For any hardworking employee, a well-drafted insurance policy is crucial. This way, you can protect your assets, interests, properties, possessions–and, by extension, yourself. Thankfully there are many types of coverage that apply to just about anything. Among the most critical are life insurance, health insurance, auto insurance, and property insurance.
An insurance broker is a risk management expert who helps clients in the process of acquiring insurance. In most cases, insurance brokers on the Sunshine Coast or anywhere else represent multiple companies that offers insurance services. Brokers provide assistance to their clients in determining business or personal risk. They also give helpful advice to help a client make a claim or find out what properties are in need of insuring.
Insurance Brokers such as Insuring theProduct, a local Sunshine Coast insurance brokers are qualified, registered, and licensed to fully provide the required assistance to any client. Special training and licenses from associations like the Australian Securities and Investment Commission (ASIC) are required for insurance policies that involve investment. These are all factors that need to be considered when looking for a broker to act in your best interests. Alternatively, one can always be guaranteed that a broker is qualified if he or she is a member of the National Insurance Brokers Association (NIBA).
Australia offers many options for insurance policies, some of which might be too complex. This might present a problem to those who are interested in acquiring insurance for their properties. Insurance brokers know their way around these policies and are dedicated to helping a client understand the details, creating risk management plans depending on the latter’s personal or business needs.
Under the Corporations Act 2001, insurance brokers are required to present a client with a Statement of Advice (SOA) in retail type advice i.e. householders and motor vehicle etc. This document contains substantial information, advice, and the recommendations of the broker about a particular policy. This will serve as a plan of action or strategy when it comes to making a decision regarding the client’s chosen insurance policy. Brokers are also bound by the same Corporations Act to prioritise your needs over their own, and to let you know if their advice is based on inadequate information.
In addition, brokers are required to advise a client of fees required for their services. Some insurance brokers charge fees for services rendered, while others just receive commissions from the insurance companies that provide the policies.
(Source: Insurance Broker, Understand Insurance)