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

In Indiana, an insurance agent and a broker are two different types of professionals that work in the insurance industry. An insurance agent is an individual or a company that sells policies to customers on behalf of an insurance company. An insurance agent is generally limited to selling policies of a particular company, such as a home insurer or an auto insurer. An insurance agent is compensated through commissions. On the other hand, an insurance broker is a professional who acts as a middleman between the customer and the insurance company. A broker is an independent professional who can present multiple insurance companies and policies to the customer for comparison. Unlike an agent, a broker does not represent a specific company, and they are compensated through fees and commissions. Overall, the primary difference between an insurance agent and a broker is that an agent is hired by, and represents a single insurer, while a broker works with multiple insurers and doesn’t represent any particular insurer or policy. A broker’s main role is to find the best insurer, policy, and coverage for the customer. An insurance agent usually just presents the policies offered by a single insurer.

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

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