Is it more expensive to buy insurance from a broker or agent than directly from the insurance company?
An insurance agent or broker gets paid by a commission. The insurance company gives them a commission based on the size of the policy, what kind of policy it is. The price you pay for the policy is the same whether you have an agent or you do it on your own. A lot of people think that if they go to a health insurance company and buy a health policy, if they do it directly that they are going to pay less premium, but actually the premium is the same whether they buy through an agent or not. Insurance companies would love to have no agents, because then they wouldn't have to pay any commission. In reality, however, they get most of their business from agents and realise it's a necessary price for doing business. Every business would love to have no employees but you need employees and people who will promote your business. Alongside that, you want an agent that sells a product based on your agenda, not his own. The insurance company pays me directly. You don't pay any extra premium for doing business with me or with any agent. The insurance companies completely compensate us without taking money out of your pocket.
