guessed it — it’s option 3: Independent Agents.
So, why is it always best to work with an independent agent? Here are the top reasons:
- Local knowledge
Not only is it nice to have a local agent because you can visit their office easily, but it’s also positive because agents know the area and can assist with you with local issues (for example, possible coverage options unique to your area).
- Extensive choices and excellent value
The choices an independent agent can provide you with are invaluable. They’ll be able to show you many plan options and reduce unnecessary coverage while providing you with added protection you may not have known you needed. As a result, you’ll actually be getting a much better value for your money — even after you factor in the commission your agent earns.
- True Independence
Your independent agent isn’t being tugged this way and that with allegiance to a specific provider. Their core goal is to assist you in getting the absolute best coverage and options possible. In this way, they’re permitted to offer you pure, unbiased advice.
Andreotti Agency is your local independent insurance agency. Come to us for all your insurance needs and our highly qualified agents will help you find the coverage and limits you’re looking for! Stop in to see us today, or feel free to give us a call.
