American Agency System

A way to sell insurance whereby a self-employed individual or an independent company offers policies through different, competing insurers. This person or company is responsible for finding potential policyholders and often explains the advantages and disadvantages of individual policies. If a client buys a policy, the person or company receives a commission from the insurer. The advantages to the American agency system are that it keeps costs down for insurance companies (because they do not have to pay for marketing themselves) and provides potential policyholders a wider array of options. It is also called the independent agency system.

References in periodicals archive

It is presented annually to an insurance carrier and its employees who have shown dedication to the American Agency System and the agencies they represent.

MIIAB names Integrity Insurance 2018 Company Award of Excellence

Alba Lifetime Achievement Award recognizes those individuals who for many years have demonstrated their commitment through exceptional service to the Big "I" associations and the American Agency System as a whole.

IIABSC installs officers & directors for new term

Post World War II, the two sides found common cause, if not a cessation of hostilities, when a new business model emerged to successfully challenge the hallowed "American Agency System," direct writing companies like Allstate and State Farm, which employed "captive agents" and focused on consumer advertising and automation.

Stirring the alphabet soup

Underwriters need to look at the ways to recreate the success of the American agency system, but with the mantra of better, faster, and cheaper.

Tackling call blockers: a decline in sales rates traced to the new Do Not Call law is expected to continue for at least a year for companies depending on the pre-existing business relationship exemption

-- Concerns expressed earlier this year by the Independent Insurance Agents of America about the long-term health of the American Agency System recently got a response from the chief executive of a major insurer.

C&F pledges 'solid partnership' if agents show 'strong, consistent support'

"When you just had to do things that hurt," said he, "and when you see men take a blow as they did, you know that they are real men and that you don't have to worry about the survival of the American agency system." His hosts probably greeted the sentiment with polite applause.

Insurance industry and its workers cannot be denied a fair return for services

Bergstein was honored for his dedication to PIA and for his more than 40 years of work on behalf of the American agency system, according to PIA.

Bergstein is PIANY / PIANJ distinguished insurance service honoree