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Is Your Insurance Broker Working For You?

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The Average NZ Insurance Broker

When an average Auckland insurance broker is asked “why should I do business with you?” many will say it’s because they manage risk, provide insurance advice and get the best products. That’s their pitch to you.

Small business owners get a different experience. General feedback is that NZ insurance brokers are not meeting their needs. Many see their Christchurch insurance broker as an expensive middleman.

Customers of Auckland insurance brokers don’t think they are transparent. Many feel their insurance broking provider doesn’t get to know their business enough. Many small business owners don’t know if their insurance broker in Auckland is getting the best prices for them. This reduces trust. There are other reasons why business insurance brokers NZ are not trusted.

For too long, the biggest threat to Christchurch insurance brokers have been themselves. By concentrating on high commission, sales volumes, profit bonuses and marketing fees, they have created a high-cost base. This is paid for by customers. Few Hamilton insurance brokers deliver what their industry promotes. Poor service has encouraged customers to look elsewhere.

So, let’s test your business insurance broker NZ wide. When was the last time your Christchurch insurance broker met with you to review your insurance needs? When did they provide business risk management? How about finding better products and prices for you?

Do you feel that your insurance broker Dunedin-based provides personalised service? Are they fast? Do they make it easy to do business?

We have ten questions to ask about your broker.

1. How well does your NZbroker know your business and understand your needs?

2. Is your relationship with your broker close?

3. Does your broker meet with face-to-face enough times in a year?

4. Does your broker proactively update you on business issues and matters affecting your industry?

5. Do you source business risk advice from your broker or do you turn to your accountant, local business chamber and industry association?

6. Do you know how much of your premium your broker keeps as commission?

7. Does your broker charge you less than $50 in fees to process your insurance?

8. Does your broker provide quotes from three different insurers every year?

9. How fast can your insurance broker get you an insurance quote - an hour or two or a day or two or more like a week or two?

10. Can you contact your broker to buy, renew or update your insurance on weekends and evenings?

If you answered negatively to most of the questions, your broker is having a transactional relationship with you. You may recognise they are not getting to know you and your business. Without that, how can they provide advice or competitive quotes for insurance products?

But is there an alternative?


The Middleman Meets the Internet

Small business owners and sole traders are seeking transparency, personalisation, speed, ease of doing business and empowerment. They can find that online.

So, how does the internet deliver better insurance solutions when it comes to buying small business insurance online?


The Power of Insuring Online

We’ve all bought products and services through the internet. It’s easier and we get more choice. It’s faster and more convenient. It’s available when it suits us. We can research before buying. We can personalise our order and it is confirmed instantly. We feel empowered and informed. We save money.

When it comes to buying small business insurance cover, the internet brings the same benefits. You know your business better than anyone else and you may be better off than with your current insurance broker in Napier or Hamilton. After you’ve taken our ten question quiz, you might well find that it’s time for you to insure online elsewhere.

We ask that you read the policy wording to understand terms and conditions. You should make sure it is the right insurance product for you.

You can read more about what an insurance broker should do for you and understand more about the meaning of insurance in our newsroom.

Insure Online is a registered financial services general insurance broker operating in the New Zealand insurance market. Our insurance broking professional service provides commercial property insurance and cyber insurance to manage cyber risk.