The Insurance Agent

Because most consumers know little about life and health insurance coverages, they depend to a large extent on the insurance agent for advice and guidance. In fact the insurance agent is the embodiment of the insurance contract. Whether or not the public has a positive view of the insurance community will depend on the integrity, honesty, and knowledge of the insurance agent. If he does not act with the best interests of his clients in mind, all of insurance will suffer. In addition the insurance agent may be held personally responsible for losses which a client incurs because of the insurance agent’s wrongdoing. It is the potential influence of the insurance agent on the insurance purchaser that has led to his control by regulatory authorities. Aside from the responsibility owed insureds, the insurance agent is responsible to his principal.