A licensed individual who sells insurance policies on behalf of one or more insurance companies. Captive agents represent a single insurer, while independent agents can offer policies from multiple carriers, giving consumers more options to compare.
Related Terms
Binder
A temporary agreement that provides insurance coverage until a formal policy is issued. Binders are commonly used in property and auto insurance to ensure you are covered immediately while the insurer completes underwriting.
Broker
A licensed insurance professional who represents the buyer rather than the insurance company. Unlike agents, brokers shop the market across multiple insurers to find the best coverage and price for their clients.
Premium
The amount you pay to an insurance company to maintain your coverage, typically billed monthly, quarterly, or annually. Premiums are determined by factors such as risk level, coverage amount, deductible, location, and claims history.