Business scope of insurance brokerage company

According to Article 126 of the Insurance Law of People's Republic of China (PRC), an insurance broker is a unit that provides intermediary services for the insured to conclude an insurance contract with the insurer based on the interests of the insured, and collects commissions according to law. definition

Specifically, according to the specific needs of customers, insurance brokerage companies use their own professional advantages to provide customers with professional insurance plans and risk management programs. After signing the entrustment agreement with the customer, the insurance brokerage company will organize market inquiry or bidding, and select the insurance company with the best comprehensive underwriting conditions as the underwriting company. Safeguard the interests of customers in the negotiations with insurance companies and strive for the biggest discount for customers. In addition, insurance brokers also assist customers in formulating comprehensive risk management plans other than insurance. Risk management is highly professional, and insurance brokerage companies are recognized as professional risk management consultants in domestic and foreign insurance markets.

To put it bluntly: they help you start a business and charge you money.

Further reading: How to buy insurance, which is good, and teach you how to avoid these "pits" of insurance.