What is the difference between an insurance agent and a broker?

In Florida, an insurance agent and an insurance broker are two different types of people who deal with insurance matters. An insurance agent is an individual who typically works for an insurance company and is responsible for selling and servicing policies that are offered by the insurance company. The insurance company pays the agent a commission for the policies sold and serviced. An insurance broker, on the other hand, is an independent professional who represents the insured party and typically works with several insurance companies and compares the different policies available from those companies to get the best coverage for the client. The broker typically charges the client a fee for the services they provide. The primary difference between an insurance agent and a broker is that the agent is employed and paid by the insurance company and therefore provides service and advice to the company and their clients. The broker is an independent contractor and works on behalf of the insured party. Additionally, an insurance agent typically specializes in certain types of insurance products offered by the company they work for, while a broker is more likely to have knowledge of different policies from multiple companies.

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What is the difference between an insurance agent and a broker?

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