Who represents the insurer in an insurance transaction?

An agent represents the insurer in an insurance transaction. Agents are licensed individuals or entities that have the authority to sell insurance products on behalf of the insurer, which means they act as a direct link between the insurance company and the potential policyholders. They have a fiduciary responsibility to the insurer to promote its interests in the marketplace.

Agents can take on different roles, such as being captive agents who only represent one insurance company or independent agents who can represent multiple insurers. Regardless of the type of agent, their primary role is to facilitate the sale of insurance policies, provide information about coverage options, and assist clients with making suitable insurance decisions.

In contrast, the other roles mentioned in the question serve different functions within the insurance industry. Brokers, for example, represent the insured rather than the insurer, offering clients access to multiple insurance policies from various companies. Adjusters handle claims and assess the amount of loss or damage, working mainly after a claim has been filed, while the insured is the individual or entity that purchases insurance coverage. Thus, recognizing the specific roles within the insurance process clarifies why the agent is the appropriate representative of the insurer.