As a purchaser of insurance, you would require good ethical guidance from a good insurance broker to guide you through the complexities of the insurance markets in order that you may secure the best possible coverage at a competitive price, to your specific requirements.

Here’s how you might approach this selection….

As you are aware, the insurance broker acts as an intermediary between you and insurance companies, using their knowledge and expertise to find you the best insurance policies as solutions to transfer your business risks wherever possible, to mitigate your risks within your operations.
Unlike Insurance Agents who represent a single specific insurer, and offer specific sections of policy coverage, Insurance Brokers work on behalf of their clients, offering a broader scope of options from the wide insurance markets and unbiased advice.

Careful consideration of several key factors comes into play when selecting an insurance broker, in order to ensure you make the best decisions for your business needs. True assessment of their expertise, their industry specialisations, ensuring their licence to practice, reputation within the clientele and the insurance markets, to the quality of service standards, all aspects which come together to fulfill the critical role an insurance  broker who can offer tailored, comprehensive solutions within the insurance markets to transfer and mitigate your risk.

Identify the insurance broker carrying that strong track record and expertise in your specific industry to provide the portfolio of insurance coverage you need. Specialisation matters because it means the broker will carry a deeper understanding of the risk portfolio associated with your sector and will offer more tailored solutions. This expertise enables the broker to provide advice that understands the generic but translates that to a more meticulously tailored specific coverage more practical and relevant to your operations.

Ensure the broker is licenced to operate as per the regulations by the Insurance Regulatory Commission of Sri Lanka (IRCSL). Review their Team’s experience and professional qualifications. Licencing ensures that your insurance broker meets the regulatory requirements to practice, offering you peace of mind regarding their legitimacy and professionalism.

In the local markets, it would be difficult to research insurance broker reputation by reading reviews and testimonials, as the culture is not set for online review. However, with the small business communities operating withing the country, good reputation carries within the necessary circles. A reputable broker will possess positive feedback from satisfied customers who will remain loyal to them. This, alongside a good rapport within the industry, gives a good gauge on dependability and reliability.

An experienced insurance broker should have specialists within the sectors of insurance classes, be it General or Life. Within the General Insurance sector your Broker needs to have a comprehensive knowledge of Property & Engineering, Casualty & Liability, Employee Benefits, along with the combined General & Life products that Sri Lanka carry.

A clever corporate insurance broker has access and understanding of a wide range of insurance products available locally and can be enabled from reaching out to global markets. A strong relationship with multiple insurers and even other insurance markets, strengthens the reach of this insurance broker, allowing them to negotiate better terms on your behalf and find insurance solutions that best match your corporate needs.

Always choose a broker who prioritises a personalised service and clear communication. The insurance broker should carry accountability to the confidence placed in him and be approachable and contactable. They should be committed to explaining the complex insurance jargon that the industry may hide behind, to help you understand the exact extent of your coverage. This enables a level of engagement which creates a transparent and trusting relationship, important for making informed decisions within every aspect of your operations.

In the unfortunate event of claims, you would find invaluable that insurance broker who will advocate for you, assist in understanding and streamlining the claims process, and reviewing the required documentation. Understand the services offered by potential brokers in their claims support services and assistance relating to the different stages of claims processes. Good support manages to significantly ease the impact of the frequent claims within your operations, and any complexity that would often be associated with the more severe claims. Assistance with the complicated completions of forms and required supporting documentation and processes of settlement at the end stage of claims, is best managed by having knowledgeable expertise by your side to navigate the procedures, and achieve, as much as possible a positive outcome.

Your broker should display transparency by clearly explaining the coverage terms and conditions, along with areas of risk you may not be able to transfer to your Insurers. This would enable you to prepare and process better strengthened contingency plans within your risk management systems. 

Reliability and trust are built on clear communication and understanding of each other’s expectations, along with being open and honest about business practices, pricing, and continued discussions of any potential issues which may be faced in the day-to-day liaising with each other.

Trust and integrity are the foundations of a good client-broker relationship.