StateCover Guide
Glossary

Captive agent

By Editorial team, last reviewed

Quick answer

A captive agent, also called an exclusive agent, sells and services insurance for a single insurance company or a single group of companies. When you get a quote from a captive agent, you see that company's products and prices only.

How it works

Captive agents work on behalf of the insurer they represent. Because they focus on one company, they can explain its coverages, discounts and claims process in detail, and they can help you add or change policies with that company.

The trade-off is choice. A captive agent cannot quote other insurers, so to compare prices you need to contact other companies or agents yourself.

There are three common ways to buy car insurance:

  • Captive (exclusive) agents sell one company's products.
  • Independent agents represent several companies and can give you more than one quote.
  • Direct sales happen online, by phone or by mail with the insurer itself.

No channel is always cheaper. What matters is comparing quotes for the same coverages, limits and deductibles.

Sources

Last reviewed by the StateCover Guide editorial team. See our editorial policy. Spotted an error? Tell us.