For Commercial policyholders reviewing invoice and payment instructions
Agency bill vs. direct bill
Who sends the invoice and receives the premium—and why that does not change the policy itself.
Agency bill
With agency bill, the brokerage may invoice the insured and collect the amount due, then retain earned compensation and remit carrier or wholesale-market funds according to the transaction. The invoice and payment instructions should identify the brokerage and the amount due.
Direct bill
With direct bill, the insurer or its billing administrator generally invoices and collects from the policyholder. The carrier's statement, due date, installment plan, and payment channel control.
What to verify
- Invoice number and policy reference
- Payee and approved payment instructions
- Due date and amount
- Whether the invoice is agency or carrier issued
- Confirmation or receipt after payment
Avoid payment fraud
Treat unexpected changes to wire or ACH instructions as suspicious. Verify instructions using a known phone number rather than replying only to the message that announced the change. Payment is not complete merely because an instruction was sent.
Coverage and billing are related but distinct
An invoice is not a binder or policy. Payment can be a condition of coverage or continuation, but coverage status must be confirmed through the applicable carrier, policy, binder, cancellation notice, and authorized parties.