4 min read
Why Use an Insurance Broker?
An insurance broker is your adviser and advocate - they structure the right cover, shop the market on your behalf, and stand in your corner at claim time. Here's what that means in practice, and how brokers are paid.
What an insurance broker does
A broker works for you, not the insurer. They take the time to understand your risks, recommend the cover you actually need, and arrange it across a range of insurers - often getting access to wordings and terms you can't buy directly.
Good brokers do three things well: they get the structure right so you're not under- or over-insured, they negotiate the policy wording so it performs when you claim, and they manage the relationship year to year as your situation changes.
The real value shows up at claim time
It's a common misconception that a broker relationship is about saving on premium. The true value often becomes clear when a claim arises - when you need someone who knows how to read the wording, push back on a low assessment, and advocate for a fair outcome.
A cheap premium is worthless if the policy doesn't perform. We've turned a $5,000 offer into a full replacement, and a $5,000 marine assessment into a $68,000 settlement, by insisting on the right process. That's the difference an advocate makes.
How brokers are paid
Most brokers are paid a commission by the insurer when you pay your premium, and may also charge a fee for arranging or altering cover - disclosed to you up front. Some, like us, will rebate commission and charge a fee instead where that suits the engagement better.
The key is transparency: a good broker tells you how they're paid and manages any conflict of interest through a documented advice process. See our disclosures page for exactly how we operate.