Who is an insurance broker?
An insurance broker is an expert who acts as a middle man between a customer and the insurance company. They also help a customer find a policy that suits their needs. Insurance brokers represent the client and not the insurance company. They examine the terms and conditions of insurance policies and recommend the best approach for their clients at an affordable premium. Their primary role is to the client.
An insurance broker doesn’t bind coverage on behalf of an insurer. They only hand over the account to an insurer to complete the transaction.
How does an insurance broker make money?
An insurance broker makes money off commissions from selling insurance to businesses and individuals. Most commissions are between 2 to 8% of the premiums.
An insurance broker sells all insurance policies, including health insurance, life insurance, homeowner insurance and car insurance.
Responsibilities of an insurance broker
- Selling insurance
An insurance broker sells all kinds of insurances. They promote different insurance to new and existing clients. Help clients find the best policies and explain each policy point to them. They also carry out the necessary paperwork needed to sell an insurance policy.
- Conduct interviews
They interview their potential client to assess their risk when selling any insurance policy. In the case of health insurance, they gather medical records and evaluate finances and other documents to ensure that they advise on the right policy.
In car or property insurance, they inspect the property or vehicle, looking for the previous damages and the current condition. They then assess potential risks and advise you accordingly.
- Customise insurance policies
Depending on their assessment, they can create a special coverage package for clients. They make coverage plans that will satisfy the client's needs.
- Calculate payment plans, methods and premiums
They consider all the costs of the payment and organise payment plans and methods for their clients.
- Handle insurance claims
They collect information on clients' covers and assist them during the claim process. They also monitor the claims to ensure the client receives an equitable payment.
If you are looking for an insurance adviser that can help you get insurance cover, consult Insurance Advisernet. Visit our website or contact us for more information.