What is the primary role of a broker in the insurance industry?

The primary role of a broker in the insurance industry is to act as a licensed professional who assists clients in navigating the insurance market by finding coverage options from multiple insurers. Unlike agents who may represent a single insurance company, brokers have the flexibility to compare various insurance products and providers. This enables them to offer clients tailored solutions that best fit their individual needs and circumstances.

Brokers are knowledgeable about different policies and can provide valuable insights into the strengths and weaknesses of various insurance options. They advocate for their clients' interests, ensuring they understand the coverage details, terms, and conditions of the products they are considering. This multifaceted approach is critical in helping clients make informed decisions while securing the most appropriate coverage at competitive rates. Additionally, brokers typically earn commissions from insurance companies based on the policies they sell, which aligns their incentives with those of their clients.