Page 81 - M1_Insurance Introduction Notes
P. 81
An individual or firm, whose full-time
occupation is the placement of insurance
business with insurance companies, is known as
an insurance broker. The broker receives
brokerage as a percentage of the premium from
the insurer.
The main difference between an agent and a
broker is that there are no restrictions on the
procurement of business by a broker for various
different insurance companies, while the agent
can only procure business for that particular
company which he represents.
Insurance brokers give advice to the insured
without charging them.
c. INSURANCE CONSULTANTS
81
