An insurance broker works on behalf of their client (most often an individual or a company) to find them the most suitable insurance provider and policy for their needs. They will communicate with both the client and insurance companies to source and negotiate the best deal.
Insurance broking breakdown...
Research into the policies on offer from different providers forms a large part of this insurance broking. Insurance brokers will also handle any issues regarding renewal or any mid-term adjustment matters, work to attract potential new clients, collect premiums and process accounts.
Excellent communication and negotiation skills are vital in this game. These insurance professionals will liaise with insurance company representatives, such as underwriters who determine premiums from their end, as well as other experts on risk such as surveyors.
Different focuses in insurance broking...
There are some brokers who deal with most types of insurance. Others develop a career in a particular area of insurance. Commercial insurance brokers focus on complex insurance matters for big companies, including areas such as aviation, oil and gas, and may put together special reports for the insurer, surveyors or structural engineers for review.
Insurance brokers must also possess knowledge of risk management and be able to advise their clients accordingly to get them to reduce their exposure to the risks they face. Commercial awareness and a real understanding of the risks that their client may face are essential in order to find the policy that suits needs and has the best premium rate.
Insurance brokers mostly work standard working office hours. They earn commissions from the deals they make, usually on top of their salary, so the better you are at making deals and attracting new clients, the bigger you pay packet will be! Typical employers in this field are broker firms, or insurance or reinsurance firms.
How do I get into insurance broking?
The most common route of entry for this area is the graduate route, and many graduate roles will offer the chance to study for a Chartered Insurance Institute (CII) qualification. The experience and qualification will lay the foundations for career progression.