Is big still beautiful?: Professional Broking


For a long time it has been apparent to anyone concerned with the credibility of the insurance industry that a philosophy based upon greed for market share that funded unsustainable rating and commission levels to, effectively, service the debt of aggressive consolidators, is as inherently flawed as I have been banging on about for years.

INCOME; TRANSACTIONAL; TURNOVER; QUANTITY; PRICE; RESULTS; SHORT TERM; VOLATILE; COMPLEXITY

The choice for large insurers was to invest in a customer service and underwriting-led strategy that sought to identify, win, reward and retain "risk savvy" business leaders.

SERVICE; RELATIONSHIP; PROFITABILITY; QUALITY; VALUE; STRATEGY: LONG TERM; STABLE; TRANSPARENCY

If you are interested to know what the alternative looks like or would like to contribute in some way to making it a reality please get in touch.

Quote: Tony Cornell 

Is big still beautiful? Broking
"The rationale for big being beautiful is driven normally by economies of scale, reduced expenses and therefore lower prices or higher profits. This has proved to be an illusory objective. The majors have squandered their competitive advantage by passing on the savings and more in additional commission to distributors. This was often necessary to protect their dominant market share and make up for their inadequacies in service. Instead of benefiting by being big, they have paid dearly to stay big. Now as they try and readjust the balance, their service levels are exposed leaving the market open to the smaller service-driven players."

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