Insurance Made Easy
Outsourcing the management and procurement of your business insurance is a fairly simple concept yet still gets confused with “what a broker does”. The waters are further muddied by the fact that brokers vary a great deal in the services they provide and their particular position on the sliding scale between salesmen and advisers. It is therefore accepted that the following is, very much, a generalised comparison of the business models rather than a reflection of any specific firm.
|Brokers||Outsourced Insurance Manager|
|Agents of both insured and insurer||Work 100% for their client|
|Sell insurance||Buy insurance on behalf of clients|
|Receive extra commission for account growth||Buying group benefits enjoyed by clients|
|Market choice limited by agency size||Truly market wide choice (no agency ties)|
|No access to “direct” markets||Present a viable option in procurement|
|“Partner insurers” influence insurer selection||No “partner” brokers or insurers|
|Cross selling targets for “add ons”||No sales targets|
|Premiums charged include commissions – incentive to negotiate lower costs?||Competition and procurement savings produce lower premiums|
|Potential conflicts of interest||No sales therefore no possible conflicts|
|Claims often dealt direct by insurers||Control and negotiation of all claims|
We hope the above helps you to make a better informed choice regarding the model which best suits your own business insurance needs.
We also hope, if you do agree the outsourced model is worth considering, that you will choose The Insurance Manager.
Why not contact us and find out more?