While it is generally understood that insurance is a necessity in life, there are some specific and important insurance topics that are not generally understood. This post will discuss some frequently asked questions regarding one of those topics: independent insurance.

What is an independent insurance agent?

An independent insurance agent sells insurance policies from multiple insurance companies. With an independent agent, there are many more options that can be provided to you compared to a captive agent.

What is a captive insurance agent?

A captive insurance agent is limited to sell insurance policies from a single insurance company. Insurance companies such as State Farm and Allstate are where you would find a captive agent.

Do independent insurance agents work for more than one company?

Yes, independent insurance agents work for multiple insurance companies. While not every insurance company works with independent insurance agents, independent insurance agents can choose to work with as many or as few insurance companies as they desire.

How does an independent insurance agent work?

An independent insurance agent serves as the “middleman” between you, the insurance client, and the insurance companies they work with. By simply contacting an independent insurance agent the same way you would contact a captive agent, they can get multiple insurance quotes pulled for your benefit.

Do independent insurance agents charge a fee?

Typically, independent insurance agents do not charge a fee. It does not cost any more to use an independent insurance agent because they are compensated directly by the insurance companies they are appointed with. In rare circumstances, regarding commercial policies, sometimes independent insurance agents will charge a fee. Contact us if you have any questions.

How do independent insurance agents make money?

Independent agents receive commissions for the insurance policies they sell. They are also not considered employees of any specific insurance company which means you will be receiving a much higher standard of service.

Why choose an independent insurance agent?

Independent insurance agents are truly the consumers friend. Here are just a few benefits and reasons why you should choose to shop for insurance with an independent agency.

  • Independent agents are not limited by one insurance company and, therefore, not obligated to sell you on one type of insurance policy. Since independent insurance agents shop for insurance policies on behalf of the consumer, they also tend to be much more connected with their clients compared to captive agents.
  • If you aren’t familiar with how insurance works and are looking for an insurance guide to help you navigate through coverage, independent agents can provide you a much more tailored and personal experience than captive agents. Independent insurance agents can offer a variety of products while captive agents only have their company’s product to offer you.
  • Whether you are shopping for personal insurance or commercial insurance, working with an independent insurance agency can save lots of time and money. You may have a unique situation that may take a lot of time and research to find what you need. Alternatively, you may just be trying to find ways to save on your insurance. No matter the case, independent insurance agents can serve you.

Kim Peters, Michelle Hancock, and Ryan Stueber - Founders of PNW Insurance Group

The independent insurance agents here at PNW Insurance would love to work with you! We are proud to serve clients in Puyallup, Ferndale, Monroe, Maple Valley, Tacoma, Spokane and all over the state of Washington. If you need insurance, get a quote, or contact us today with any extra questions you may have. We are here to serve you and are happy to help in any way we can!