Definition of Captive agent:
A captive agent is an insurance agent who only works for one insurance company. A captive agent is paid by that one company, usually with a combination of salary and commission, plus benefits. They may be a full-time employee or an independent contractor.
Insurance agents can choose to be either captive agents or independent agents. Captive agents work for only one insurance company whereas an independent agent does not work for any particular insurance company but rather can sell policies from an array of companies.
An agent who represents one insurance company exclusively.
How to use Captive agent in a sentence?
- A captive agent is an insurance agent that works for only one insurance company.
- Captive agents only sell the products of the insurance company they work for and cannot help individuals outside of that offering.
- Captive agents are usually paid a salary and commission and are provided with benefits.
- The disadvantages of being a captive again include cumbersome contracts, selling only specific products, and products that may not be in the best interest of the client.
- The advantages of being a captive agent include the benefits of working for a company, such as administrative tasks, a national advertising budget, and a client list.
- The opposite of a captive agent is an independent agent that works for many insurance companies.
Meaning of Captive agent & Captive agent Definition