According to insurance law, what role does an agent fulfill?

The role of an agent in insurance law is to solicit, negotiate, procure, or effect insurance. This means that agents work directly with clients to help them understand their insurance needs and options. Additionally, they are responsible for facilitating the purchase of insurance policies by acting as intermediaries between the insurer and the policyholder.

This role encompasses a significant breadth of responsibilities, including explaining coverage options, guiding clients through the application process, and ensuring that policyholders are aware of the terms, conditions, and exclusions of the policies they are purchasing. Agents play a vital part in connecting individuals and businesses with the appropriate insurance products, ensuring that their clients are adequately protected against various risks.

In contrast, managing the claims process is typically a function of claims adjusters or the insurer's claims department, rather than the agent. Underwriting, which involves evaluating risks and determining appropriate premium rates, is usually performed by underwriters employed by the insurance companies themselves, not by agents. Finally, while agents work for policyholders, they also represent the insurance company and are not solely focused on the client's interests; their role requires balancing the needs of both parties.