BUISENESS MANAGEMENT
RISK MANAGEMENT
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
earns a commission on the amount of coverage he/she sells to customers
|
|
|
may represent many different insurance companies
|
|
|
may work for a single insurance company
|
|
|
all of the above
|
Detailed explanation-1: -An insurance agent represents one or multiple insurance companies and sells their policies, usually for a commission. To begin with, an insurance agent works with you to understand your budget and insurance coverage needs.
Detailed explanation-2: -Definition: An agent is a person who represents an insurance firm and sells insurance policies on its behalf. Description: Generally, there are two types of such agents who reach the prospective parties that may be interested in buying insurance. These are independent agents and captive or exclusive agents.
Detailed explanation-3: -Consults with clients and prospective clients to assess insurance needs, budget, financial planning goals, and other relevant details. Provides rate quotes and coverage recommendations; assists with long-term planning. Assists with completion of application and other necessary paperwork; obtains underwriting approval.
Detailed explanation-4: -An insurance agent’s role is primarily that of a communicator, counselor and facilitator. The prospective customer can buy the best insurance products and services for his/her varied requirements viz. life, property, health, burglary insurance from the insurance agent.