It was a win for our company and a win for our people. â€œCaptiveâ€ agents*, on the other hand, represent their own insurance companies. There are not enough adjectives to say how great it is to work with BBG. A broker can guide clients on these decisions, and provide a range of quotes based on the client’s needs. Insurance Agent vs. Insurance Broker The big difference is who they work for . For example, a broker can explain to an individual exactly what types of risks a homeowner’s insurance policy will cover and what it will exclude (such as acts of god, intentional acts, negligent acts, slip and falls, loss of theft of valuable items, etc.). They were able to provide great benefits and cost saving for our employees as well! If you work with a broker to buy homeowners, automobile, health, business, life or any other type of insurance, you will not pay them a fee for the services they provide. Representatives of AIC do not provide tax or legal advice. Brokers are available no matter your insurance needs. Analysing your business risks 2. A typical broker/client relationship could include many of the following: 1. An insurance broker makes money off commissions from selling insurance to individuals or businesses. Using a broker eliminates the stress of learning about different types of insurance, and makes it easy to figure out what insurance will work for you.  However, some states consider the provision of services that are unrelated to the insurance procured through the broker to be an impermissible rebate or inducement. Brokers are licensed by the state or states in which they operate, and they are required to represent their clients’ best interests. An insurance broker’s role is to act on behalf of their clients to help them with a range of insurance and risk related issues. However, a broker has an entirely different role from an insurance agent. We've used BBG for our business benefits & insurance for almost 2 years. Unlike insurance agents, insurance brokers do not work for an insurance company. The agent represents the company, not the buyer. Most states require insurance brokers to take continuing education courses in order to maintain their license. Insurance Broker vs Agent: Background. This duty helps to ensure that a broker will steer clients to the best insurance for them, rather than to a particular company or to a specific policy. Insurance brokers and brokerage firms have a higher responsibility for helping you choose the best financial product that fits your needs. Since the insurance company does not pay the broker, they cannot be held liable for their actions. Most states require anyone who sells, solicits, or negotiates insurance in that state to obtain an insurance broker license, with certain limited exceptions. An insurance broker is an independent insurance agent who works with many insurance companies to find the best available policies for his or her clients. If you have a few specific health conditions, your agent or broker should know which companies and products will … Brokers work on behalf of their clients, not for insurance companies, and can be relied on to provide professional advice in your best interest. With access to a variety of technology-based tools, brokers can make it simple to compare various options to determine which policies would best fit your needs. Their role is to help guide clients objectively towards the right insurance policy to suit their financial needs and lifestyle, by comparing the products on offer and finding the best level of cover available. It usually is between two and eight percent of the premium. Health insurance brokers work with multiple carriers, and are typically not paid more by one carrier vs. another. Whether you are concerned about your company being sued for selling a defective product or about what would happen if you had a fire at your house, an insurance broker can address each of these issues and can build a comprehensive insurance plan to make sure that each and every one of your liabilities concerns is addressed. Insurance brokers are individual entities. When searching for insurance solutions, buyers often assume that because it is the most “direct” approach to purchasing insurance, buying directly from an insurer is likely cheaper and less time consuming than buying through a broker/agent. Any person or firm authorized by the Authority can now call themselves an insurance broker. Armed with this information, clients can find the most appropriate insurance purchase for their liability needs and budget. We highly recommend them and look forward to our continued partnership! They provide excellent and timely service for all our corporate insurance needs. The BBG team is able to work medical benefits, Defense Base Act, property insurance and anything HR related, all of which continue to make life easy for Small Businesses. The Business Benefits Group is top notch. We highly recommend BBG! Knowing the difference between an insurance agent and an insurance broker is the key to understanding how you as an insurance policyholder can make the best use of their services for the purchase of a new insurance policy and for other financial requirements. An insurance broker sells, solicits, or negotiates insurance for compensation. A criminal conviction, for example, may result in a state determining that the applicant is untrustworthy or incompetent. Most people are familiar with or have worked with an insurance agent at some point in their lives. I recommend her to everyone. That is because insurance companies know that brokers have the experience to guide their clients to the right policies with the proper level of coverage. 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