Car insurance brokers help you compare quotes from multiple companies and find the most affordable rate, so it’s almost always a good idea to use one.

Written by Bonnie Stinson

Edited by Sarah Gray

Updated on Jun 17, 2024

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Should you use an insurance broker?
How to find a car insurance broker
The difference between a broker and an insurance agent
FAQ
Meet our experts

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car insurance

broker will work with you to help you find the right coverage at the most affordable rate—and there’s typically no added cost to use one, so it's almost always worth it.

Should you use an insurance broker?

Yes—most drivers can benefit from using an insurance broker.

Insurance brokers provide expert advice on insurance options and help you personalize coverage based on your lifestyle and preferences, rather than purchasing a generic insurance plan. Plus, many brokers deal in multiple types of insurance—whether you’re looking for car insurance, life insurance, or health insurance, a broker can likely help you find the right policy at the best price.

Car insurance brokers work for you—not insurance companies

Insurance brokers are like personal insurance shoppers. They gather the information they need from you to find coverage options that fit both your personal finances.

Infographic Customer: Provides driver and vehicle information for broker Broker: Uses driver information to compare policies and find the most affordable rates Insurance agent: Sells the policy

Today’s brokers are accessible, flexible, and licensed professionals subject to insurance industry regulation that protects consumers.1 Their mission is to serve a wide range of drivers providing expert guidance on a variety of insurance products in a complicated insurance market.

The only thing brokers don’t do is negotiate costs. The price you pay for a policy is ultimately up to the insurance company. But they can sniff out ways to save money, like hunting down elusive discounts like

bundling

with homeowners insurance or renters insurance.

But that’s just the tip of the savings iceberg. Jerry’s experts have everything you need to know about how using a trusted broker like

Jerry

means you get all the convenience and cost-savings of shopping for coverage online without the hassles of unwanted spam and phone calls.

Though nearly everyone can benefit from shopping with a car insurance broker, they’re most useful when you have uncommon needs, like a

bad driving record

or special coverage. But brokers are also great if you’re just too busy to research insurance companies or you’re buying insurance for the first time.

Here are a few good reasons to use a broker:

Captive agents: These are brand ambassadors for one specific insurance company. You won’t receive quote comparisons from captive agents, and you may pay a higher insurance premium depending on the company they work for.

Independent agents: While they're not tied to a single insurer, independent insurance agents do have contracts with specific companies. They're similar to brokers, but since they still work for the insurers, they have an incentive to upsell.

Unique needs: Got some quirky insurance requirements? A broker's got your back, whether you're driving a vintage hot rod or living in a tornado hotspot.

Good brokers prioritize your needs and offer transparent communication so you can make smart, informed choices. But of course, when making any choice, it’s important to consider all the pros and cons.

Pros

Convenience: Instead of spending your own time and energy, let a broker do it for you.

Market awareness: Brokers can find deals you wouldn’t know to look for.

Cost-savings: While brokers don’t control rates, they’re not tied to a single company, so they can go after the cheapest rates—wherever they are.

Support for special needs: Uncommon drivers with unique coverage needs will be best served by a broker, rather than shopping independently.

Cons

Fees: Some brokers charge fees. In addition to commissions from insurance providers, this is how brokers earn money.

Limited options: Smaller brokers may only quote a handful of companies or focus on a specific customer base.

To avoid unnecessary fees and limited options, choose a reputable broker like

Jerry

. Jerry partners with over 55 insurance providers nationwide, so you’ll have the benefits of a broker without limiting your options. Plus, it’s always free to download the Jerry app and request quotes.

Find out how much an insurance broker could save you

Compare Rates Now

4.7/5 rating on the App Store | Trusted by 5+ million customers and 7 million cars

4.7/5 app rating | Trusted by 5M+ drivers

How to find a car insurance broker

Want to find a

trusted

online broker? Check out

Jerry

, a personal insurance matchmaker with zero fees for quotes and a convenient mobile app that provides live support from licensed agents.

Want to speak with a real person? Do a local search on Google or check your state’s insurance department page for listings. Make sure to read reviews and confirm that they are a certified broker.

The difference between a broker and an insurance agent

The biggest difference between an insurance broker and an insurance agent is that brokers don’t work for a specific insurance company. This means they’re more flexible, so they can help you find the provider that will best fit your insurance needs.

There are two types of licensed insurance agents:

Bottom line: Like brokers, agents are insurance experts who can help you understand your coverage needs and find you
free quotes
—but a broker can find a wider range of quotes without trying to upsell coverage from a specific provider.

FAQ

How do insurance brokers get paid?

Car insurance brokers receive commissions from insurance providers. Agents also receive a salary from the brokerage or insurance agency they work with. In some states, brokers can charge a fee for their services. Jerry never charges broker fees, no matter where you’re shopping.

Can I buy car insurance without a broker?

Yes—it’s possible to buy car insurance without a broker by requesting quotes yourself from insurance carriers. But if you’re not familiar with the industry, aren’t sure what coverage you need, or don’t have time to comparison shop, you may end up overpaying for your car insurance policy.

How can I get multiple insurance quotes at once?

You can get multiple insurance quotes at once by using an auto insurance broker to facilitate your quote comparison process. Insurance brokers are independent from auto insurance companies, so they aim to find you the best insurance coverage and rate, regardless of the provider. A mobile insurance broker app like Jerry can help you compare auto insurance rates from multiple insurance companies in just a couple of minutes and without any long forms.

Can a broker help me with my insurance claim?

No—a broker can’t help you with your insurance claim, but they can help you find an insurance provider with a smooth claims process.

Meet our experts

Bonnie Stinson

Bonnie Stinson is an insurance writer with 8+ years of experience as a content writer. They specialize in making complex topics like insurance and technology easy to understand. Bonnie has written over 1,300 articles to help people become confident car owners, from how to choose the right car and build a car insurance policy to dealing with stressful situations like car accidents and unexpected repairs.

Before joining Jerry’s editorial team, Bonnie worked as a digital media strategist and user experience researcher, producing content for Furnishr, STACKEDD Magazine, InfinityCore Health, and the global non-profit Giraffe Heroes.

Sarah Gray

Licensed Insurance Agent — Expert Insurance Writer and Editor

Sarah Gray is an insurance writer with nearly a decade of experience in publishing and writing. Sarah specializes in writing articles that educate car owners and buyers on the full scope of car ownership—from shopping for and buying a new car to scrapping one that’s breathed its last and everything in between. Sarah has authored over 1,500 articles for Jerry on topics ranging from first-time buyer programs to how to get a salvage title for a totaled car.

Prior to joining Jerry, Sarah was a full-time professor of English literature and composition with multiple academic writing publications.

SOURCES

https://www.iii.org/publications/commercial-insurance/how-it-functions/regulation