What Is an Insurance Broker?
A broker looks for insurance on the customer's behalf rather than selling as one company's appointed agent. The broker is still a licensed producer; the title on a website does not name the company that will issue the policy.
What Does an Insurance Broker Do?
A broker shops coverage for the customer instead of selling as one insurer's appointed agent. A broker is paid to look for insurance; an agent is authorized to sell by or on behalf of an insurance company. The insurer is still the insurance company on the policy.1
Licensing terminology depends on the state. In Wisconsin, brokers, agents, producers and managing general agents are all classified as intermediaries.2
What Does an Insurance Broker Not Prove?
Calling a firm a broker does not name the issuing insurer or move claims-paying duty onto the broker. Access to many markets is not evidence of which company will appear on a given policy.1
