What is the difference between independent and captive insurance agents?

The difference between independent and captive insurance agents in South Dakota is significant. Independent agents are not tied to any particular insurance company and are not affiliated with any particular insurer. A captive agent, on the other hand, typically works for one particular insurance company, primarily selling the products of that company. Independent agents often have access to many different insurance companies, allowing them to shop around and compare prices and coverage to find the best fit for their clients. This gives them the freedom to provide customers with the most comprehensive coverage at the best rate. Independent agents also tend to have more flexibility when working with customers, since they are not bound by the same rules and regulations as captive agents. Captive agents are more limited in their ability to offer customers competitive rates and coverage options, since their focus is on their particular insurance company. Additionally, captive agents only have access to the products of the company they work for, so their customers may not be able to get the most complete coverage possible. Overall, independent agents provide customers with the most options and the most freedom when it comes to selecting insurance coverage. Captive agents are more limited, but offer a more streamlined buying process and typically have better relationships with their specific insurer.

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What is the difference between independent and captive insurance agents?

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