Understanding The Differences Between Medicare Insurance Agents and Brokers
This article originally appeared on thekatynews.com
When choosing Medicare as your secondary insurance for the future, you might feel a bit confused about whether or not to purchase an agent or broker. Both agents and brokers play a significant role in helping individuals find the right plan for them and their needs. However, there are some important differences that set these two roles apart.
A broker is a third party who will not sell you a product but help you make informed decisions on what is best for you based on certain factors. Once they understand your personal situation, they can guide you through an array of plans that are available to you. A broker won’t work directly with your insurer; they act as an intermediary between you and them.
On the other hand, a Medicare insurance agent works directly with your insurer, but only to help you make the right choice. If this sounds like something that would be beneficial to your situation, keep reading to learn more about Medicare insurance agents and brokers and things to consider before partnering with one.
What Does A Broker Do?
As we’ve already discussed, a broker helps you decide which plan to choose. They are not trying to sell you a product and do not work directly with a specific company.
A Medicare broker helps you collect information about different plans and then makes recommendations about which plan(s) would be best for you based on your personal situation. They will usually begin by asking you about your health and medical history. This is because certain conditions and diseases can affect which plans you qualify for.
After that, a broker will gather information about your current situation and help you and your loved ones gather all the necessary information to make informed decisions about what plan is best for you. As with an agent, a broker should also understand the Medicare Advantage and Medigap plans well.
What Does An Agent Do?
Before we go any further, let’s define what an agent is. An agent is hired by a company (such as an insurance company) to sell its products. An agent is typically employed by a group of insurance companies and is therefore considered a “broker” of sorts.
A Medicare insurance agent may represent more than one company, but they will always represent you and your best interests above all else. In other words, they are not trying to sell you a product; they are trying to help you choose the right product for your needs.
An agent will likely interview you and ask questions about your situation, so they know what your needs are. After that, they will research your options and help you find the right plan based on those needs.
An agent who works with the Big 65 should also be knowledgeable about the Medicare Advantage and Medigap plans (supplemental insurance plans).
Wrapping It Up
As you have seen, both play a crucial role in helping people make the most of their health insurance benefits. That said, there are three important distinctions to keep in mind. A Medicare insurance agent will work directly with a specific company to help you choose a product. On the other hand, a broker does not work for a specific company and will help you gather information about different plans and make recommendations about which is best for you.
An agent will take a percentage from the company you choose to buy your insurance, while a broker does not take any money from you. An agent will help you choose a product from a specific company. On the other hand, a broker will help you gather information about different plans and make recommendations about which one is best for you. We hope this article has provided valuable insight into the differences between Medicare agents and brokers.