OPINION ARTICLES

Why cutting out the middle man is not always the best advice

Nowadays it is easy to get insured. With so many avenues at your disposal, you can select an insurer with the click of a button. In this article, we answer one of the most important questions when it comes to your insurance: Do you really need a broker?

First of all, it is important to understand that a broker does not work for the insurance companies they underwrite. They merely represent them and operate independently, offering services from multiple insurers.

A financial advisor (insurance broker) is a specialist in insurance and risk management. They act as your personal advisor on insurance matters and ensure that your most valuable assets are protected.

Below are a few points to consider when deciding if you should use a broker:

  You first

A broker will put your needs first and help you to adjust your insurance as your life progresses. Apart from giving you access to expert advice, knowledge and skills, it is vital to have a team of professionals at your disposal. This is especially true in the unfortunate event that you have to put in a claim.

  Customised solutions

Insurance is not a one-size-fits-all service. Everyone is different. That is why you need a financial advisor to help you choose the right cover for your needs. Many insurers specialise in a specific product or industry, such as home and car insurance. But what if you also need insurance for your boat, wildlife and business? That is where brokers come in. They have access to a wide array of services from the best insurers in the country. On top of that, they know how to get things done.

  At what cost?

It is not uncommon to think that you can save money by cutting out the middle man. However, dealing directly with an insurance company does not guarantee a better price. Many times, financial advisors can negotiate prices due to the number of policies they underwrite, or receive a fee for handling all the administrative work. Whatever the case, your broker will always be upfront with you about the costs involved. At least you won’t have to shop around for the best price and cover; your broker will do that for you.

  Peace of mind

Having a financial advisor means that you and your family are taken care of. Your advisor will help you protect your interests, avoid pitfalls and handle claims on your behalf. With personalised service and professional support, you can be sure that you will have insurance peace of mind.

  Did someone say extra?

Do you consider value-added services when you weigh your options? The right value-added services can bear immense value for you and your family. This includes free assistance services when you need it most, excess cover in the case of a claim and tracking, to mention a few. However, the most important value-added services are personal customer service and knowing that you have a team that will do whatever it takes to help you.

With so many brilliant insurers and brokers out there, you can shop around to your heart’s desire. Whatever you choose, make sure you do it for the right reasons.

Protect your future today.