An agent is appointed by an insurance company, approved by IRDA, and only needs a 12th standard education. A broker runs an independent licensed company, can negotiate with insurers, and their livelihood depends on broking as their main job. While both sell insurance, agents do not consider it their primary business and represent the insurance company, whereas brokers represent customers and insurance broking is their full-time career.

1. Agent or Broker?

2.  Appointed by insurance company
 Approved IRDA
 Anyone who has cleared 12th
standard and has been trained
Who is an agent?

3. Who is a broker?
 Independent professionals
 Private limited company licensed
by IRDA
 Has trained individuals
 Can negotiate with insurers on
products, pricing and claim
process

4. Similarities
Both sell
But…
How Important is it for them to
sell insurance?
Insurance

5. Agents
Do not sell insurance as primary
business
They may be musicians, students, etc.
Brokers
Broking is their mainstream job
Livelihood depends on broking
Relation with insurance

6. Representation…
An agent represents insurance company.
While…
Broker represents the customer.
The Difference

7. Summarizing it up…