Frequently Asked Questions > Does purchasing coverage through an insurance broker cost additional money?

Does purchasing coverage through an insurance broker cost additional money?

Posted on January 3, 2023

Insurance brokers are generally compensated through commissions paid by insurance companies — not by individual customers.

This method of distribution has many inherent benefits to consumers and insurance companies alike. For example, it allows carriers to focus their resources on underwriting and claims, while allowing brokers to serve customers with choice and unbiased advice.

Any fees paid by consumers to insurance brokers over and above policy premiums must be disclosed and agreed prior to issuing a policy.