There are two kinds of agents: those who represent only one insurance company and those who represent more than one insurance company.

Agents offering insurance through their agency for only one company often are referred to as "captive agents" because the company they represent does not allow them to offer their customers competitive alternatives.

By contrast, agents offering insurance through their agency for more than one insurance agency are called "independent insurance agents," because they shop around for the best insurance values among a variety of competing companies.