One of the biggest changes I've seen during my 15+ years in the insurance industry is the increasing number of companies trying to sell insurance.
Insurance companies sell insurance.
Banks sell insurance.
Mortgage companies sell insurance.
Credit monitoring companies sell insurance.
Apps sell insurance.
Television commercials seem to promise that if you click a button, download an app, or spend five minutes online, you'll instantly find the perfect policy and save hundreds of dollars.
Don't get me started.
Because while those advertisements focus heavily on price, they rarely spend much time discussing protection.
And that's where the difference between an independent insurance agency and a call center becomes very clear.
Insurance Is Not a Commodity
Many companies want consumers to believe that insurance is a commodity.
In other words, they want you to think all policies are essentially the same and the only thing that matters is price.
I disagree.
If all insurance policies were identical, there would be no reason to discuss coverage.
There would be no reason to discuss liability limits.
There would be no reason to discuss uninsured motorist coverage, umbrella policies, replacement cost, medical payments coverage, deductibles, endorsements, or exclusions.
But anyone who has spent time in the insurance industry knows that policies are not all the same.
Far from it.
Insurance is not a commodity.
Insurance is risk management.
And risk management requires conversation.
The Problem With Many Insurance Apps
Many of the lending apps, credit monitoring apps, and financial apps that advertise insurance comparisons create the impression that they're shopping the entire marketplace.
In reality, many of them only work with a limited number of carriers.
That doesn't necessarily mean they're bad.
It simply means their options may be limited.
Imagine walking into a car dealership that only sells three vehicle brands.
Would you assume you've seen every vehicle available?
Of course not.
You would understand that you're only viewing a small portion of the market.
Insurance works the same way.
An independent insurance agency often has access to dozens of insurance companies, each with different pricing models, underwriting guidelines, coverages, and risk appetites.
Sometimes the best fit is the lowest-priced carrier.
Sometimes it isn't.
The goal isn't simply finding a quote.
The goal is finding the right fit.
Price Is Easy to Compare
Protection Is Not
Anyone can compare premiums.
That's easy.
The harder question is:
What happens when a claim occurs?
Does the policy include uninsured motorist coverage?
What are the liability limits?
Does it include replacement cost?
How does water damage coverage work?
What exclusions exist?
What happens if a teenager starts driving?
What happens if someone gets seriously injured?
Most online quoting platforms don't spend much time discussing those questions.
Why?
Because coverage discussions take time.
Education takes time.
Risk management takes time.
It's much easier to advertise a lower monthly payment.
People Are More Important Than Things
One of the philosophies I've developed over the years is very simple:
People are more important than things.
Cars can be repaired.
Homes can be rebuilt.
Fences can be replaced.
People cannot.
That's why some of the most important conversations we have with clients involve coverages that many online platforms barely mention.
Coverages like:
- Uninsured Motorist Coverage
- Underinsured Motorist Coverage
- Medical Payments Coverage
- Personal Liability Coverage
- Umbrella Liability Coverage
These coverages often have very little to do with protecting property.
They have everything to do with protecting people.
Imagine a distracted driver seriously injures your family.
Imagine the at-fault driver carries minimum limits.
Imagine they have no insurance at all.
Would you rather have the cheapest premium?
Or the strongest protection?
That's a very different conversation.
A Call Center Employee Doesn't Know Your Family
One of the greatest strengths of an independent agency is relationship.
When clients call our office, we often know:
- Their family situation
- Their vehicles
- Their property
- Their goals
- Their concerns
- Their previous claims
- Their future plans
We know when their teenager starts driving.
We know when they purchase a home.
We know when they start a business.
We know when they retire.
That's difficult to replicate through a website or a 1-800 number.
Technology is wonderful.
Relationships still matter.
Independent Agents Work for Clients
Not Just Carriers
Many consumers don't realize this distinction.
A captive carrier representative generally works for one company.
An independent insurance agency represents multiple companies.
That means we can often compare options across a broad range of carriers and help clients evaluate the advantages and disadvantages of each.
Sometimes one company is better for a family with teenage drivers.
Sometimes another company is better for a homeowner.
Sometimes a carrier may be ideal for someone with multiple properties.
There is rarely a one-size-fits-all solution.
The best policy depends on the person.
Insurance Should Be Reviewed, Not Just Purchased
One of the biggest mistakes consumers make is treating insurance like a transaction.
Insurance should be a relationship.
Life changes.
Families grow.
Homes appreciate.
Vehicles change.
Businesses evolve.
Assets accumulate.
Risks change.
A good insurance professional doesn't simply sell a policy.
They help clients evaluate changing risks over time.
That's difficult to accomplish through an app that only interacts with you once a year.
The Difference Between an Order Taker and a Risk Manager
Anyone can provide a quote.
The internet is full of quotes.
What many people truly need is guidance.
A risk manager asks questions.
A risk manager identifies exposures.
A risk manager discusses scenarios most people have never considered.
A risk manager helps families make informed decisions.
That's very different from simply selling the lowest-priced policy available.
Final Thoughts
The question isn't:
"Who has the cheapest insurance today?"
The better question is:
"Who is helping me protect what matters most?"
Price matters.
But protection matters more.
The best insurance policy isn't always the cheapest one.
The best insurance policy is often the one that protects your family, your future, and the people you care about most.
That's why I believe independent insurance agencies continue to provide tremendous value.
Not because we sell insurance.
Because we help people understand risk.
Because we advocate for our clients.
Because we focus on protection.
And because people will always be more important than things.