These days you see too many shops closing on high streets. It looks like they feel the squeeze from online sales. There are thousands of online auto insurance quotes sites and almost every insurer have online quotes on their websites. You cannot help but wonder how would this affect high street vehicle insurance brokers and agents? They perform an important function especially in helping confused motorists. But do you really need a broker to buy car insurance?
Insurance agents are not the only source of multiple quotes and information anymore. Motorists can go online and get quotes directly as well. You can read further on purchasing insurance online vs agents. It is fair to say that most brokers and agents are capable of adopting and making the most of technological advances. There is nothing stopping them to start an own website and sell policies online or collect leads. Many of them are doing this already anyway.
You definitely don’t need to have an insurance agent anymore to buy a policy. And why would you use a broker if it is another automated outlet. There is not much point in having an agent if he/she won’t take the time to listen to you and come up with insightful solutions. If they do pay attention and your insurance requirements aren’t straightforward you would probably benefit from having a broker.
So there is no need to worry about losing brokers/agents who would be spending less and less time dealing with enquiries face to face. Probably policyholders and customers wouldn’t want to make the journey to their office if they can find answers to their questions on the Internet and can communicate with them electronically. This process may actually be good for everyone at the end. The natural selection process would weed out the lazy and incompetent brokers and agents. The rest would grow stronger than ever before and make themselves indispensable for at least some groups of drivers.
Do I Need an Insurance Agent?
People know a lot more about purchasing auto insurance policies because most people need it and need to buy it semi-annually. That is why they can handle purchasing it on their own without needing an agent’s help. On the other hand, some other policies like life insurance is purchased once or twice in a life time. Furthermore, they can be complicated to understand and arrange that you would most certainly benefit from an expert knowledge. There are so many other policies you have not even heard of before you need and they can only be bought through agents.
People have different level of reliance on insurance brokers depending on the type of insurance policy they need. You can easily and quickly buy straightforward policies like travel insurance on the Internet. But you would need a specialist broker if you want to insure your neighbors’ home against subsidence because of a foundation you dug for your recent extension.
Different Types of Car Insurance Intermediaries
It is worth mentioning here that not every agent or broker the same. There are serious differences in the way they do business and most importantly the way they search for your quotes. Here are two main differences
Independent Insurance Brokers: These are the intermediaries who are totally independent in the way they do business and insurers they choose to work with. They can approach any company registered to sell policies in a given state and start selling their policies, if all agreed. Getting your quotes from independent brokers extends your net automatically since they would be talking to various carries on your behalf.
They are able to offer the best deals to their customers thanks to their wide network of companies. They are like a supermarket of policies. You are most likely to save more money and find better coverage if you are with an independent vehicle insurance broker.
Tied Insurance Agents: These are the intermediaries who work exclusively with one particular provider of policies. Their advantage is that they are specialized on the products of the company they work with. If you have already made your mind up about which insurer to choose it may be better to approach their agents on the high street.
Their disadvantage is that they cannot shop whole of the market or even a few other companies. You really don’t want an agent if you are looking to compare all your options and save some money. Considering that you can get your automobile insurance quotes to compare online quickly you may be able to check prices on your own, if you are with a tied agent and decide to buy direct or through an agent.