As the market recovered and lenders’ product ranges began to increase again it became much easier to place applications. In this scenario a wide variety of products is a benefit to brokers. But can the same be said for the GI market?
Of course brokers want to be able to source the right insurance product for their client and to do this there must be a large selection of products available on the marketplace.
But do brokers want to have to spend hours trawling through insurance products and conducting complicated research in order to offer what is, essentially, an additional income stream and not their main source of business? I don’t think so.
A fellow GI provider recently increased the number of insurers on its panel, garnering fairly positive press coverage in doing so. But from speaking with brokers I can’t help but question whether there comes a point when there is too much choice and effort is certainly not perceived commensurate with reward.
In my opinion it is the responsibility of the GI Provider to support the broker by taking as much of the hard work and time-consuming research away as possible – supplying brokers with a select number of quality products which are very simple to understand seem a pre-requisite.
Offering a limited number of the very best products and a common policy wording across a product range can save valuable time for brokers. This way they can feel confident that they are offering a great product for their client without unnecessarily believing they are putting more into the sale than they are getting out of it.
We already know it can be difficult to convince clients they need GI. However if brokers decide it is too arduous a task to offer it we may be left with both a lot of people who don’t have adequate cover in place or alternatively consumers who increasingly seek personal finance advice outside of the broker marketplace.
Jason Berry is head of key accounts at Uinsure
