While the terms are often used interchangeably, there is a subtle difference between an insurer and a carrier. An insurer is typically the entity that underwrites the insurance policy and insurance products. On the other hand, the carrier is responsible for administrating the policy and handling claims.
In conclusion, “insurer” and “carrier” are commonly interchangeable terms but have distinct roles in the insurance industry. When they write policies, insurers take on the financial risk, while carriers handle the day-to-day operations of those policies.
