Choosing a Broker

Do not underestimate the importance of a good broker. Find someone who you can trust and who has experience in personal and business insurance. Remember that your requirements will differ from somebody else's and your broker must be prepared to tailor a package to suit your needs. 

Besides the benefits offered by your insurer, brokers add value through personal attention, outstanding service and structured packages designed around your needs. Specialist intermediaries can help you make an informed decision about short-term insurance, by pointing out what the various insurers have to offer and at what price. 

They can obtain quotations from these insurers quickly and help you evaluate them. When you decide to accept a quotation, your broker will handle the administration for you, and review your portfolio regularly to ensure that your cover meets your needs and that your premium buys you the best value.

If you have to submit a claim, your broker will see to the administrative aspects, and act as a link between you and the insurer to ensure that the claim is finalised quickly and smoothly.

Choosing the right broker 

To choose a broker who will be able to look after your insurance affairs, give you excellent service and provides you with expert advice you should follow these steps:

• Find out whether the broker is a member of a professional association such as the Insurance Broker Council (IBC) or the South African Financial Services Intermediaries Association (SAFSIA). Members have to comply with strict requirements and observe a code of ethics. 
• Ask your broker for proof of his license from the Financial Services Board (FSB). According to legislation, providers of financial services and advice will have to register with the FSB to continue practicing.
• Choose an insurance broker who is an expert in the field of short-term insurance. 
• Go to a brokerage that has the necessary infrastructure to meet your needs. Find out whether the broker is always available during office hours.
• Does your broker provide a comprehensive claims management service? Find out whether he/she handles claims on your behalf or whether he/she simply refers you to the insurer, which means that ultimately you personally have to handle the claim. 
• If you have already appointed a broker to look after your affairs, you will soon know whether he is any good when things go wrong. Don't hesitate to take your business to another broker if you believe that your broker is not looking after you.