No matter where you buy insurance, buy only from a licensed individual or company. To legally sell insurance in Vermont, agents and companies must be licensed with the State. This process safeguards consumers by making sure that applicants have met basic financial and background requirements under the law. Just because a company advertises on the Internet does not mean it is licensed to do business in Vermont.
To find out if an agent or company is licensed, or to look up the financial rating of a company, go to the Department of Financial Regulation’s website at https://dfr.vermont.gov/industry/insurance. To learn about any record of consumer complaints, call 800-964-1784. To find out if an agent has any record of disciplinary action, call Agent Licensing at 802-828-3303.
Buying Through A Professional Agent or Broker
An independent agent is known as a producer, or seller of insurance, and represents a variety of insurance companies. An exclusive agent represents only one insurer or a group of related insurers and agrees to place all or most of their business with that one company or group. Part of an agent’s job is to offer advice and service, so don’t be timid about questioning anything you don’t understand.
Buying Directly from A Company
Many people buy insurance directly from a company. Such companies advertise by telephone, mail, radio, TV, or Internet. When you buy direct, sometimes the price can be lower due to the absence of an agent or broker commission. Some direct response sales companies say that sales representatives are available to answer any purchase-related questions that an agent would. But you may need to be a little more assertive about getting answers to your questions.
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