Why Would I Need An Insurance Broker?
Many people might think that in the 21st century that is a very fair question. After all, we have the internet, and it’s easy to go online to one of the comparison sites and find the cheapest insurance cover isn’t it?
Well, yes, and no.
Just to begin with, the comparison sites don’t compare all the different products from the 903 general insurance companies that are authorised in the UK, according to the Association of British Insurers. Of those, 340 are authorised in the UK and 563 are headquartered in another European country and passport in under Solvency II.
Now multiply 903 by all the different products that those insurance companies offer, and you are looking at an awful lot of policies. How do you know which is the right policy for you? Unless you are in the insurance industry, it is fair to say that you don’t. And neither do the comparison sites. Some insurance companies won’t let the comparison sites list their products anyway, so there is that to take into consideration as well. In fact, certain insurance companies boast in their advertising that they cannot be found on comparison sites.
Then there is the simple fact that not all insurance policies offer the same level of cover and may very well exclude the sort of situation that you are most likely to face. There are lots and lots of terms and conditions, exclusions, and what you might call get-out clauses, in many insurance policies. The biggest problem in this situation is that you may not realise it until something happens and you make a claim, only to find that it is excluded, and you are not covered.
Part of the problem is that policy documents are worded using legal terminology and the jargon of the industry, and unless you are familiar with it, you may become very confused.
An insurance broker can sort through all the different policies that look right for your needs and make certain that you are covered for what is required. That is the first and most important point about an insurance policy. The cost of the policy comes second. Otherwise you could simply opt for the “cheapest” policy and later find that you have made a very big mistake and been paying premiums for nothing.
Furthermore, an insurance broker does not work for the insurance companies. He/she gets paid a commission from the insurance company whose policy you decide to invest in. Either that, or some brokers will charge you, the client, a fee for carrying out the research and ensuring that they find the policy for your needs at the best price.
Even so, most insurance brokers will specialise in certain areas. For instance, at The Insurance Broker we specialise in marine cargo insurance among other things. This is a complex area on its’ own, but we have over 20 years of experience in international removals insurance and can find the right policy that will cover you for loss or damage to your belongings when they are in transit as you move to a foreign country. We also help you if you need to make a claim.
International removals insurance can get very complicated when something goes wrong because your belongings may be in different hands at different times. For instance, there is road transport, shipping, air freight, warehousing, customs clearance, and so on, and if you need to make a claim you may need to know in whose hands your belongings were when damage or loss occurred.
There are also several different types of insurance for moving goods abroad, and you need to be sure that you get the right one for your individual situation. That is our job as insurance brokers: to ensure you have the policy which covers what you need, and to get it at the best rate.