Captive Agent vs. Independent Agent

What’s the difference between captive and independent insurance agents? Captive agents work for a single insurance company. Typically, they’re under contract with that insurance carrier. One of the main benefits of this approach is receiving a regular salary, plus commission on policies sold.

 

In contrast, independent agents work with many insurance companies, which may increase their access to insurance products. For instance, an independent insurance agency that specializes in health insurance may have an increased variety of insurance products, like property and general liability to sell to clients. This is because they’re working with multiple companies, giving them greater access to different product lines.

 

A captive insurance agent sells insurance products for only one insurance company. This parent company will typically provide their captive agents with a salary, plus commission and benefits. Captive insurance agents also benefit from the insurance company’s broader marketing strategy.

 

An independent insurance agent works and is appointed with multiple insurance companies. This gives them greater access to insurance products and allows them to meet their agency’s sales quotas by selling policies from multiple insurance carriers.

 

If you’re looking to be an  appointed agency with The Hartford, you can get started here. We’re an insurance company that offers a wide range of products that can help cover your business owner clients.

 

 

Última actualización: 27 de marzo de 2023