Insurance coverage is not always about price either, as different insurance companies operate differently and they will treat claims differently from company to company.
An insurance broker will also be more inclined to work with insurance companies who go out of their way to offer better customer service to their customers. Such items as free physicals each year for policyholders in a group health insurance plan for their employees. This tends to offer a better feeling among the employees and helps to keep the employer/customer happy.
Overall, insurance brokers are not employees of the insurance companies, but they do work in concert with them as they become the marketing arm in local communities. They join the civic clubs, attend church, serve on the school boards and are active in community affairs in their local communities. The insurance brokers form relationships that corporate advertising never could achieve, and those bonds that are formed are permanent and strong.
This is as true in Toronto as it is true anywhere else, and once insurance brokers become known on a first name basis, there is never again any question who people are going to do business with. This is true in Toronto, as it is true anywhere else in North America.
The way that the insurance broker system works is that the broker knows that his clients are going to need certain types of insurance. So he estimates he will need to become licensed with various insurance companies in order to provide the service to his or her customers in varying types of situations.
If the insurance broker is in commercial lines, he or she will probably want to be licensed with as many companies as feasible to meet the needs of the clients.