Definition of "Agent"
Individual who sells and services insurance policies in either of two classifications:
- Independent agent represents at least two insurance companies and (at least in theory) services clients by searching the market for the most advantageous price for the most coverage. The agent's commission is a percentage of each premium paid and includes a fee for servicing the insured's policy. See also AMERICAN AGENCY SYSTEM.
- Direct writer represents only one company and sells only its policies. This agent is paid on a commission basis in much the same manner as the independent agent.
Popular Insurance Terms
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Present value of future benefits. This type of reserve would be applicable for single premium life insurance, paid-up insurance, single premium annuity, and a paid-up annuity. ...
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Endorsement attached to an insurance policy that eliminates coverage for certain specified perils. ...
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Dividends paid historically, currently, and projected. ...
Tax, under federal and state laws, on transfer of property made without payment or other value in exchange. ...
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