Captive agents can only work with one captive insurance company. Think of the big ones: State Farm, All State, and Farmers.
Captive agents, the boots on the ground, are bank rolled by an insurance company to get started. Long story short, the agent is not independent of the carrier they represent. The big insurance company dictates what they can and can’t do per policy for their client.
This is why captive agents sell every client the same standardized insurance policy in every scenario. But one size fits all doesn’t work when it comes to protecting your home, business and family because every scenario is different.
You can find independent agencies that will write policies with every single non-captive insurance carrier in the country. While this may seem like a good set up, all insurance companies are not created equal.
The focus for many becomes price not quality of the insurance product. In addition, most companies employ minimum quoting. If not met, the insurance company can pull the agent’s contract. This puts pressure on the agent to keep the insurance company happy. Often times placing business with a company for reasons related to their business, not the client’s interest.
You can go online or call in a quote directly to the insurance company. This is not ideal for very obvious reasons. You are working with someone who is truly employed by the insurance company and likely has aggressive sales goals. Their paycheck is from the insurance company, they are obviously going to do whatever they are told. Not to mention, you will never talk to the person who sold you that policy again. Think chop shop. Sales are based on rate, get the client in the door, and then funnel them to a service center. No accountability, take a number from the gecko.
At The Insurance Loft, we research every option before crafting policies for our clients.
We elected to start our own independent agency and bring only the most top rated non-captive carriers. This allows us to truly work independently for our clients and build a unique solution without a conflict-of-interest. In addition, everyone at The Insurance Loft works with an agent. The person who provides you with a policy will be the same person to answer your questions and services your policy.
The other models can work, just generally not that well for the client. And often the focus is on price due to the lack of options. Any time a company or agency is toting rate above all else, the client is in trouble. The rate has to meet your needs, but it simply cannot be the primary focus of the insurance policy.
That’s The Insurance Loft difference.