Life Insurance Agent vs. Broker: What’s the Difference and Who Should You Choose?

If you’re shopping for life insurance, you’ve likely come across two common titles—life insurance agent and life insurance broker. While the terms are often used interchangeably, they play different roles in helping you secure the right coverage. Understanding the distinction between the two is essential when making one of the most important financial decisions of your life.

What Is a Life Insurance Agent?

A life insurance agent is licensed to sell policies and typically represents one insurance company. These professionals, often referred to as “captive agents,” have deep knowledge of the products their carrier offers and are responsible for helping clients select the right plan from their employer’s suite of options.

What Is a Life Insurance Broker?

Unlike agents, life insurance brokers work independently and can offer policies from a variety of carriers. This gives them flexibility to shop the market on behalf of their clients. Brokers act in the buyer’s best interest, often comparing quotes, underwriting requirements, and policy benefits across companies.

Key Differences Between Agents and Brokers

1. Representation

Agents represent the insurance company. Brokers represent the client.

2. Product Variety

Agents typically offer limited options from one carrier. Brokers have access to multiple carriers, giving you broader choices.

3. Licensing and Training

Both agents and brokers must be licensed, but brokers often go through additional certification to represent multiple insurers.

Which Is Better for You?

That depends on your situation. If you’re comfortable with one carrier and want in-depth support, an agent might be your best bet. But if you want to compare prices and policies across several companies, a broker offers more flexibility.

At North Star Insurance Advisors, our sales professionals operate in a hybrid model. We offer the structured training of an agent role while empowering our team to act in the client’s best interest—much like a broker. That’s how we’ve earned trust from thousands of families nationwide.

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