The only way to buy car insurance before the internet was through an agent. There are many online options that offer insurance shopping alternatives. Online shopping for car insurance has grown in popularity because it’s convenient, affordable, and quick. Are insurance agents still necessary in today’s digital age?
It’s a smart idea to look at different options for purchasing insurance. Each method has its advantages and disadvantages. Car insurance is required by law. There are many policy options. It is important to know what kind of coverage you get at the time of purchasing.
Sources for Car Insurance
Independent Agent
Independent agents can sell insurance through multiple carriers. While some agents prefer to work for one carrier, they can still do business with other carriers to meet their clients’ needs. Independent agents are more direct than insurance carriers. This gives clients greater flexibility to search among different insurance companies in order find the right fit. Clients receive personal services, which are provided by an agent who is available twenty-four hours a day.
Captive Agent
Captive agents work for one primary insurer and sell insurance. These agents work for one carrier, such as Allstate or Nationwide. Agents work directly for their carriers, and they are responsible for bringing in new customers and business. Most big carriers offer 24-hour customer service, but each agent takes care of individual clients’ needs.
Direct Online
Online insurance purchases are free from agents. Clients do all of the work in determining which insurance they require and providing their personal information online. Progressive and Esurance are two of the most popular online insurance companies.
The Benefits of an Agent
Local Knowledgeable Service
It is great to have an agent that lives in your area. Agents can help you find the right mechanics or body shops and will be able to relate to your needs.
Personalized Service
Personal service is an advantage, especially in the insurance sector. It is refreshing to be able to speak to someone face-to-face, even though there are many automated services available. Many questions can arise when you are dealing with your car insurance. Communication with your agent is key to establishing a strong relationship.
Cash Payments
Today, most payments are made by check or credit/debit card. Some prefer to pay in cash, and most agencies will accept that form of payment.
Multi-policy Coupon
Multi-policy discounts are another advantage to having an agent. Agents are more likely to sell insurance products that cover cars, homes, recreational vehicles, as well as financial services. This allows you to get a multi-policy discount. Online services may not be available for homeowners and individuals interested in financial products. This can limit the ability to bundle discounts.
Benefits of Buying Direct Car Insurance
Convenience
It is easy and quick to purchase car insurance online. Numerous services offer instant quotes from multiple carriers, allowing clients to compare rates and coverage while choosing the policy that best suits their needs. This is a faster way to purchase insurance than giving all your information to an agent, and then waiting for a call back.
Savings
You can get lower rates by purchasing your car insurance online. Direct carriers don’t pay commissions, and the savings are often passed on to customers. It is important to research which companies offer the best car insurance for your needs.
Because of the technology available today, insurance agents are no longer required to sell insurance. It all comes down to your personal preference about how you want to buy insurance, and whether or not an agent is necessary. Online purchasing can be a great way to save time and money if you are able to understand the terminology involved in different policies. It is beneficial to shop online with an agent who can offer specialized service and answer your questions. You should also explore all options when shopping for insurance to get the best rates, lifestyle fit, as well as friendly service.