Buying Insurance via an Agent versus Buying Insurance Directly

Buying Insurance via an Agent versus Buying Insurance Directly

Many years ago, when the internet does not exist yet, people would buy insurance from an agent. However, with many quote comparison search engine websites set up, more and more people are now purchasing their car insurance online. This brings up the question of whether you should buy your through an insurance agent near me or buy it directly.


Buying the Insurance through an Agent

Insurance agent acts as an intermediary between the clients and the insurance company. Insurance agent specializes in selling insurance products from one insurance company only. If you have an insurance agent, you can conveniently contact him to resolve any problem you have with your policy.

The agent can also answer any questions you have regarding the policy so you don’t have to call the insurance company yourself. Usually, the agent will be someone whom you have known for many years. Since you already know the agent for a long time, he will be able to recommend products that meet your needs.

When a mishap happens, you can count on your insurance agent to fight for you to get a claim. The agent knows what to do to get you out of the red tape so that you get the compensation you need. However, not all agents handle claims so you should ask about this information before hiring. The agent has expertise on a wide range of insurance products of a single career so he can give you good recommendations. The agent charges a commission fee which can increase if the policy rate increase.

Direct buy insurance refers to going to the insurance website to buy the policy. With direct buy insurance, it is convenient for you to shop for insurance at home. There are lots of quote comparison search engines around for comparing quotes from different insurance companies. However, the quote issued by the quote comparison search engine is not accurate and can change when the insurer checks your driving profile. The actual rate will depend on factors like driving record, mileage, age, gender, claim history and installment of safety features.

Buying the Insurance Directly Online

Buying the insurance online directly can be cheaper since you don’t have to pay for the agent commission fee. However, you may end up making mistakes in selecting coverage that you don’t need. On the other hand, the agent understands your need and can introduce you the suitable coverage options. Another problem is that you may get a flood of sales calls and email messages after purchasing the insurance online. The insurance companies which you obtain the quote may call you and follow up with you on the sale. If you use an agent, you don’t have to worry about this since the agent will do the shopping for you.

When you buy online, you can miss out opportunity on getting discounts for the policy so you may end up paying more. Often, these deals can only be found out by calling the insurance company yourself. The agent can also reveal to you about these discount opportunities. You may end up buying a policy that does not provide enough coverage. For example, if you are buying car insurance, you did not buy coverage for the people who will borrow your car. In case an accident happens, the person will not get coverage since you did not mention his name in the policy. The agency will ask you question when you are buying a policy to ensure that you are buying enough coverage.


There is no right or wrong on whether you should work with an insurance agent or by the insurance directly. Ultimately, it all depends on your needs. If you are on a budget, buying the insurance directly will be the best option. Hiring an agent will suit you if you feel that it is more comfortable to buy the insurance through an agent.

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