Insurance confusion please help!

Question

I'm lost! Are you considered a captive agent if your selling insurance for one main company like state farm etc.? I had an agent tell me that sent solicitation with state farms logo and all selling their insurance telling me he was a broker because he doesn't just always sell the state farm products, though he owns his own state farm office

So, what do you do if someone states then they are not captive and are brokers dispite the circumstances ? If you were to ask for a quote and the same captive agent tells you that he recommends higher coverage because you should always expect the unexpected and also ask questions regarding your homewowners as he has already pulled up your current insurance info and its listed, but continues to ask you are uncertain of because the years past with the same coverage, then he finally replies, "well yeah, it shows here that you ahve this cerrtain coverage." If he already knows, then why would ask?

Answer 1

I do know for a fact that if you are a State Farm agent...you can ONLY sell State Farm policies, you can't sell other companies. If you are a State Farm agent, you own your business but State Farm owns the policies.  

Answer 2

Insurance brokers can represent many insurance companies. That is the advantage of being a broker. You find the insurance to best meet your client's needs.  He would need to ask about your current coverage to verify that it is correct. It could possibly be out dated. But remember, you are the customer and you get to choose who you want your agent to be. If you are not comfortable with this guy, go elsewhere. It is not a bad idea to get several quotes any way.

Answer 3

A captive agent, is an agent that only sells for one company, like State Farm, Nationwide, Allstate.    

I am under the impression - but am not positive - that State Farm doesn't allow their agents to sell other products.

If this guy is trying to s***w over State Farm, by violating his contract with THEM, the people who PAY him, there's NO WAY I'd trust that he wouldn't s***w me over.

Answer 4

I already answered this question.  Here is it again.

State Farm agents only write for State Farm.  There are a few exceptions.  Like they are allowed to write policies that State Farm does not have, like flood, earthquake insurance, California Assigned Risk Plan ( an auto insurance plan for high risk drivers) and maybe a couple of others.

Why don't you post what other companies this agent is selling for.  Then you could get the real answer of whether he is cheating.   Or call State Farm.

I work in a State Farm office.

Answer 5

If you're here still asking the same question then you OBVIOUSLY don't trust the person.  Move on and don't do business with someone you don't trust regardless of whether they're telling you the truth.

Find someone else.