Managing risk helps you have peace of mind in the knowledge that your personal affairs or business will suffer minimally in case something bad happens. An insurance broker is a risk management professional who can help you find the best protection of risk for your business
Why an insurance broker?
- Insurance brokers are experts in both insurance and risk management. This means they can save you time by recommending the best risk management solutions for you. This saves you time and allows you to get the best protection for yourself or your business.
- Insurance brokers do not act as agents of a specific insurance company (if they do they must disclose it to you before selling you a policy). This allows them to offer professional advice rather than just sell you a particular policy.
What will you get from an insurance broker?
- Risk management
An insurance broker is a competent risk manager who will take time to understand your need. The broker will also evaluate the risks. Once these risks are known, the insurance broker will come up with a risk management strategy for you. This will help you reduce your risks so that when you take an insurance policy, you can end up paying less in premiums. The insurance broker also ensures that you do not over insure or under insure.
- Understanding of policies
There are many policies offered by insurance companies. An insurance broker understands the different policies offered by the different companies with their pros and cons. The broker will discuss these policies with you to help you choose the best insurance for your specific needs.
- Negotiation expertise
Insurance brokers can negotiate with insurance companies on the best deal for you based on your needs. Sometimes the cover you need can be complicated and needs a custom made policy. An insurance broker will also help you negotiate for claims speedily due to the more personalized service offered.
- Financial advice
Some Insurance Brokers are qualified to provide you with financial advice and are bound by law to do so in your best interests in case you need this service.
How do you choose an insurance broker?
Before choosing an insurance brokerage, the first thing you should do is find out if it has the Australian Financial License. The insurance brokers should have the correct academic qualifications. If these two conditions are met, find out what type of insurance the brokerage specializes in. Take time to look at the services they offer and find out how they bill. It is also important to understand their payment options.