Chaper 7 Flashcards
What are Intermediaries (agents or brokers)
physical links between insurers and consumers
What does an intermediaries do
identify insurance needs
matching needs with products available
What are the 4 most common delivery systems in the P&C industry
independent brokerage
independent agency
exclusive agency
direct writing company
What is an independent brokerage
a system in which a licenced independent insurance professional acts for an insurance buyer to obtain insurance from one or more insurers that have authorized the broker to sell insurance on their behalf
What is an independent agency system
independent contractors (the agent) represents one or more insurers in selling insurance for a commission/fee, on their behalf
What is an exclusive agency system
through licenced agents who represent only one company or a group of companies under similar management
