Insurance Brokerage America Explained

Insurance Brokerage America is a complex industry, but it's essential to understand the basics. Insurance Brokerage America is a leading provider of insurance services in the United States.

With over 100 years of experience, Insurance Brokerage America has established itself as a trusted partner for individuals and businesses alike. This expertise has allowed them to develop a robust network of agents and brokers across the country.

Insurance Brokerage America operates in all 50 states, providing a wide range of insurance products and services to meet the diverse needs of its clients. Their services include property and casualty insurance, life insurance, health insurance, and more.

An insurance broker represents consumers in their search for coverage and can sell policies from several different insurance companies for a commission.

Their primary duty is to the client, not to the insurance companies they work with.

A retail broker examines a client's needs and searches from several providers to find their client the right policy at the right price.

They make their money through broker fees, which are a percentage commission on the policies being sold.

Brokers can't bind coverage on behalf of an insurer when purchasing insurance, so they must hand over the account to an insurer or insurance agent to complete the transaction.

Take a look at this: Claim Settlement Ratio of Health Insurance Companies

Insurance brokerage in the US is a significant industry, with many companies offering a range of services. According to the article, the largest US life insurance companies in 2024 by market cap include several well-known names.

Insurance brokers in the US are professionals who sell insurance and may choose to specialize in a certain area, such as property and casualty insurance. Both agents and brokers are licensed in the state where they operate and must comply with all governing statutes and regulations.

Insureon is both a business insurance agency and a brokerage, with insurance professionals licensed in every state. The company helps small business owners with coverage options from top carriers in the insurance industry.

Here are some key requirements for IIABA membership, which is a professional organization for independent insurance agencies:

The Big I is a term you might come across in the world of insurance, but what does it mean? The Big I is another name for the Independent Insurance Agents & Brokers of America, Inc. or (IIABA).

The IIABA has been around for over 125 years, with a long history that's seen it go through several name changes. In 1896, it was founded as the National Local Association of Fire Insurance Agents.

To become a member of the IIABA, an independent insurance agency typically applies to a state chapter. Requirements vary by state, but generally include operating as an independent contractor on a commission basis, selling health, life, or property and casualty insurance, and being able to legally represent more than one insurance company.

Membership dues for an agency depend on the agency's total staff size and the number of locations. The IIABA offers a variety of products and services to its members, including webinars and virtual classes.

Here are some key requirements for IIABA membership:

The Big I is a powerful organization that represents, supports, and advocates for independent insurance agents, brokers, and agencies at the national and state levels.

The US insurance industry is a massive sector that employs a significant number of people. As of 2022, the number of employees in the insurance industry in the US was around 2.8 million.

The industry is also a significant contributor to the US economy, with the insurance market size in the US growing from $1.2 trillion in 2009 to $1.5 trillion in 2022.

Employment in the US insurance sector varies by state, with the top five states being New York, California, Texas, Florida, and Illinois, accounting for over 40% of the industry's workforce.

The insurance industry in the US is also a major employer, with the number of employees in the industry increasing from 2.4 million in 1960 to 2.8 million in 2022.

Here is a breakdown of the number of insurance industry employees in the US by occupation for 2020-2022:

The insurance industry in the US is also a significant player in the global market, with many US-based insurance companies ranking high in terms of total assets and market size.

Recommended read: Reinsurance Market

Finding and working with an insurance broker can be a great way to get the right coverage for your needs. An insurance broker represents consumers in their search for coverage and can sell policies from several different insurance companies for a commission.

Brokers typically play more of an advisory role in finding coverage than agents, because brokers have a responsibility to represent the best interests of the client. They examine several policies and recommend certain coverages from different companies, but then must turn to an agent or an insurance provider to have a selected policy bound to a client.

To find an insurance broker, you can search online or ask for referrals from friends or family. Trusted Choice is a website that offers a search feature for nearby agents and brokers, but keep in mind that there may be other licensed independent insurance professionals outside this organization.

Insurance brokers are licensed in the state where they operate and must comply with all governing statutes and regulations. They may specialize in a certain area, such as property and casualty insurance (P&C), which protects businesses against lawsuits and property losses.

Expand your knowledge: In Insurance Policies the Insured Is Not Legally

Here are some key differences between insurance brokers and agents:

Keep in mind that while brokers can't bind coverage, they can still help you find the right policy and negotiate the best price.

An insurance broker represents the client, not the insurance company, and has a responsibility to act in the best interests of the client. This means they'll examine several policies and recommend certain coverages from different companies.

Brokers can't bind coverage, but they can facilitate a completed transaction by turning to an agent or insurance provider.

Insurance brokers play a more advisory role than agents, helping clients find the right coverage for their needs. They're like a personal shopping assistant, but for insurance.

A broker's job is to find the best policy for the client, not to sell a specific policy from one company. This means they can offer quotes from multiple carriers and help clients compare policies.

Expand your knowledge: Who Is the Insured on a Life Insurance Policy

In contrast, insurance agents represent insurance companies and can bind coverage for their clients. They often have a more limited range of policies to offer.

Independent insurance agents can shop for and offer quotes from several companies, but they still have contracts with specific insurance providers.

Insurance brokers, on the other hand, can work with multiple insurance companies and offer a wider range of policies.

Here are the key differences between insurance agents and brokers: