Should you use an insurance broker? While it may be easier to go direct, especially with the growing availability of online products, a broker can provide you with added value and assistance when you most need it.
Price isn’t everything
Small businesses on tight margins are very aware of costs, so it’s easy to always opt for the cheapest product. But when it comes to insurance, choosing the cheapest option can have expensive consequences.
If a policy appears too good to be true, it’s likely to be just that. You may find that when it comes time to make a claim, you aren’t covered for what you need. Insurance brokers are able to compare policy prices and features to ensure you not only get value for money, but you are also fully covered for your requirements.
Covering all bases
While there are a number of online sites that can do an instant comparison of insurance companies and policies, these offerings don’t take your specific situation into consideration.
A broker can provide a thorough assessment of your insurance needs and find a policy that better suits your specific needs. It may take a little longer than getting an online recommendation, but you can rest assured that you’ll get the coverage you need.
‘If a policy appears too good to be true, it’s likely to be just that’.
Know who you’re dealing with
Buying insurance direct may be easy and straightforward, but what about when you need to make a claim?
We’re all familiar with the frustration of waiting on hold for a customer representative to get to us, only to be transferred to another department to deal with your particular request.
When you work with a broker, not only do you have an established relationship with the person who advised you on your policy, if you need to make a claim, you can hand the process over to them, leaving you free to run your business.
Lack of understanding a major risk
Daniel Holmes, Fitzpatrick General Manager, said the greatest risk of dealing with your insurance needs yourself is not understanding the product you’re buying.
“Liability policies can also be confusing. If you don’t fully understand what you’re buying, then what you end up with may not be the most appropriate product for you. But you won’t know that until it comes time to make a claim.”
He adds the advantages of using a broker come into their own when there is a high-value claim.
“If someone’s business premises has been destroyed and they have a $300,000 claim, then it can be very timeconsuming compiling all the information needed to complete the claim,” he said. “This is when you’re going to want someone who knows about insurance to be managing that process for you.”
Never used an insurance broker before? Talk to a broker today about the benefits they can bring to your business.
Important note
This article provides information rather than financial product or other advice. The content of this article, including any information contained in it, has been prepared without taking into account your objectives, financial situation or needs.
For more information or questions on your own policy, please contact Fitzpatrick & Co. Insurance Brokers on 03 8544 1600 or email: insure@ fitzpatrick.com.au OR visit the website at fitzpatrick.com.au.
Fitzpatrick & Co has specialised in the horticulture and arboriculture industry for over 30 years, providing assistance and financial support to companies, associations and events. Fitzpatrick is there when your industry needs you.