The insurance industry is an important component of modern society, helping provide individuals, businesses, and other organizations with financial protection from losses due to events such as accidents, theft, or other unpredictable occurrences. Insurance works by transferring some of the financial risk of an event from the insured to the insurer. In exchange for a premium, the insurer agrees to pay claims, typically up to a pre-determined limit, if a covered event occurs.

Insurance is an important sector of the economy as it helps individuals and businesses to manage financial risk more effectively. However, the process of purchasing insurance can be complicated on both ends.

For instance, an insurance buyer might need assistance:

understanding how deductibles (the amount a buyer pays before insurance coverage kicks in) work;
understanding coverage terms and conditions (what is and is not covered by the policy);
working through the claims process (filling out paperwork, providing documentation, working with claim representatives to satisfy other requirements);
understanding plan options for specific needs;
understanding insurance companies' policies and procedures.

Additionally, buyers may feel overwhelmed by the range of insurance options available and may need guidance on which policies will best suit their needs. Fortunately, both insurance agents and insurance brokers can help.