Insurance Agent Vs Insurance Company: Which Is Right For Your Business?

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First, you need to decide whether to buy insurance through an insurance agent. Or directly from a company. The differences between them can have a major impact on your trucking business, even though they might seem similar. This article will help you choose the best option for your trucking business.

Coverage.

If you buy trucking insurance directly through a company, it is also opting to buy one the standard insurance packages. These packages are not meant to be customized. You might need to purchase coverage that you don’t require in order to get the coverage you need.

Contrary to popular belief insurance agents are not able to negotiate a policy rate. The agent will however be able provide you with a range of options at different price points. Agents can access other carriers policies and tailor the policy to your specific needs. The agents might also be able to reach out and contact insurance companies that aren’t well-known or may not know. This allows them the opportunity to offer additional coverage options to the insured (you).

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Pricing.

As we’ve already mentioned, if you buy standard insurance directly from an insurer, you might be overpaying. The package may not be tailored to your specific needs so you might have coverages that you don’t need or want. Also, these agencies won’t be able to show you rates from the employer when you renew your policy. It is their job.

Agents are independent businesses and must earn income by charging their insured for the services they provide. Even with an additional fee, a premium can be cheaper through an agent, sometimes up to 25%, due to their ability price shop. Independent agents can also reevaluate your premium using new rates from multiple insurance companies. This increases the likelihood of cost savings.

Experience.

The experience is one of the most important differences between buying directly and through an agent. One, if you call an insurance company to discuss your coverage, chances are that you will be transferred to a call center representative. Yes, you will speak with someone who has passed all the same exams as personal agent agents and can therefore address all your needs. But, the most important difference is that you won’t be talking to the same person the next time.

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Working with an agent, on the other hand allows you to build a personal relationship because you know you will be speaking to the agent or a member of their small team when you call. These agents will know your policy and not just read information from a database. Insurance agents are there to represent you in a claim.

Time.

You have probably seen commercials that promise a quote within 15 minutes. It is therefore logical for some to purchase insurance online. It means that you spend 15 minutes looking at each company’s website to find the best price. This is not only time-consuming but also results in multiple companies having access to your personal information (phone number and email address).).

An independent agent will search for you. Although it can take some time, the agent will do the searching for you. Trucker careers are complicated by the time factor. Agents understand this and can often be quicker in processing certificates and binding.