|Business Credit Articles|
There are essentially two kinds of representatives in the insurance business: Insurance Brokers; and Exclusive Agents. Exclusive Agents only offer one insurer's products. Insurance Brokers write coverage for more than one insurance company. There are a number of advantages of using a Broker rather than an Exclusive Agent, including these:
Brokers are not restricted to dealing with one or a very limited number
of insurance companies. They are independent. Brokers usually research
a variety of insurance companies before presenting one or more insurance
policies that seem to best meet your company’s needs.
Some Brokers are specialists or employ specialists who are experts on credit insurance policies. These experts can and usually do recommend:
An insurance broker is an advisor, not simply a vendor. A credit insurance
broker should be willing an able to take the time to discuss the risks
and benefits of the options and alternatives presented. A good Broker
will act as a liaison between your company and the insurance company,
and will try to negotiate concessions from the insurance carrier that
strengthen your position. Some companies work with several brokers,
playing one against the other in an effort to secure the best terms
possible under the circumstances. Competition will often make insurance
companies more willing to negotiate with buyers.