The role of the Insurance Broker is further solidified by the development of the Insurance market. To help you better understand this principle, we present you with the advantages of an insurance broker:
• The Insurance broker works for the customer, however receives his compensation from the insurance company.
• The Insurance broker has access to detailed information regarding the insurance market. This includes financial information, politics as well as particularities of insurance companies, (with which they work, including) their products and general rules. The broker, focusing on the best interest of his clients, selects the best fitting insurance products, rates and conditions depending on the needs of the client. The broker is familiar with all of the rules surrounding insurance, as well as any new changes in those rules.
• The Insurance broker handles a large portfolio of insurances, allowing him to provide his clients with preferential discounts and better fitting conditions for the various insurance companies with which he works. With such an affiliation, the broker can most effectively take the necessary measures to ensure the most prompt and maximum reimbursement.
• All analyses, consultations and recommendations from the insurance broker are free of charge to the client.
The advantages of a broker over an insurance company are as follows:
| The Broker | The Insurance company |
|---|---|
| Advises | Covers coast of a risk |
| Makes a complete estimate of a risk | Sells insurance policies |
| Accepts responsibility for its professional advice | Takes no resposibility for erroneous advice |
| Possesses experience and knowledge to assess the risk | Attempts to minimize the risk |
The price ( the insurance premium ) to insure with a broker is the same as the price to insure directly with an insurance company. The reason for this is that the price of an insurance broker is included in the price of the policy.