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| Two Channels to Buy Insurance |  There are several ways to buy a policy for customers who shop for auto insurance. Some clients prefer the in-person discussion and personal attention of an agent/broker while others prefer the convenience of around-the-clock shopping. There are two separate channels to buy insurance: Drive Insurance from Progressive specializes in selling auto insurance through Drive agents/brokers, while Progressive Direct concentrates on selling insurance directly to customers by phone and online.
The companies that offer Drive insurance policies, as well as the companies that offer Progressive Direct policies, determine the expenses they incur and the prices of their products while having the needs of their customers in mind.
Because rates are based on the different costs of doing business, they range in part between channels. Agent/broker receives the commission for selling the policy. If you buy through a Drive agent/broker, your rate includes this commission. If you buy from Progressive Direct, which sells directly to the customer, the rate includes the cost of building, staffing and maintaining the Direct sales centers as well as Progressive Direct's marketing costs.
Drive and Progressive Direct make different solutions about their businesses that result in different rates. That’s why you won't know which company offers the lowest rate for you until you obtain a quote from a Drive agent/broker and from Progressive Direct. A Drive agent/broker may offer the lowest price for some clients while the Progressive Direct rates may be lower for others.
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Two Channels to Buy Insurance