Buying Insurance is Better With an Insurance Agent

In an era where digital tools allow consumers to shop for insurance online, compare prices instantly, and complete transactions without ever speaking to an agent, one might think the role of an insurance agent is diminishing. However, research shows that despite the many digital disruptors and perceived conveniences, many consumers still value personal guidance when making important financial decisions like buying insurance.

According to a recent JD Power Auto Insurance Study, customer satisfaction with auto insurance providers continues to rise, with millennials and older generations alike seeking direct communication and even face-to-face interactions when buying insurance. While demand for digital tools grows, the study reinforces the fact that consumers still appreciate the reassurance of professional guidance.

Buying Insurance is an Important Decision

Insurance is an integral part of our economy, providing security to individuals, families, and businesses alike. It is so critical that it is highly regulated to protect consumers, ensuring companies remain solvent and claims get paid when needed.

Thousands of laws dictate how insurance premiums are priced and claims are processed, balancing statutory surplus requirements and consumer protection. Despite its complexity, insurance is often marketed as a simple commodity.

Yet, insurance company advertising frequently reduces it to a one-size-fits-all product … like a cup of coffee. The reality is far different.

The 15% for 15 Minutes Syndrome

GEICO revolutionized insurance advertising in the late ’90s with its famous “15 minutes could save you 15% or more” campaign. Combined with the GEICO Gecko, this marketing strategy became part of pop culture.

Without an agent network, GEICO relied on aggressive advertising to attract customers. This made sense for their direct-to-consumer model. However, what was unexpected was how the rest of the insurance industry followed suit, prioritizing price-based advertising over coverage differentiation.

Ironically, even GEICO recognizes that price isn’t everything—they position themselves as a high-value product, not just the cheapest option.

Not All Insurance is the Same

Because price is easy to compare, it often becomes the sole focus of insurance advertising. This leads consumers to assume all policies are the same—just a mix of limits, deductibles, and premiums.

However, this is far from the truth. Insurance policies differ significantly in their definitions, exclusions, and conditions. These details dictate when coverage applies and what is excluded. Some policies offer broad coverage, while others are written with narrow provisions that limit claims.

Think of it this way: if an insurance policy were a car, broad coverage would be a luxury brand like BMW, while a policy with numerous restrictions would be more like an outdated Gremlin. No one would choose a Gremlin over a BMW just to save a few dollars—yet many people make similar choices when buying insurance.

An insurance agent helps consumers understand these differences, ensuring they make informed decisions rather than simply selecting the lowest price.

Buying Insurance Online is a Good Option—If You Know What You’re Doing

There’s nothing wrong with purchasing insurance online—if you fully understand what you’re buying. It’s especially important when using comparison quote sites.

Without professional guidance, it’s easy for a consumer to assume that a low-cost policy from an unfamiliar provider offers the same protection as one from a premium carrier like Travelers or The Hartford. But policies vary widely, and without an agent’s insight, key exclusions and coverage gaps may be overlooked.

In the past, insurance was sold through face-to-face meetings, where agents visited homes, conducted inspections, and explained coverage options. While those days are gone, the need for professional consultation remains. A good insurance agent ensures clients understand their policy’s exclusions, conditions, and coverage limitations—helping them avoid unexpected surprises when filing a claim.

An agent also assesses financial risk. Without understanding the assets at stake, it’s difficult to determine the right level of coverage.

Understanding Coverage is Key

Insurance policies are complex contracts, often exceeding 30 pages of detailed legal language. While comparison sites make shopping appear easier, they rarely educate consumers on the differences between policies.

A good agent takes the time to explain coverage nuances, such as when limits apply, how exclusions work, and whether additional policies are needed for complete protection. Without this level of detail, a consumer may unknowingly purchase inadequate coverage.

The Bottom Line

Insurance is an intangible product—one we buy hoping never to use. This makes it easy to focus on price while ignoring policy differences.

We encourage consumers to work with a professional agent, get a full consultation, and make an informed decision. Many agents will provide an honest assessment of different policies—even those they don’t sell themselves. At IronPoint Insurance, we take a consultative approach to ensure our clients receive the best coverage for their needs.

If you don’t have an insurance agent yet, contact us or start a quote online. Our professional agents are ready to assist you.