Which type of agency primarily sells insurance directly to consumers through employees or contractors?

The type of agency that primarily sells insurance directly to consumers through employees or contractors is known as a Direct Response Company. This model relies on marketing and selling policies directly, typically through channels like television, internet, or other direct marketing techniques. The sales process often involves customers contacting the company directly, rather than going through an intermediary like an insurance agent.

Direct Response Companies are distinct because they bypass the traditional agency system, allowing them to connect directly with consumers. This approach often provides a more streamlined and potentially cost-effective way to deliver insurance products since it eliminates the commission fees associated with agents. As a result, consumers might find lower premiums when purchasing insurance through these companies.

In contrast, Exclusive Agencies and Independent Agencies involve agents who sell insurance products from various carriers but typically don't operate exclusively in a direct-response format. General Agents may manage agents and have broader responsibilities, but they don't fit the description of selling directly to consumers as employees or contractors in the same way Direct Response Companies do.