Insurance Broker FAQs
Insurance can be pretty complex so we've put together some questions and answers to help you understand what broking is.
What are the advantages of using a broker for my insurance?
We are experts in our field so we can help you in yours. Our knowledge, experience and risk management skills ensure we gain an in-depth understanding of your business, personal and life and health requirements. We identify risks, recommend the best protection for your needs, negotiate terms and give objective advice.
An insurance broker acts on your behalf with the insurance companies; with a broker you get the best advice for you and your business.
We are your insurance advocate and go into bat for you to ensure any valid claims are paid promptly and fairly.
How does a broker determine the best provider for my insurance?
First we take the time to analyse and understand your business and the risks your business is exposed to.
We then offer advice, not only on what policies and insurer best fits your needs but also provide risk management advice in conjunction with those policies to give you the best protection we can.
What training or qualifications does a broker have?
Our background, history, talent pool of expertise and experience adds a real world focus to formal training and education.
Crombie Lockwood is a corporate member of the Insurance Brokers Association of New Zealand (IBANZ). IBANZ ensures that brokers are appropriately qualified, efficient and trustworthy, and observe high standards of professional conduct and care. All IBANZ members must observe a special Code of Conduct and are subject to an external audit every twelve months.
IBANZ recognises individual members in the form of a “professional status”. We aim to have our brokers meet at least their Practising Insurance Broker (PIB) status which requires the achievement of at least ten Continuing Professional Development (CPD) points each year as one of the criteria.
IBANZ is also our main provider for insurance broking technical and behavioural training courses/seminars/webinars/e-learning. In addition to our extensive internal training calendar we use IBANZ programmes to ensure our brokers continue to receive an independent education.
The Australian and New Zealand Institute of Insurance and Finance (ANZIIF) is a leading provider of insurance and financial education, training and professional services. In addition to using ANZIIF for attaining our insurance broking qualifications we also utilise their continuing education programmes.
All financial advisers must comply with the requirements of the Financial Advisers Act 2008. This includes disclosure obligations which are set out in regulations. It confirms that you are receiving advice from a professional advisor who is authorised to give you insurance advice.
Is an insurance broker the same as an insurance agent?
No. A broker acts on your behalf and has access to the wholesale insurance market, while an agent acts on behalf of one or more insurance companies and can only access their insurance products.
Do I have a choice of which insurance company is used?
You are the boss…it’s our job to present the pros and cons of each insurer best suited to your requirements but we always act on your instruction for your benefit.
How are insurance brokers paid?
Our commission comes from the insurer premium. We are paid by the insurance companies. The rates of commission vary between insurers. The invoice total may also include a policy fee.
We have premium payment arrangements with insurers as provided in the Insurance Intermediaries Act 1994. We sometimes pay money to others who refer you to us. These payments are made from the commission received from insurers and fees you pay us.
Any payments we receive are totally transparent and disclosed.
How does a broker help if I need to claim?
Having someone you trust in stressful times makes all the difference. We know what information is needed to process a claim. No need for you to go back and forth to the insurers; we do the work for you, so you can concentrate on your business.
Our knowledge of how policies work and our relationships with insurers ensure your claims are settled fairly and promptly and in line with your policy wording.
To learn how we can help you, have a chat to a local broker Click Here
Important Information The information on this website is only intended to provide a general summary or introduction to a product, offering or service. Any decision to purchase this product should be based on specific advice for your business or personal needs. For further information on this product, offering or service please speak to your broker.