Which characteristic defines Independent Agents?

Independent agents are characterized by their ability to represent multiple insurance companies, allowing them to offer a variety of policy options to their clients. This flexibility means that independent agents can renew policies with any of the companies they represent, providing clients with the opportunity to choose the policy that best fits their needs at the time of renewal.

This capacity to work with various insurers differentiates independent agents from captive agents, who typically represent only one insurer and are restricted in the range of products they can offer. As independent agents do not have an exclusive agreement with a single company, they can adapt to changes in the insurance market and client preferences, facilitating competitive pricing and coverage options.

The other options reflect requirements or limitations that do not apply to independent agents, such as exclusivity or different compensation structures. By being able to renew policies across different insurers, independent agents can better serve their clients with tailored solutions rather than being limited to a single company's offerings.