Buying Insurance Directly vs. Through An Agent: Pros And Cons


Diving into the world of insurance can be a hurricane of information with different policies, attributes, coverages, and the like, but the truth of the matter is it doesn’t have to be. Let’s get into the nitty-gritty of buying renters insurance and whether or not you should do it yourself or go through an agent.

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1. Buying Insurance Directly

Buying direct refers to going to a specific company and taking out a policy on your own. Maybe you want to go through a company you’ve worked with before or you want to take out your renter insurance policy with the same company your car is insured under. In these circumstances, you already know what you need and who you want to work with.

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If you are interested in shopping around and have the time to do so, you can go online and figure out the average prices to determine which company best suits you. Buying direct is a quick and easy way to get insurance.

The Pros:

1. An expedited process as you do not have to go back and forth from you to the agent, to the prospective companies, in essence, you cut out the middle man.

2. You may find a cheaper policy without the influence of an agent.

3. It is extremely convenient and the majority of policies can be purchased online.

The Cons:

1. You may be purchasing a plan that doesn’t fully cover you.

2 Limited help is available if you do indeed require assistance.

Purchasing Insurance Through an Agent

Hiring an agent to help you acquire the best insurance plan can be a great idea. Agents are advocates in your corner that will listen to your needs, understand the possessions that are important to you, and help you in determining the best solution for you.

Normally these representatives focus on a specific geographic location meaning they understand the needs and requirements the typical renter is looking for in your neighborhood. An agent can recommend specific plans and let you know if particular policies are unnecessary as well we inform you if they believe you should have more coverage in other areas.

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The Pros:

1. Tailor-made solutions to your coverage needs.

2. Someone to answer any and all questions and act on your behalf.

3. Your agent can file claims on your behalf and provide guidance.

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The Cons:

1. Your agent may be biased toward a specific company as they normally work on commission.

2. The process will take longer than buying a plan directly.

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It is highly recommended to get renters insurance, regardless of the way you acquire your insurance policy. Renters insurance provides coverage for all of your belongings, offers a means of liability if someone were to fall or get injured in your home while also protecting you from natural disasters and a wide array of unexpected, sudden incidents that may occur. Think ahead, protect yourself and if you don’t yet have renters insurance, it’s time to get some.