What characterizes a Captive Agent?

A captive agent is characterized by their exclusive relationship with a single insurance company. This means they are restricted to selling policies only from that one insurer, which allows them to specialize in the products offered by that company and often leads to a deeper knowledge of those specific offerings. Captive agents typically rely on the support and resources of the insurance company they represent, which can include training, marketing materials, and customer service assistance. This model helps clients receive tailored services and detailed guidance on the insurance products available from the agent's affiliated company.

In contrast, the other options describe different types of insurance agents. Those who can sell policies from multiple companies are known as independent agents, while agents who operate independently without any company restrictions do not fit the traditional model of captive agents. Additionally, the classification of agents based on the type of policies they sell, such as non-standard insurance, does not define a captive agent specifically, as captive agents may sell both standard and non-standard insurance products depending on the offerings of the company they represent.