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In the world of Insurance Professionals, there are generally two kinds of Agents: Independent Agents and Captive Agents. To help you understand, we have investigated both Independent and Captive Agents, weighing the pros and cons so you can determine which Agent is right for you and your family.

Independent Agents

Independent Agents represent multiple insurance companies and work directly on behalf of the client.  The Agent is Independent from all companies he or she sells for allowing the Agent to objectively evaluate each individual insurance policy. 

Independent Agents are completely independent of a primary company. This results in the following benefits:

• Freedom from strict regulations of a parent company
• Freedom to cross-sell into other lines of insurance
• Ability to compare price, product and service amongst a variety of insurers
• Ability to sell a policy through another insurer if a primary insurer cannot write the policy
• And Much More...

An Independent Agent must be financially strong to maintain a successful agency.  Independent Agents receive the majority of their earnings through the commission of policies sold.  Independent Agents are responsible for providing their own resources to start and sustain their Agency. 

Captive Agents

By definition, Captive Agents work exclusively for one insurance company and are obliged to give business only to that company. While some Captive Agents belong to affiliated groups of their parent company, the Captive Agent's priority is to develop business for the parent company above all others. Parent companies often push certain policies over others and require agents to meet strict quotas, which might not always be in the clients best interest.

In return, the Insurance Company generally provides its Captive Agents with a salary base, allowance for office expenses and benefits such as pensions, life and health insurance, continued insurance training and credit union membership. And, while maintaining an estimated 5,000 captive agents worldwide, the captive agent population has reportedly been on the decline, according to the U.S. Department of Labor. 

Paschall Insurance Group, LLC is a strong, financially stable, and thriving Independent Insurance Agency. 

If you are currently with another Independent Agent or are looking to find a new Agency home, you should ask the following questions of your Agent/Agency:

• How many years have you been in business with your current Agency?
• How many active clients do you have in your Agency?  Has that number increased or decreased over the past 3 years?
• Has the Agent had any Bankruptcies, Foreclosures or Tax Liens in the past 5 years?
• How many years of experience do your employees have in direct insurance sales?

As the Consumer, the CHOICE is yours, but it is also your responsibility to take the time and do the research... Make the right choice for you and your family!