a business man sitting at a desk that has a open brief case, a laptop and a clipboard with paper that says insurance.

The Difference Between Insurance Brokers and Agents

When it comes to insurance, there are two main types of professionals you can go with: insurance brokers and insurance agents. Both brokers and agents are intermediaries between you and the insurance company, but they offer different services. In this article, we will look at the key differences between these two types of professionals. So, which is better for you: an insurance broker or an agent? Let’s take a closer look!

What Does An Insurance Agent Do?

An insurance agent represents insurance companies and sells their products to customers. Agents are usually employees of the insurance company and receive a salary, commissions, and bonuses from the insurance company based on the sales they make.

What Does An Insurance Broker Do?

An insurance broker represents the customer and not the insurance company. Insurance brokers work with multiple insurance companies and help customers find the best coverage for their needs at the best price. Brokers are usually independent contractors who earn commissions from the insurance companies based on the sales they make.

Key Differences Between Insurance Brokers And Agents

Now that we know what agents and brokers do, let’s look at some of the key differences between them:


As we mentioned above, insurance agents are usually employees of the insurance company they represent and are paid a salary plus commissions and bonuses. Insurance brokers, on the other hand, typically work for themselves or for a brokerage firm and are paid a commission by the insurance company based on the policies they sell.

The Number Of Insurance Companies

Insurance agents usually represent one insurance company, while insurance brokers represent multiple insurance companies. This gives insurance brokers the ability to compare rates and coverage from multiple insurers to find the best policy for their customers.

Customer Service

Since insurance agents are employees of the insurance company, they are typically more interested in selling policies that meet the goals of the insurance company rather than finding the best policy for the customer. Insurance brokers, on the other hand, work for their customers and not for insurance companies. This means that they are more focused on finding the right policy at the best price for their customers.

Unbiased Recommendation

Since insurance brokers represent multiple insurance companies, they can give you an unbiased recommendation of which company offers the best coverage for your needs. Insurance agents, on the other hand, are usually biased in favour of the insurance company they work for and may not give you the best advice.

Product-Specific Sales Obligation

Insurance agents are usually required to sell a certain amount of insurance products from the companies they represent. Insurance brokers are not obligated to sell any specific insurance product and can offer impartial advice on which products are best for your needs.

So, Which Is Better For You: An Insurance Agent Or A Broker?

If you want to be sure that you’re getting the best possible deal on your insurance, then working with an insurance broker is probably your best bet. They will help you find the right policy at the best price as they work for you, not the insurance companies. By choosing an insurance agent, you might not be getting what you need out of your insurance policy.


If you are looking for an insurance broker company, then Will Marshall Insurance Brokers has your back. We will work with you to make sure you are getting the best insurance policy for your needs. Contact us today to get started!

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