Researching various types of insurance and purchasing policies is not most people’s idea of a fun time. Still, insurance is serious business. And having the right policies remains one of the most important parts of protecting your family and your finances. When disaster strikes, you want to know that you’re covered.
So how can you make the insurance process easier, less expensive, and less stressful?
Easy. Work with an independent insurance agent.
How You Buy Insurance Matters
Before diving into what exactly an independent agent is, let’s talk about the way that most people purchase their insurance — directly from the insurance company.
In this day and age, purchasing insurance “direct” is the most common way of buying insurance. It essentially means that instead of using a “middleman” to help you find the right policy, you go directly to the insurance company, check out their policies, and find one that fits your needs. Companies like Geico and Esurance offer this type of insurance.
So what’s the problem with buying insurance direct? Essentially, when you purchase insurance directly from an insurance company, you’re not getting any assistance. Unfortunately, all types of insurance are extremely confusing. And the plan that you pick may have holes in coverage that you don’t notice because of all of the fine print. Similarly, you may not realize that you’re not purchasing a plan with adequate limits. You might even choose a policy that’s way overpriced. But because you’re only working with one company, they won’t tell you this.
There is another way to purchase insurance, and that’s with what’s called a captive agent. A captive agent is like an independent agent, but there’s a key difference. Captive agents work with only one insurance company. That is, a captive agent in your area may only work with State Farm insurance. While they will be able to help you pick out a policy that meets your needs within the State Farm framework, they’re not going to check other insurance agency prices, and again, you may end up overpaying.
The Benefits of Working With an Independent Insurance Agent
Independent insurance agents are individual, locally-based insurance agents who sell various types of insurance policies from a variety of insurance companies. In other words, they don’t work for any one company in particular; they work for you, and they want what’s best for you. These licensed as experts will give you a choice between a multitude of policies, with personal advice about which policy you should choose.
Furthermore, independent agents offer one-stop shopping for insurance. They can help you with home insurance, renters insurance, business insurance, auto insurance, and many other insurance types. If you end up purchasing a policy but the rates go up over time, you can simply cancel it and tell your agent that you want to look at other options instead of completely moving on to a brand-new agent or company.
While it’s true that your insurance agent does charge a commission, it is still much more fiscally advantageous to go with an agent. That’s because they’ll be working for you to find you the best bang for your buck when it comes to all types of insurance. In the end, you will inevitably be saving money.
If you’ve had a positive experience working with an independent insurance agent, be sure to tell your friends and family about it. Many people assume that independent agents don’t exist anymore because it’s so common for people to flock to the Internet to purchase their insurance.
And if you’re not yet associated with an independent agent but would like to be — give Main Street Insurance a call today or stop in to learn more about how we can help you find the best insurance for your needs.