How Insurance is sold (Chapter 1)

Question 1

Distribution Systems

Answer 1

Ways insurance products are marketed and sold to the public

Question 2

Career Agency System

Answer 2

Have an office location, and all producers are captive agents and employees of the insurer

Question 3

Personal Producing General Agency System

Answer 3

Agents work for an independent agency selling policies from several insurance companies. Agents are not employees of the company, they are employees of PPGA

Question 4

Independent Agency System or American Agency System

Answer 4

Represent a number of insurance companies under separate contractual agreements

Question 5

Managerial System

Answer 5

Branch offices are established in several locations, and are managed by branch managers who are employed by the company.

Question 6

Mass Marketing

Answer 6

Direct selling through radio, tv, newspapers, magazines, by mail, and over the internet