A : An insurance broker is the agent for you, the client. An insurance broker’s initial duties include the analysis and survey of your insurance needs; the structure of an insurance program that would cover the risk exposure; the sourcing of comparative insurance quotations from the market; the clarification and discussion with you to choose the appropriate insurance program and the placement of the insurance that has been chosen.
Since most non-life insurance is on an annual basis, the broker’s duties would continue during the policy year. These would include the administration work of submission of the insurance policies, collection of premium from you and payment of premium to the underwriter. The insurance broker also monitors the insurance program and ensures that any changes of the risks insured are corrected and reflected in the insurance program. Regular meetings are needed.
If unfortunately there would be a claim during the year, it is the duty of the broker to handle and manage the claim until the claim is finally settled.
When the insurance program is due for renewal, it is the broker’s job to prepare renewal notice which would give the information of the risk and the sum insured, the renewal terms and conditions and the premium for the new policy year. Ideally the broker should have gone through the pre-renewal discussion with you to submit the result of the expiring policy year, premium paid and claims settled etc; to find out your needs for the coming year and to agree the renewal objectives before going out to source comparative terms from the market. The renewal discussion with the client is needed to come to a decision on the new policy program and the choice of underwriter.
It is quite obvious that a broker’s job is continuous throughout the year. Depending on the size and the complexities of each program, there could even be a monthly or quarterly meetings with the client to update the insurance positions, review outstanding issues including claim review etc.
A : How to know who a good insurance broker is similar to interviewing new employees. You will need to give the insurance broker your job and the experience he has. Ask him for his understanding of your business and the insurance you will need. Consider whether the insurance broker understands your needs or not, he is well versed in the insurance market and can negotiate. With the insurance company instead of you effectively? So you have the right insurance plan at the right price. Another important thing is that you have to ask the insurance broker’s team and consider whether it suits your needs or not. The way to know who is a good insurance broker is similar to the interview. Get a new employee You will need to give the insurance broker your job and the experience he has. Ask him for his understanding of your business and the insurance you will need. Consider whether the insurance broker understands your needs or not, he is well versed in the insurance market and can negotiate. With the insurance company instead of you effectively? So you have the right insurance plan at the right price. Another important thing is that you have to ask the insurance broker’s team and consider whether it suits your needs.
In academic terms A good insurance broker should have the following qualifications.
1.Have a thorough understanding of the business and customer needs. Insurance brokers must be experienced and familiar with the business. And the threat of business is very good. He should think like a customer. And representing customers So that he will be able to give you the correct insurance advice.
2. Knowledge of insurance and insurance market. Insurance brokers should have good insurance knowledge. To explain exclusions and conditions. Let customers listen easily. He must be able to answer questions and give explanations to the questions. The customer is clearly unclear, which if it is better, the insurance broker must have a reason. Or give a description example.
Knowledge of the insurance market and insurance companies is very necessary. Because insurance companies are not built in the same way, the risk is very different. Market knowledge both in the country and abroad will make insurance brokers. Find the right insurance company for your disaster. Save time and get the right insurance quote.
Thailand’s industrial growth As a result, the value of the insured property is enormous. It is imperative that insurance brokers have a network of contacts in Singapore, Hong Kong, the UK, Europe and other markets.
3. The status of the insurance broker in the market. Insurance brokers should have a reputation. And a good business history with insurance companies. Insurance brokers need a stable financial position. Accepted by a partner insurance company. And should have a good relationship with the market.
4. Have a strong support team. Because insurance brokers have a mission to provide services to their clients, there is a great need for support staff who are ready to handle every aspect of the job, including claims, information technology, finance and accounting.
5. There is an engineering support unit that will allow insurance brokers to conduct disaster surveys, risk analysis. And prepare a report that will be used as a tool to explain the insurance market. Have a good understanding of the business and customer risks. This will lead to a more appropriate premium rate.
A : No, it would not cost you more if you are using the right broker.
To start with, the broker knows the industry and should have the market norm of the insurance cost for different types of industry and various classes of insurance. He should therefore be able to benchmark your insurance cost and negotiate the right term for you.
Secondly the broker should have a little of that “bulk purchase power”. The broker is in the business of producing “business” for the insurance market. He is giving a lot of insurance premiums to the insurance companies and should have technically preferential treatment from the market.
Insurance broker is an integral part of the insurance industry. It is considered an important marketing mechanism of the market. A broker is an independent insurance business producer for the market, working however on behalf of the policyholder. The commission or brokerage is paid by the insurance companies to the broker for producing that business. With this marketing tool, the insurance industry can grow without the fixed cost of huge marketing resources. Imagine the cost to the insurance companies if they have to produce and service their business like a broker. It should, therefore, cost you more. Actually, it should cost you less if you are using the right broker.
A : The fundamental reason lies in the role of the broker in question No. 1. The broker is your agent and work on your behalf. He is not selling you insurance; rather he is buying insurance for you. The broker would therefore look at your interest as the prime objective of his work. And, look after your interest, he will.
The broker would use his market knowledge to access the underwriter that will write your risks. Normally he would try to access 3 or 4 companies to give you a comparison and a choice. Insurance companies, and that goes for their agents too, will not do that.
In a growing and complicated business world, insurance requirements are confusingly diverse and it is highly possible that an insurance company cannot provide all the insurances that you want. If you want to buy directly from the market, it would be time-consuming and can be frustrating trying to match the company and the risks. That should be the job of a professional broker.
As mentioned earlier, the value of the risks that need to be insured can be extremely high and no single insurance company can absorb the risk by himself. The complicated tasks of accessing capacity locally or overseas are best handled by the broker. It is a well-known fact that most insurance companies use the service of insurance brokers as well to access reinsurance capacity.
A : For a good professional broker, claim servicing is everything. It is the ultimate proof of a broker’s service. He should handle all your claims with the utmost seriousness. If he does not get your claim paid, all hard work that has gone in before means nothing.
Basically the broker would obtain claim information from you; or he would visit the site of the accident/loss and go over the circumstances of the claim together with you. He would be able to then advise you the extent of the coverage and the next steps to be taken.
The main work by the broker would be to advise the claim to the insurance company and work together with you and the loss adjuster assigned by the insurance company. He will coordinate and prepare the claim documents and necessary supporting evidence for submission to the loss adjuster. Further clarifications and negotiations with the loss adjuster will be undertaken until a fair and reasonable resolution of the claim is arrived.