A Captive Agent is an insurance agent who works for only one insurance company. He or she is paid the salary and the commission only by the company they work for. One is supposed to learn a single company’s policies, products and guidelines. This Agent has full knowledge about a company’s insurance products. He may be given an office space and other benefits by the employer and may be an independent contractor or a full time employee.
Advantages of being a Captive Agent
The most important advantage of being a Captive Agent is that, you do not have to do your own marketing and advertising as you already have the benefit of working under a recognized brand. Also, it is more certain that you will have a reliable compensation such as commission, sales bonus, salary and other benefits as per your performance.
Disadvantages of being a Captive Agent
The worst part of being a Captive Agent is that you have to convince the customers to buy the product, even if the product is suitable or not. This is because you represent a particular company and you have no option but to do as suggested. Also, if your company stops selling a product, you have to stop selling it too.
Your desire of becoming a Captivee agent solely depends on your needs and choice.