Agent vs. Broker - What is the Difference?
An Agent is someone who represents a single firm or company.
A Broker is someone who represents many firms or companies.
An Agent is typically someone who can sell insurance, or securities, to consumers.
A Broker can sell insurance and charge fees and commissions in exchange for helping someone.
An Agent is usually compensated by the Company directly.
A Broker can be compensated directly from the Company or charge a separate fee…they can’t do both.
An Agent is not usually a Broker, but a Broker can also be an agent.
Both get paid commissions for the services they represent. Both can act on behalf of the client. The biggest advantage is an Agent with only one firm is working for that firm.
A Broker is working for the client because they can find a solution based on many different options that they have.