Small agencies vs large agencies: which is better for insurance?

When planning to secure an insurance plan for yourself or your business, you will need to choose between hiring a large agency or a small agency to help you.

Do you know which one to choose?

Is it always best to go big and ask for the help of big companies? Or is there a significant advantage if you’d opt for a small agency?

This post will help you to decide which will be better for you. We’d enlist the advantages and disadvantages of choosing one over the other to allow you to decide intelligently.

Securing an insurance plan with the right agency is important because you would want to make sure that everything you’ll ever need is met and easily attended to.

Did you know that more and more people and business owners now prefer small agencies over large agencies? Read on to find out why and to learn more.

Large Agencies

Large agencies are big insurance agencies with numerous agents and thousands of possible insurance plans from different insurance companies. They offer their services nationwide. Any insurance agency that runs ads on print and TV are big-time companies.

If you’re clueless about how the insurance industry works, you would think that opting for a large agency is best. However, it comes with distinct advantages and disadvantages. Such are as follows:

Advantages

Working with a large agency is an easy choice because you know that they are reliable, trustworthy, and competent. Their reputation precedes them as large agencies have solid branding and marketing plans. Their network and services are known far and wide so you can be sure that you’d be under the guidance and support of true insurance experts.

1. Value for your money

Large agencies can offer significantly cheaper insurance plans. This is because they offer numerous plans from different insurance companies with varied deals and discounts for large companies that bring in high numbers of new customers. As they process in bulk and chunks, you can be sure that your insurance plan will be more affordable.

2. 24/7 Phone Support

Large agencies offer 24/7 live support to their customers via phone or live chat. Through such platforms, customers can easily raise concerns and questions anytime.

Large agencies have enough means to power solid customer support teams that can tend to all customers every hour. Should there be concerns on claims and provisions, a customer can easily reach out to any customer support agent for support and clarification.

3. Numerous Insurance Plan Choices

Large agencies tie-up and collaborate with numerous insurance companies nationwide. If you want more options for your preferred insurance plan, you will have more access to such if you’d opt to work with large agencies that offer insurance plans and options not just from local but even foreign insurance companies.

Disadvantages

You can’t go wrong if you’d opt to work with a large agency. However, you would have to deal with the following disadvantages:

1. Generic treatment

Large agencies have numerous customers nationwide. It will be wrong for you to assume that they will always be able to tend to all your needs because they offer their services to thousands of customers daily. Hence, it will not be easy for you to get a highly personalized and unique service from any of their agents.

2. Detached Customer Support

Large agencies provide support through 24/7 hotlines. Support may be accessible, but it is far from personal and assured. When you call for support, the people that will deal with your concerns are not necessarily insurance experts. What they would do is they forward your concern and would tell you the necessary steps and procedures. As they don’t know your account and case, no true solution can be had instantly.

Small Agencies

Small agencies are on the rise because more and more people are looking for their services. Most don’t offer nationwide services as they focus on serving local communities. Such intention makes them desirable to people with personal insurance needs and small business owners.

Advantages

Small agencies don’t have thousands of customers daily to focus on all your needs and concerns easily. Working with a small agency will feel like working with a trusted friend that you can call anytime.

1. Intensive personal service

Small agencies provide intensive personal service because they can really deal with clients on an eye-to-eye basis. As they can freely and easily discuss all client needs and concerns, insurance agents from small agencies can easily develop the best insurance plan for every single and distinct client needs.

2. Accommodating and personable support

Small agencies are not detached. They are run by staff and expert insurance agents that can warmly discuss all essential insurance matters to all clients. With a small agency, you will feel at ease and open with all your concerns.

Agents from small agencies will not overwhelm you and make you feel intimidated if you’re clueless. If you’re looking for top insurance brokers in Perth, you should reach out to The Matrix Group as they provide highly personalized and supportive insurance services.

3. Easy access to total support

Small agencies speedily provide total customer support. In just a call, their agents can instantly assess your concern and provide a solution. You need not go through a detached customer support agent that will only forward your concern. With small agencies, all your concerns can be immediately attended to.

Disadvantages

1. Slightly higher commission rate

Small agencies have higher commission rates as they have limited clientele traffic. Such is worth the extra costs through every small agency representative really supports and guides all their clients.

Choose Wisely

If you have general insurance needs and you’re after saving on costs, you should opt for a large agency.

But if you want a truly personalized insurance service that allows for accessible and speedy customer support at all times, you should work with a small agency.