Who is an insurance broker?
An insurance broker is a professional who acts as an intermediary between the insuring public (i.e individuals, corporate organizations, and government establishments) and the insurance companies to facilitates add value to insurance transactions.
A broker no doubt plays significant roles as a middle-man to make insurance meaningful to the clients.
Infact, dealing with insurance company directly without a professional insurance broker is synonymous with Self-representation in law court (Pro se) without a lawyer.
Now tell me, you want to represent yourself in the law court; are you familiar with court procedures, discovery, evidential rules, negotiations and plead bargaining?
Sure, you’ll need a trained lawyer for a more favourable outcome.
Similarly, for insurance transactions as an insured; you can deal directly with an insurance company.
However;
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Can you technically handle premium negotiations to save cost, without a comprise to the scope of cover?
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Can you handle your claims successfully, subject to your understanding of the terms, conditions, and warranties of the policy?
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Are you familiar with the insurance industry, to know the particular insurance company; that has appetite and financial capacity for your risk exposure?
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Do you have the time and other resources to expend on the administrative activities relating to the Insurance transactions?
Trust me, you need a professional insurance broker to stand in the gap as an ADVOCATE to represent your interest with the insurance company.
Interestingly, in practice a broker does not charge for the services rendered to the insured!
