Before I started working in insurance, I wouldn't have been able to tell you the difference between an insurance broker and an insurance agent. I figured they were basically the same, people who sold insurance.
Let's be honest, like many people I found insurance both too uninteresting and too complicated to put the effort into finding out if there was a difference.
So kudos to you if you're reading this and making the effort to be better educated about insurance.
It was only after I posted a picture on FB that included the words 'insurance agent' that I realized that 'agent' and 'broker' are not the same thing. I was quickly contacted and told by one of our brokers that we were NOT agents.
"So what's the difference?' I said.
I'm glad you asked. An insurance broker is someone who represents a variety of insurance companies. An insurance agent is someone who represents a single insurance company.
So there is a difference, but why should you care?
Using an agent is like going to a store to buy a shirt and having to pick a shirt based on what's available only at that one store. You're going to be limited as far as size, color, material and price.
Using a broker is like having a personal shopper visit all the stores in the mall with your size requirement, color and material preferences, and budget. Armed with this information your personal shopper scours the mall to find you your new favorite shirt.
Personal shoppers are expensive right? Well not in this case. In this case your personal shopper is more like your best friend who absolutely loves shopping and just wants to help you out because that's what friends are for.
There is no extra cost to you for all the services that your broker provides. Like a great friend, they don't want you to get ripped off so they negotiate on your behalf to get you the fairest price.
"Don't buy that shirt! I can find you I much nice one. You are so lucky you have me..."
When I went to buy a laptop I didn't go alone. I don't know the first thing about laptops so I brought my nerdy friend with me. Why? Because then he could talk to the sales people, translate their laptop mumbo jumbo into English and get me the best deal. If my computer ever broke down I wouldn't show up to the repair shop alone, I would call up my computer savvy friend and get him to come with me. Why? Because I don't want to get ripped off and I know that won't happen with my friend.
Your broker is like your computer savvy nerd friend that you drag along when you go to buy electronics. Let them talk to the sales people about policies and premiums while you go grab a coffee, confident in your friends ability.
Your personal shopper loves to shop and is an expert in fashion. They know where to find the best deals and about all the new trends. Your broker has a broad understanding of what companies are offering because, like your fashionista friend, they are always in the know about what's what.
Do you have a friend that always seems to know where to buy the cheapest toilet paper? And knows what store has your favorite frozen pizza on sale? That person who always has a groupon or a coupon? Well that's what a broker is to insurance.
Not only is your broker your personal shopper, they are one of those people who seems to know everyone. Because of this, the have many connections in many insurance companies that they deal with on a regular basis and are therefore able to work their magic to get you special deals.
We all have that one friend that don't take nothing from no one. You know that if someone tries to rip them off, or someone gives them the stink eye for taking too long at the checkout, that they are going to tell that person what's on their mind while you try to hide behind the chocolate bar display pretending you don't know them.
While we are a bit afraid of these people we are also admire them because they won't be taken advantage of. Your broker is the person who will be there for you working on your behalf in the event of a claim.
Then call Armour Insurance and we will connect you to one of our bad-ass brokers to help you get great coverage at a great price.
We can't wait to hear from you!