Broker of Record

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Paul Tracy

Paul has been a respected figure in the financial markets for more than two decades.

Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 2 million monthly readers. While there, Paul authored and edited thousands of financial research briefs, was published on Nasdaq. com, Yahoo Finance, and dozens of other prominent media outlets, and appeared as a guest expert at prominent radio shows and i...

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Updated January 16, 2021

What is a Broker of Record?

A broker of record is an insurance agent who manages an insurance policy with a carrier on behalf of a policyholder.

How Does a Broker of Record Work?

Let's assume John Doe buys a whole life insurance policy. He hires Nancy Smith to help him evaluate his options and choose a carrier. Nancy handles the purchase process on John's behalf. John signs a broker-of-record letter indicating that Nancy is his insurance broker.

Why Does a Broker of Record Matter?

Being a broker of record is a way for insurance producers to earn commissions on the sale of a policy and to continue earning commissions for some or all of the duration of the policy. Because Nancy is the broker of record, she can receive copies of communications the carrier might send to John, as well as other quotes the carrier might give him.

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Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 2 million monthly readers.

If you have a question about Broker of Record, then please ask Paul.

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