Why is it that people try to cut out the middle man when it comes to hiring any service? Talking about insurance, people usually try to handle things directly because they don’t want to waste money on the middle man… the insurance broker.
Customers perceive that hiring a third party is unnecessary because all they do is take care of the paperwork. However, that’s not the case! An insurance broker helps you find the right fit with an insurer and makes sure that you are happy with the relationship.
Things that Matter to a Consumer
- Ease
- Cost
- Speed
- Security
- Peace of mind
Ease – Communication between Consumer and Insurance Broker
The problem with insurers is that if there are any changes in the policy, you are notified via email. There’s no open line of communication, where you are kept up to date. All things have to be dealt by you alone. Whereas, with an insurance broker on your side, you receive direct services such as phone calls, in-person meetings and immediate reply to emails.
Cost – Lower Premiums
The most noticeable difference between hiring an insurance broker and working with an insurer directly is the cost. Yes, you have to pay the broker’s fees but you get it back in the lower premiums. Why would an insurer give you this advantaged? It’s because an insurance broker will make sure that you are insured for the right assets and this reduces the risk for the insurer.
Speed – Expert Advice
Work tends to get done faster when you are working with an insurance broker. They have more knowledge in this area and will not steer you wrong. On the other hand, the insurer will be looking for loopholes that might benefit him. Often work is distributed in the firm and is given to people who are less educated in this area. This usually slows down the process when the time comes to claim the insurance.
Security – Personal Data Is Protected
Since an insurance broker conducts meetings either on the phone or face-to-face, people feel better about sharing their personal information rather than submitting it in online forms. This is one of the biggest benefits you get with an insurance broker!
Peace of Mind – Everything Is Covered
Insurance brokers give their best to make sure that the consumer gets the right policy, whereas as an insurer is more concerned about covering risk policies. The former service leaves you happy and satisfied with the advice you received and the latter service usually leaves you high and dry.
So, the verdict is that an insurance broker is indeed a better choice when it comes to purchasing insurance. These people are not just here to make money but to ensure that the consumer creates a connection with the insurer that will benefit both parties in the long term. So, top focusing on the small fee that you will be shelling out for the insurance broker and pay more attention to the bigger picture.
