Whether you buy car insurance from a car insurance broker or directly from the company is a personal choice. There are a number of different things to consider.

For many people it simply doesn’t matter as long as they get the best deal possible. Others have distinct preferences about how they get their insurance coverage.

No matter which method of purchasing car insurance you prefer it’s always a smart thing to shop around and compare car insurance rates from as many companies as possible. Just enter your zip above to start comparing rates right now!

Who You Will Deal With

Insurance brokers are salespeople who sell for different insurance companies. They collect your information and will submit it to a variety of companies on your behalf. They will then present you with the car insurance possibilities that meet your needs. They are paid by an amount incorporated into your premium; however, you know how much it is. A broker works for you.

Alternatively you can use a non-exclusive agent. Typically, he has his own office and is an agent for a variety of different insurance companies. Like a broker he will present your information to different companies and advise you on which to opt for and what coverage you need. The difference is that the agent is working for the company not for you.

When it comes to buying car insurance directly from a company, there are two different ways it may be handled. One way is through an agent, sometimes called a captive agent or an exclusive agent, who works only for one company. He is a local representative of the company. This is a good fit for those who like to deal one-on-one with their agent or those who like to deal with someone they know.

The other option is to use a direct writer, which is simply an insurance company which sells directly to the customer without involving a third party. Typically, those who sell such policies work for the company as a regular employee. Customers call a central number and are dealt with from a distance. Many direct insurance writers claim that they can offer the best prices because they keep their overhead lower.

Benefits and Disadvantages of Each

Using an insurance broker or agent is very beneficial for most car insurance buyers. You have a much better chance of finding the best deal or best coverage possible for you because your broker is drawing on a large number of companies on your behalf. In fact, he or she will be able to access certain companies that only sell through brokers or agents giving you more choice than if you contacted companies directly. Because he or she specializes in insurance, they can negotiate on your behalf and present you with different options and recommendations. They will also counsel you on what types of coverage you need and which you don’t.

Brokers or non-exclusive agents are an excellent choice when you are looking to shop around for the best price; if you have unusual car insurance needs or if you are considered to be a high risk that not every company will want to insure this is a good route. A broker will have many more options at his disposal than other types of car insurance salespeople.

The major disadvantage with insurance brokers and agents is the fact that they may have differing commission schedules or even bonuses from certain companies when they sell policies, which may influence what you are offered.

By purchasing directly from an insurance company you may or may not save money compared to if you purchased through an agent. However, there are several companies who work only in this way. If you are interested in getting coverage with them, you will have to contact them directly.

Buying directly from the company typically takes longer than using an agent or broker, especially if you are shopping around, as you will have to contact various companies to get a price. However, if you have some extremely out of the ordinary circumstances in your car insurance needs that you know a specific company deals with, you may be more successful in dealing directly with that company than through an agent.

The Best Way to Find Car Insurance

Despite all the various ways you can go about getting car insurance coverage, there is one way that may prove to be most efficient. It is to use an online quote tool to get the quotes you need. It is faster and more accessible than dealing with any of the insurance professionals mentioned above. Any time of day or night, you can use our free quote tool to submit your information to multiple insurers. In no time, you’ll have a variety of quotes to compare and contrast, so you can make the best decision for your car insurance needs. Get started now!