Shocking Truth About Insurance You Never Knew! Expert Reveals Secrets - with guest Clebe Best

Published Date: 10/08/2024

The Shocking Truth About Insurance You Never Knew: Expert Insights with Clebe Best

When most people think about insurance, they think of forms, fine print, and monthly premiums — a necessary evil, not a profession of passion. But according to industry veteran Clebe Best, Vice President of the Independent Insurance Agents and Brokers of Arizona (IIABAZ), that perception misses the real story.

“Insurance isn’t boring,” Best told host Karl Susman on Insurance Hour. “It’s a profession built on helping people — we’re selling a promise. And when you deliver on that promise, it feels incredible.”

That “promise” — the idea that insurance is a mutual trust, not just a transaction — was at the heart of this enlightening conversation. Together, Best and Susman unpacked what it really means to be an independent agent, why consumers misunderstand “full coverage,” how AI is reshaping the business, and why choosing the right broker can be the difference between financial safety and disaster.

From the Bay Area to the Desert: A Career Built on Trust

Clebe Best didn’t set out to join the insurance world. After graduating from UC Santa Barbara in the 1970s, he — like many of his generation — stumbled into the business through a family friend. But what started as a job at Continental Insurance quickly became a lifelong calling.

Best went on to work for AIG, serve as a marketing rep for Arizona and Nevada, and eventually found his own independent agency in Scottsdale, Arizona, which he has run for over 25 years.

His perspective bridges every side of the business: underwriting, marketing, and direct client advocacy. And in today’s turbulent market, that experience gives him a rare, 360-degree view of both consumer needs and carrier constraints.

What Is an Independent Insurance Agent — and Why It Matters

In an era of apps, online quotes, and direct-to-consumer platforms, it’s easy to forget that independent insurance agents still play a critical role in the system.

Unlike captive agents (who represent a single carrier) or direct providers (like those offering quotes online), independent agents and brokers represent the customer first — not the company.

“We’re like the realtors of the insurance world,” Best explained. “We’re not tied to one brand. We work for the insured, not the insurer.”

That independence allows agents to compare multiple companies, coverage types, and premium structures — tailoring policies around each client’s risk profile and financial situation.

Why “Selling a Promise” Defines the Industry

Both Susman and Best returned several times to the idea that insurance is fundamentally about trust.

You don’t buy a physical product; you buy a promise — that if disaster strikes, your insurer will step up to restore your home, your car, your business, or your peace of mind.

“When a client has a claim,” Best said, “that’s when the promise is tested. The paperwork turns into people — and the agent becomes the bridge that makes sure that promise is kept.”

That bridge, he explained, is built on communication. The agent, insurer, and insured form a “three-legged stool” — each dependent on the other for the relationship to stand.

If one leg breaks — say, the insurer denies a claim unfairly or the agent fails to explain coverage — the entire structure collapses.

The Trusted Advisor: Why Human Guidance Still Matters

One of the most powerful takeaways from the episode was Best’s argument that agents are not just salespeople — they’re trusted advisors.

A trusted advisor, he said, doesn’t just sell a policy and disappear. They’re there when the client has questions, when they suffer a loss, and when life circumstances change.

For example, when a client calls after a minor car accident, Best’s first step isn’t to file a claim. It’s to talk.

“Everyone has a different pain point,” he said. “For some, a $500 loss might feel huge. For others, maybe $5,000 isn’t worth a claim. My job is to help them think it through — not just jump into the process.”

That’s more than empathy; it’s risk management. Filing small or “nuisance” claims can harm a policyholder’s long-term insurability, especially in today’s hard market where even minor losses can lead to non-renewal.

“Every claim counts,” Best warned. “If anyone tells you otherwise, they’re wrong.”

The Myth of “Full Coverage”

If there’s one phrase that makes veteran brokers cringe, it’s “full coverage.”

“When a client says, ‘I want full coverage,’ what they’re really saying is, ‘I don’t know what I need — just give me everything,’” Susman joked.

Best agreed — and offered a blunt warning: there’s no such thing.

Insurance policies are modular — made up of parts, options, and exclusions. The idea of a “complete” or “all-risk” policy is a marketing illusion that can leave consumers dangerously underprotected.

“This isn’t a combo meal,” Best said. “You have to build a policy that fits you — your home, your car, your assets, your life stage.”

That’s where agents add real value. By explaining what’s covered, what’s not, and how to fill the gaps, they help clients avoid nasty surprises after a loss.

The AI Era: Threat or Opportunity?

When Best’s association, the IIABAZ, held its 90th annual convention, one theme dominated the discussion: Artificial Intelligence.

