An insurance company is a company that buys insurance from third parties. Most insurance companies have offices in different major cities throughout the nation. A good example of an insurance company would be AIG, the largest of the big three. The major reason why insurance is so important is because it protects your assets, but also protects you and your family if something happens to you or one of your loved ones. Insurance is also a means of protection against losses from natural disasters or acts of nature.Insurance agencies usually are regulated by government agencies. They are licensed by government agencies in order to offer this kind of service. All insurance agents have to go through an examination, and pass certain requirements before they can be licensed. Insurance agents who are licensed must also keep up with changes in the laws. In most cases, insurance agents work as independent contractors. If a person buys insurance on their own, they will not have the help of an agent. If the individual needs to purchase insurance, they will usually look into an agent to give them advice about what type of insurance they should buy.Many insurance agents work for a single company. This is usually a large insurance company such as GEICO or Progressive. Sometimes smaller insurance companies hire agents to do insurance work for them. Insurance agents are required to abide by rules set forth by the Federal Trade Commission, or FTC. These rules cover their advertising, as well as working to keep the rates for their insurance low. These rules are designed to ensure that people who buy insurance to get the best price possible.