What kind of agents have no contractual relationship with the insurance company they represent?

Independent agents are those who operate independently of any one insurance company and can represent multiple insurers at the same time. This allows them to offer clients a variety of policy options and coverages from different carriers, which can lead to more personalized service and potentially better-fitting insurance solutions for their clients. Since independent agents are not tied to any single insurer, they do not have a contractual relationship with the companies they represent, giving them the flexibility to advocate for their clients' best interests without loyalty to a particular brand.

Captive agents, on the other hand, are contracted to work exclusively with one insurance company, resulting in a direct contractual relationship that restricts them to selling products from that specific insurer. Exclusive agents operate under a similar model, where they can only sell products from the company they are affiliated with, thus also having a contractual relationship.

Therefore, the nature of independent agents makes them distinct in that they do not have binding agreements with specific insurers, allowing them more freedom in their operations and offerings.