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Implied Authority

What Does Implied Authority Mean?

Implied authority is granted to agents who work on behalf of a company. Insurance agents are implied authorities because they have been granted permission to represent insurance companies and sell policies on their behalf.

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Insuranceopedia Explains Implied Authority

Insurance companies improve their efficiency by allowing agents to do some of the work on their behalf. Implied authority, then, not only enables agents to make a living but also improves the insurer's profitability.

Insurance companies retain the right to cancel the agent's implied authority if they so desire.

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InsuranceThe Insurance Business

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