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Dispelling common myths about insurance brokers
January 18, 2022 at 7:00 AM
Dispelling common myths about insurance brokers

Buying insurance is a process that not many people like to go through. You’re often going through each plan trying to learn what’s different between them while identifying what you need. For those who don’t work with insurance policies often, it can be a difficult and confusing thing to go through. An insurance broker can help, but, unfortunately, there’s somewhat of a stigma attached to working with a broker. Our team at Stellar Insurance wants to work to remove that stigma, so we’re going to dispel five myths about insurance brokers.

Myth: Working with a broker is expensive.

There are plenty of things you can do on your own without paying someone to do it for you. If you choose to change your own oil, you won’t have to pay someone else to do it. Buying insurance isn’t the same. Whether you go through an independent broker or purchase your plan directly through the insurance company, somebody is going to get a commission on the sale. Your broker will build their commission into the price of your insurance policy, so you’re not paying any extra in addition to your policy.

Myth: Brokers only work with specific types of insurance.

There are plenty of types of insurance out there you can buy, and you might be worried that a broker won’t be able to help you find what you need. It’s important to keep in mind that insurance brokers only get paid when they sell insurance, so it behooves them to offer what their customers are looking for. Whether you’re looking for home, auto, health, or business insurance, it’s easy to find brokers who have experience with many kinds of insurance.

Myth: Brokers work for insurance companies.

The belief that an insurance broker works for an insurance company can give some people pause in hiring one. However, this is erroneous as brokers work for you and not the insurance company. They get paid based on their ability to help you find and purchase an insurance plan. While insurance brokers will work with insurance companies to learn their policies, they’re independent of the insurance provider and have no stake in your choice of a specific company or plan.

Myth: Your broker is done after you buy your policy.

You don’t have to feel like you’re on your own after you buy your insurance policy. Your insurance broker will continue to be by your side throughout the year to help you adjust your plan as needed. For instance, if you buy or sell one of your vehicles, your broker can help you make changes to your plan. Additionally, your broker can help you submit claims when necessary. Should you feel the need to purchase additional insurance like life or travel insurance, your broker will be there to help.

Myth: Your broker can build whatever insurance policy you need.

While an insurance broker works independently from the insurance company, they’re still beholden to the products insurance companies sell. Your broker can help you mix and match your coverage as it’s available from an insurance provider to fit your needs and budget, but they can’t simply build a plan with only the pieces that you want.

Contact us for more.

You can learn more about what it’s like to work with an insurance broker by getting in touch with us at Stellar Insurance. We’re experts in a variety of insurance types that include property, business, life, commercial, and much more. Give us a call at 833-224-5168 or send a message using our contact form. Book an appointment with our team, and we’ll help you find the right insurance policy for you.