Is it cheaper to get Insurance through a Broker?

Insurance is always a big deal no matter what it is about and what part of your life you are using it for. There are several types of insurance from private life, savings to business and equipment ones and today we will discuss the ways you can get them and which are cheaper for you.

So as we mentioned in the beginning there are several types of insurance but the main ones are private ones and business insurances. These two cover a lot of things and we are not going to go into a lot of detail regarding that, mostly because you are all probably familiar with these to some extent, but rather go into the cost variant of the insurance.

Those of you who have some sort of insurance know that different rates are depending on what and from what you are insuring yourself or your workers, equipment, home, etc. now these are typical rates for different insurance homes but what most of us are trying to avoid are extra costs and the ongoing war between broker and direct insurance acquirement is going stronger than ever.

The fact here is that some claim that broker insurance is a bit costly and that it isn’t as straightforward as going directly to an insurance home and making a deal, but as always, there is a different side to this. Today we will touch upon this and if you are looking for an insurance broker that you can trust try


A common misconception is that insurance agents and brokers are the same things. This couldn’t be more wrong and there are some fine differences between them which we must point out so you don’t get confused anymore. Both of these are considered intermediaries by the eyes of the insurance company. These two are people, groups of them, companies or businesses that connect insurance to its target market. Both of these earn a commission for the job they do meaning that if the client decides to get insurance through the help of one of these two they will receive a commission for closing the deal. Now, this is where all the similarities between these two end and where differences start. The main difference between these two is that the insurance agent represents the insurer while the insurance broker represents the customer. Now that we have established this you know that the insurance broker has your best interest in mind when it comes to finding you the best deal.

When it comes to insurance brokers, these businesses are working on a subscription base or with people that get services from that brokerage, meaning there can easily be companies that depend or have trust in the services and the expertise of the broker. What the broker does is scour the market for the best insurance deals to be able to offer to their clients depending on their needs and preferences. The best insurance brokers are those that are open to the entire market and that scan it continuously to find a deal that is the most suited for you, meaning that they will look for the most efficient, cost-effective and most comprehensive deals you can find on that market.

When it comes to the price of the insurance you get from direct vs broker the direct deals tend to be a little lower, but only for the price of that commission we mentioned before. Brokers are people working for you to find you the best deal possible and they should get paid for that. This is the only discrepancy in the price of the insurance you will notice and, in our opinion, it should be neglected and you should always go with brokerage insurance. The reason behind that is that brokers are working for you in this case and they will be here for you until you sign the insurance and after you sign it. They will always check up on you if the conditions of the insurance are OK if you have any factors pop up that have a new impact on your deal or if there were cases where your policy has become more expensive due to certain loadings. They are entities that will always represent you and see to your needs and your best interests.

When going direct the only touch with the insurance company you will have is signing the papers and paying their share of things every month or year. This is it. Anything additional you need, any problem, question, regard will have to go through customer support that, you all probably know, can be frustrating and often without any results or solutions.

Brokers are specialists that are working for you and that can make your life easier, especially when you are looking for more than just private insurance. In the world of business insurance, machine insurance, worker insurance you have to deal with a whole lot of paperwork and meaningful jobs that just take up your time. God forbid that you have to make an insurance claim for your machine, business or worker the amount of hassle you would go through is incredible. The broker could do all this for you, they could make those claims for you and negotiate between loss adjusters and the claims department instead of you. This alone is worth their commission and we don’t see why anyone would ever go to the trouble of getting your insurance directly from the company.

To sum the article up we still have to underline one obvious thing – YES the insurance when obtained via the broker is a bit pricier but that difference in cost is a commission that you pay to have your mind at ease from all the things we mentioned before. If you ask us is it worth getting insurance from a broker, we strongly say YES!? It is worth and we have already stated why several times. To save time, your nerves and to avoid any potential mistakes, and you can make plenty of them, hire a professional to do this for you and never have a worry again. They will do that job professionally and stand behind it in the same manner.