We are independent & ad-supported. We may earn a commission for purchases made through our links.
Advertiser Disclosure
Our website is an independent, advertising-supported platform. We provide our content free of charge to our readers, and to keep it that way, we rely on revenue generated through advertisements and affiliate partnerships. This means that when you click on certain links on our site and make a purchase, we may earn a commission. Learn more.
How We Make Money
We sustain our operations through affiliate commissions and advertising. If you click on an affiliate link and make a purchase, we may receive a commission from the merchant at no additional cost to you. We also display advertisements on our website, which help generate revenue to support our work and keep our content free for readers. Our editorial team operates independently of our advertising and affiliate partnerships to ensure that our content remains unbiased and focused on providing you with the best information and recommendations based on thorough research and honest evaluations. To remain transparent, we’ve provided a list of our current affiliate partners here.

What is a Broker of Record?

H. Bliss
Updated May 16, 2024
Our promise to you
SmartCapitalMind is dedicated to creating trustworthy, high-quality content that always prioritizes transparency, integrity, and inclusivity above all else. Our ensure that our content creation and review process includes rigorous fact-checking, evidence-based, and continual updates to ensure accuracy and reliability.

Our Promise to you

Founded in 2002, our company has been a trusted resource for readers seeking informative and engaging content. Our dedication to quality remains unwavering—and will never change. We follow a strict editorial policy, ensuring that our content is authored by highly qualified professionals and edited by subject matter experts. This guarantees that everything we publish is objective, accurate, and trustworthy.

Over the years, we've refined our approach to cover a wide range of topics, providing readers with reliable and practical advice to enhance their knowledge and skills. That's why millions of readers turn to us each year. Join us in celebrating the joy of learning, guided by standards you can trust.

Editorial Standards

At SmartCapitalMind, we are committed to creating content that you can trust. Our editorial process is designed to ensure that every piece of content we publish is accurate, reliable, and informative.

Our team of experienced writers and editors follows a strict set of guidelines to ensure the highest quality content. We conduct thorough research, fact-check all information, and rely on credible sources to back up our claims. Our content is reviewed by subject-matter experts to ensure accuracy and clarity.

We believe in transparency and maintain editorial independence from our advertisers. Our team does not receive direct compensation from advertisers, allowing us to create unbiased content that prioritizes your interests.

A broker of record can work either in the insurance industry or in the real estate industry. In the insurance field, he or she is an designated representative chosen by the insured to advise him or her on matters of insurance. More commonly called a broker or agent, this person often acts as a liaison between the customer and the company. Though it is usually used in the insurance field, this term is occasionally used to describe certain real estate brokers. It may also refer to a letter that the policyholder or real estate customer must send to confirm a relationship with a broker in writing.

In insurance, a broker of record can work independently or in alliance with an insurance company. Paperwork and communications sent to and from the insurance company go through the broker, who often collects commission from the insurance companies whose policies they sell to the policyholder. Independent insurance brokers receive commissions from multiple insurance companies, while an affiliated broker only receives one from the affiliated company. Brokers are most often used by clients looking for life insurance and property insurance.

Policyholders can benefit from consulting a broker if they are unsure about which company or policy specifics to choose. Brokers can help explain insurance policy details and guide the policyholder to choosing the best policies for his or her individual situation. Because this person has a great deal of knowledge about the insurance agency, he or she may be able to get the policyholder a better deal than the client would have found working alone.

With online insurance purchases and insurance comparison websites becoming more common, consulting an in-person broker can be inconvenient. The Internet has a large number of websites dedicated to providing service and information for insurance seekers, so consulting an agent is not always more effective or efficient than online research. Buying an insurance policy online can also be less pressure for customers who dislike in-person sales.

In the real estate business, a broker of record is one type of licensed real estate broker responsible for keeping the real estate firm in compliance with local codes and regulations. This individual is largely responsible for making sure the real estate company is operating legally. He or she is usually charged with making sure that the other members of a real estate firm are correctly licensed to keep the business out of legal trouble. This employee may also assign agents to work with specific buyers.

SmartCapitalMind is dedicated to providing accurate and trustworthy information. We carefully select reputable sources and employ a rigorous fact-checking process to maintain the highest standards. To learn more about our commitment to accuracy, read our editorial process.
H. Bliss
By H. Bliss
Heather Bliss, a passionate writer with a background in communication, brings her love for connecting with others to her work. With a relevant degree, she crafts compelling content that informs and inspires, showcasing her unique perspective and her commitment to making a difference.
Discussion Comments
By starrynight — On Aug 19, 2011

@indemnifyme - I can see why people get attached to their agents of record. I've had insurance through companies directly and through agencies, and I have to say I prefer having an agent.

I feel like you get a lot more personalized service when you have a local agency. Instead of talking to some faceless person that may be hundreds of miles away, you can go right down the street and see your agent if you have any problems!

By indemnifyme — On Aug 18, 2011

I work in the insurance industry at an agency that works exclusively with one insurance company. The way the system works is pretty interesting and slightly confusing.

Although we only get commission from policies for which we are the agent of record on, we can service any policy written by any agency that works with the insurance company. However, when I work with an insured I can see who their agent of record is. If I do something for them that they have to sign off on, it's considered polite to forward the paperwork to the agent of record.

Some of the customers often don't understand they have an agent of record at all! They simply see the name of the insurance company and think that all the locations are the same. But then some of the customers get extremely attached to their agent!

H. Bliss
H. Bliss
Heather Bliss, a passionate writer with a background in communication, brings her love for connecting with others to her...
Learn more
SmartCapitalMind, in your inbox

Our latest articles, guides, and more, delivered daily.

SmartCapitalMind, in your inbox

Our latest articles, guides, and more, delivered daily.