Resident Agent

What Does Resident Agent Mean?

A resident agent, also known as a statutory agent, is a licensed insurance broker who operates in the state where they reside. Resident agents are authorized to sell insurance only within their state of residence and are not permitted to conduct business in other states.

Insuranceopedia Explains Resident Agent

Insurance laws in the U.S. are governed by state regulations, meaning that most insurance professionals, including brokers, are typically licensed only within their specific state. Because each state writes its own rules, requirements like the minimum car insurance every driver must carry can vary widely from one state to the next, and a resident agent only has the credentials to advise on the state where they hold their license.

A resident agent generally serves as the company’s representative for that state. Most of the best car insurance companies work through a network of resident agents in every state where they write policies, which is how a national carrier like State Farm or Allstate ends up being sold by a local agent in your town.