With everything now online, large insurance firms are more and more accessible. So why use an insurance broker anymore? Well let’s go over some of the biggest advantages.
But First, What is a Broker?
An insurance broker is a client representative. This means that they are more interested in a satisfied client then in a happy insurance company. They aren’t particularly loyal to one brand or another and can be a great resource to clients because of this. This differs from a captive agent (an insurance agent that works inside one of the insurance companies). Their loyalty is to the insurance company over the client. They don’t have the freedom to shop outside companies or to always offer lower rates. Whether you are dealing with a broker or a captive agent can greatly impact your insurance experience.
So let’s get on to the broker advantages…
Sure, you can get quotes from many major insurance companies, but that takes time. You will need to navigate through multiple web sites and fill out lengthy quote requests. And since you don’t work in the industry, you may not know all of the companies available to you (and who is the best company for your circumstances).
An insurance broker saves you time. They know about the industry and may already have an idea of where to turn for the best coverage (or, really, the most affordable). They are also well-versed in circumstances specific to you, like a recent DUI or other high-risk activities, that might make securing insurance difficult.
Not only will an insurance broker save you time, but they can also save you money. By shopping multiple companies and policies, they can help you find the best coverage for your situation.
An insurance broker also helps fight “price optimization”. Price optimization is basically pricing of insurance based on non-risk factors, like if you were willing to renew last year’s insurance even though they raised your rates (you can read more about the practice here). With a broker, price optimization is more difficult since they can shop multiple companies at once. If your rate increases, you can return to your broker to re-shop the market. There is never a need to pay a larger bill because you don’t have the time or access to lower rates.
#3. Personal Service
Okay, maybe you’ve got time to search and you aren’t worried about cost. The question still hangs, “Why use an insurance broker?” One big factor you’ll usually miss with big insurance companies: personal service. You can sit down with a broker (in person, no virtual stuff here) and go over your needs. If questions pop up, you can ask them immediately. Since brokers usually serve a smaller number of people, they can be better at responding quickly to calls and emails too.
#4. One-Stop Shop for All Insurance Needs
Similar to above, a broker allows you the opportunity to shop for all of your policies through one agency. Want to add earthquake coverage? Done. Need DUI insurance? No problem. Just bought a boat? Check. You can have access to multiple forms of insurance, all through one broker!
Ready to see what an Omni Safe Insurance broker can do for you? Give us a call at 877-728-9966 or visit our website.