Car Insurance Company takes new approach

By GETAHN WARD
Staff Writer

Direct General Corp., a Nashville car insurance company that started 15 years ago with a strategy of cutting out the middleman, said Tuesday it will start using independent agents in some rural areas where it doesn't have offices to boost sales.

The move marks a departure of sorts for a company that prided itself on cutting out independent agents and dealing directly with consumers. The company has 500 sales offices, mostly in the Southeast. Independent agents who sell more than one company's policies have accounted for no more than 2 percent of its sales, but that could grow under the new model.

Direct also has started selling more over the telephone and on the Internet.