From underwriting to customer service, AI is transforming how insurers evaluate risk, price policies, and process claims.

But Best doesn’t see it as a threat.

“AI is coming — don’t be afraid of it,” he told younger professionals. “Whether you’re into computers, engineering, or analytics, there’s a place for you in this industry. The human element is still irreplaceable.”

In other words: technology may automate tasks, but it can’t automate trust.

The Hard Market Reality — and How Agents Are Navigating It

Both Susman and Best acknowledged what every California (and now Arizona) homeowner already knows: it’s a brutal time to shop for insurance.

Between wildfire risk, inflation, and regulatory constraints, many carriers have pulled back or raised rates dramatically.

“It’s like musical chairs,” Best said. “There are 10 chairs and 15 people — and you want to make sure your home is one of the best seats left.”

His advice? Make your property as attractive as possible to underwriters. That means:

• Keeping vegetation trimmed and defensible space clear.
• Replacing old roofs or outdated plumbing.
• Installing water detection systems if you’ve had prior leaks.
• Maintaining good credit and avoiding small claims.

These steps show insurers you’re a partner in risk prevention, not a liability.

Shopping for Coverage: Agent vs. Online Platforms

In today’s digital-first world, it’s easy to assume you can buy insurance online as easily as ordering a pizza.

And in some cases — say, for renters or a single vehicle — that’s fine. But as Best explained, once your life gets more complex, you need human expertise.

“When you’re young, renting an apartment and driving a used car, online coverage works,” he said. “But once you buy a home, start a business, or have a family — you need an agent. You need guidance.”

Online systems can’t assess nuanced risks like wildfire exposure, umbrella liability needs, or multi-property coordination.

“Your life gets more complicated,” Best said. “That’s when the guidance becomes critical.”

Why “Full Coverage” Isn’t Enough: Customization Is Key

As homeowners and drivers acquire assets, they often assume their policies automatically adjust — but that’s rarely true.

Best and Susman emphasized that policies must be custom-tailored as circumstances evolve. Buying a home, starting a business, inheriting jewelry, or owning collector vehicles all require specialized coverage.

“If you woke up tomorrow and it was gone — would it be a financial hardship?” Best asked. “If the answer is yes, it needs to be insured properly.”

Practical Tips to Lower Premiums — Without Sacrificing Protection

Rates are rising everywhere. But there are still smart ways to save:

1. Embrace Telematics for Auto Insurance

Best calls telematics “the best way to control your rate.” These driving apps track speed, braking, and mileage — rewarding safe drivers with real-time discounts.

“You control what you pay,” he said. “Make it a family competition.”

2. Maintain and Modernize Your Home

Insurance companies use aerial imagery and inspections to evaluate properties. Keeping your home clean, clutter-free, and well-maintained matters.

3. Install Safety Systems

Burglar alarms, leak detectors, and smart smoke sensors all earn discounts — and reduce risk of denial.

4. Avoid Frequent Small Claims

Save your policy for major losses. Minor claims can label you “high-risk” and limit future options.

5. Compare Coverage Annually

With markets changing fast, an annual review with your agent helps ensure you’re still getting value and protection.

Finding the Right Broker: Specialist Over Generalist

Perhaps the most important “truth” of the conversation came near the end.

“Insurance agents are like doctors,” Best said. “If you have a toothache, you don’t go to a brain surgeon. So don’t buy complex coverage from a generalist.”

He advises consumers to look for brokers who specialize in their type of risk — whether that’s luxury homes, professional liability, or small business insurance.

Ask about their experience, certifications, and industry affiliations. Word of mouth and professional associations like IIABA or local chambers of commerce can also lead to qualified experts.

The Human Side of the Industry

In the end, both Best and Susman returned to where they started: the idea that insurance isn’t a product — it’s a partnership.

“When you deliver on that promise,” Best reflected, “you’re helping people get their lives back on track. That’s what makes this business so meaningful.”

Insurance may be built on data and risk modeling, but its foundation is human connection — trust, empathy, and expertise.

As AI and regulation reshape the landscape, that human touch will only become more valuable.

“Technology can calculate,” Susman added, “but it can’t care. That’s what keeps us relevant.”

Final Thoughts: Rebuilding Trust, One Policy at a Time

Insurance may never be exciting, but as Best and Susman remind us, it’s one of society’s most vital safety nets.

Behind every premium payment is a promise. Behind every claim is a story. And behind every story is a professional — often an independent agent — working quietly to make sure people are protected when it matters most.

That’s the shocking truth most people never knew: insurance isn’t just about policies. It’s about people.