Independent insurance agents in Albuquerque, NM

The Concept of Insurance in a Nutshell

Most people do not like to talk too much about insurance. To many, it seems like an unnecessary expense that does not seem to accomplish anything. However, when trouble strikes in the form of an accident or other misfortune, the insurance policy can seem like a gift from Heaven. Independent insurance agents in Albuquerque, NM undoubtedly face this same attitude on a regular basis. When attempting to sell a policy, they can face customers who are ambivalent and resistant to taking on another monthly bill. However, when those same customers need to file a claim, they are usually thankful for the check from the insurance company that helps them reduce any out-of-pocket expenses.

Insurance can seem like a complex topic but in reality it is a pretty simple concept. The insured party pays a monthly fee, called a premium, to the insurance company. When dealing with independent insurance agents in Albuquerque, NM, they are paid a percentage of the premium each month in addition to an amount they receive upfront to enact the policy. If a covered event occurs, the customer can then file a claim. If the insurance company determines that the damages are factual and within the bounds of the policy, they will pay the insured the stated amount to offset damages.