A policyholder is a person or a company/organization that has bought/purchased an insurance policy and has the authority to exercise all right under the contract of insurance.

An insurance broker is intermediary between insured and insurance company, they act on behalf of insured both individual and entities want to buy insurance,.

They are specialist/professional who act on behalf of their clients and provide professional advice in their interest.

They deals with all insurance companies and being a professional in insurance industry, they know who is who among all the insurers and help to select the best insurer for their clients.

It is a specialist that has the ability to understand access and rate the risk-appropriately. Such ability is gained as a result of years of experience dealing with such risks.

An underwriter normally protects the insurance company from accepting non-profitable business and determine appropriate rate of premium to charge.

An Insurance agent is a person who is authorized to act on behalf of insurance company for the purpose of arranging an agreement.

Why Insurance companies use agent are stated as follows:

1. To bring insurance to the doorstep of the insuring public.
2. To create more awareness to the public
3. To make the insurance business convenient for customers by serving as link
4. To assist the customers by explaining the term and conditions of the contract between them and the Insurer.

They deal with fraudulent agent by reporting them to the Law enforcement agencies as well as to the National Insurance Commission (NAICOM) for investigation and possible cancellation of his/her license.

To avoid fraudulent agents, customers should not do cash transaction with them. Also customers should pay by issued cheque or pay directly to company account (e-payment) and the official receipt of the insurer should be obtained from the agent.

They knows as agent that their license have been withdrawn by NAICOM because of their fraudulent act.

When happens become Non-operative agent on a policy, your insurance policy is still valid with the insurance company, you can deal directly with insurance company or through insurance broker.