When shopping for insurance, many people assume that buying directly from a carrier is the cheapest option. After all, cutting out the middleman should lower costs, right?
Not exactly.
The reality is that insurance pricing is regulated, and whether you go directly to a carrier or work with an independent agent, the base premium rates are typically the same. However, working with an independent agent can provide significant advantages beyond just pricing.
Let’s bust the myth that direct insurance is always cheaper and show you how independent agents can actually save you money while providing better service.
How Insurance Rates Are Set
Before we compare direct carriers with independent agents, let’s first understand how insurance companies set their rates.
1. Insurance Premiums Are Pre-Filed and Regulated
Every insurance carrier must file its rates with state insurance regulators. This means they cannot charge different prices for the same policy based on where you purchase it.
2. Commissions Do Not Increase Your Premium
Independent agents, like Trailstone Insurance Group, earn commissions directly from the carrier—not from you. This means:
✔ Your premium remains the same whether you buy directly or through an agent.
✔ You do not pay extra for using an independent agent.
So why do quotes sometimes vary? Let’s break it down with real-world comparisons.
Direct Carriers vs. Independent Agents: Real-Life Examples
1. Progressive Direct vs. Trailstone
Let’s say you get a Progressive Direct quote for $700 for a six-month auto policy. Then, you get a quote from Trailstone Insurance Group for $747 for what seems like the same policy. Why the difference?
Several factors could be at play:
- Quote Timing: Rates fluctuate frequently, and quotes from different sources may be slightly out of sync.
- Policy Details: Slight differences in estimated annual mileage, coverage options, or limits can impact the price.
- Service and Support: Progressive Direct connects you with a call center, while Trailstone provides a dedicated agent who ensures your policy is customized to fit your needs.
Bottom Line: With Trailstone, you’re not just getting a policy—you’re getting an expert to help you manage coverage, file claims, and find the best deal year after year.
2. Allstate Exclusive Agent vs. Trailstone
Now, let’s look at an example with Allstate.
Matt and Amy, a couple shopping for insurance, originally worked with an Allstate Exclusive Agent for both their home and auto policies. Their bundled price seemed high, so they decided to compare rates.
When they came to Trailstone, here’s what happened:
- We placed their auto insurance with Allstate (which still offered them great auto rates).
- We placed their home insurance with Travelers, a better fit for their property.
- Total savings? Over $1,700 per year.
Why the difference? Exclusive agents only sell policies from one company—in this case, Allstate. Independent agents like Trailstone have access to multiple carriers, allowing them to find the best deals across different providers.
The Trailstone Difference: Why Independent Agents Win
1. We Shop Over 40 Top Insurance Carriers for You
Instead of being locked into one carrier’s rates, we compare multiple providers to find you the best price and coverage.
2. Personalized Service from Experts Who Care
With direct carriers, you often deal with a call center representative who may not be familiar with your policy history or coverage needs.
With Trailstone, you get:
✔ A dedicated insurance expert who understands your unique needs.
✔ A team that advocates for you when filing claims or adjusting policies.
✔ Guidance to help you understand complex coverage details.
3. The ‘Heart of a Teacher’ Approach
Insurance can be confusing. At Trailstone, we believe in educating clients, not just selling policies. We take the time to explain:
- Key coverage details so you know what you’re paying for.
- Policy exclusions so you’re not caught off guard.
- Ways to optimize coverage while keeping costs low.
4. Local Expertise That Matters
Independent agents understand regional risks and state regulations, ensuring you have the right protection based on where you live.
For example:
- If you live in a wildfire-prone area, we’ll ensure you have adequate home insurance coverage.
- If you’re in a high-traffic metro area, we’ll help you find the best auto insurance for city driving.
Key Takeaways: Should You Go Direct or Use an Independent Agent?
| Factor | Direct Carrier | Independent Agent (Trailstone) |
|---|---|---|
| Pricing | Set by the carrier and non-negotiable. | Set by the carrier and non-negotiable. |
| Quote Options | Only one company’s rates. | Rates from 40+ carriers. |
| Customer Service | Call center support. | Dedicated agent support. |
| Claims Support | Must navigate claims on your own. | Expert claims advocacy. |
| Coverage Flexibility | Limited to one carrier’s policies. | Ability to mix and match policies for better savings. |
| Education & Guidance | Minimal explanation. | Personalized, expert guidance. |
The Verdict: While direct carriers offer a simple way to buy insurance, they don’t always provide the best price or the best service. An independent agent like Trailstone Insurance Group gives you more choices, better service, and long-term savings.
Final Thoughts: Why Trailstone is the Smarter Choice
Insurance is a critical part of your financial well-being, and choosing the right partner makes all the difference.
At Trailstone Insurance Group, we:
✔ Compare policies from over 40 top-rated carriers.
✔ Provide dedicated, expert support for all your insurance needs.
✔ Help you understand your coverage so you’re never left guessing.
✔ Offer honest advice and real savings—not just a one-size-fits-all approach.
Why settle for a call center when you can have a real insurance expert on your side?
Contact Trailstone Insurance Group today for a free policy review and let us help you find the best insurance solution for your needs.
Stay informed. Stay protected. Stay confident in your coverage.