Auto Insurance Agent

Reader’s Question:

There are so many companies and so many people offering auto insurance right now. How do I know that my agent is doing the right thing and is selling me the good stuff?

Kandi

Fort Worth, TX

Hi, Kandi. Yeah, there are good guys and bad guys out there. Here’s some stuff you might want to check out if you think your auto insurance agent is trying to pull one on you. You may already be aware that part of the money you pay for your auto insurance goes to the agent. Companies have different ways of paying their agents, though. For example, if your insurance agent works for a brokering firm, he is most likely to earn in commissions. Thus, the bigger the sale, the bigger the paycheck. If he is working directly for a specific insurance company, he’s probably on a paycheck or gets an incentive based on the insurance premiums paid. These guys try to sell you more insurance, and some might be overlapping or redundant. Oh, and by the way agents shouldn’t be charging any fees of their own as they are paid by their insurance companies.

If you think your current auto insurance agent is not the most trustworthy type, do ask for a replacement or take your business elsewhere. If you’re not too comfy with going through an agent at all, try purchasing your auto insurance direct from the Internet.