Who does an insurance agent primarily represent?

An insurance agent primarily represents the insurance company. This is because the agent's primary role is to sell the policies offered by that company and to manage the relationship between the company and its policyholders. The agent is tasked with understanding the various products available, explaining the benefits and limitations of each policy, and providing customer service to the insured while ultimately working within the guidelines and interests of the insurance company they represent.

This representation means that the agent operates under the authority of the insurance company, often acting as their intermediary in transactions, ensuring that the company’s interests are safeguarded while also addressing the needs of policyholders. The agent's responsibility is not only to promote the company’s products but also to adhere to the regulations and practices set forth by the insurance company, which is crucial for maintaining compliance in the industry.

In contrast, while the agent interacts with insured individuals, their overarching duty remains to the insurance company. This distinct relationship ensures that the agent provides accurate information about the company's offerings, values the company's underwriting guidelines, and manages commissions in a manner that reflects the company's policies and goals.