Which entity does an insurance agent typically represent?

An insurance agent typically represents insurance companies. This representation involves promoting, selling, and servicing insurance products offered by the insurer. Agents are often appointed by the insurance company, which grants them the authority to act on its behalf in the marketplace. Their role includes understanding the various policies provided by the company and helping clients find coverage that meets their needs while ensuring that the insurance company is informed and compliant with regulatory requirements.

Clients seeking insurance services often look to agents for guidance, but the primary accountability of an agent is to the insurance company they represent. The agent acts as a conduit between the company and potential policyholders, leveraging their expertise in insurance products to align the needs of clients with the offerings of the insurer.

State insurance regulators oversee the compliance and functioning of insurance practices, but agents do not represent regulators. Likewise, insurance brokers serve as intermediaries between clients and multiple insurance companies rather than representing only one insurer. Thus, the role of an insurance agent is distinctly aligned with that of an insurance company rather than clients, regulators, or brokers.