What Does Direct Writing Agent Mean?
A direct writing agent is a person who only sells insurance policies on behalf of one insurer. Thus, they do not connect customers to various insurance companies but only focus on selling the insurance products of one company.
Direct writing agents are also referred to as captive agents.
Insuranceopedia Explains Direct Writing Agent
Direct writing agents are an alternative to independent insurance agents who sell policies for a number of different insurance companies. The latter are not bound by contract to only represent one company.
Many of the largest and most well-known insurance companies use direct writing agents. These professionals typically qualify as employees of the insurance company they sell policies for. This can save them from having to pay expenses that independent agents often have to pay, such as rent for an independent office.