What is the difference between independent and captive insurance agents?

Independent and captive insurance agents are both important players in the insurance industry, but they each serve different roles. An independent insurance agent is someone who works for themselves, and does not hold any loyalty to one particular insurance company. They have the freedom to work with multiple companies, and they can shop around for the best coverage that meets the needs of their client. Because of this, independent agents can be more cost-effective for the customer. A captive insurance agent is an agent who works directly for one insurance company. They do not work with any other companies, and instead, they act as a salesperson for that one company. Because of this, they can be more knowledgeable about the coverage that the company offers. This can be beneficial for clients who are looking for specific coverage that only that company can provide. Overall, both independent and captive insurance agents can be an asset to the consumer. However, the customer’s individual needs will dictate which agent will be the most beneficial to them. Independent agents provide the advantage of multiple companies, while captive agents specialize in one company.

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What is the difference between independent and captive insurance agents?

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