Changing Role For Brokers Ahead
10th October 2003
CHANGING ROLE FOR BROKERS AHEAD
Newly elected president of the Corporation of Insurance Brokers of New Zealand, Frank Thompson, says the huge increases in insurance premiums experienced in the business sector, calls for smarter management of risks that were previously insured.
Mr Thompson says that while purchasing insurance will remain an important part of broking, the role of brokers is changing to providing clients with a wide range of advice on how to manage risk within their businesses.
“For commercial clients, good discipline in risk management will have a beneficial effect on their insurance costs while for larger clients, advice on alternative risk transfer mechanisms may be appropriate. For businesses with high-risk exposures, internal practices may be the difference between obtaining affordable insurance and being uninsured”, he says.
The Corporation of Insurance Brokers of New Zealand (CIBNZ) is the industry association representing the major general insurance broking and risk management firms in New Zealand. Member firms manage the placement of over 70% of insurance premium in New Zealand, handling in excess of $1.2 billion of premiums per annum and employing over 1,200 people.
Frank Thompson, Governing Director of broking firm FDB Thompson Ltd, brings 43 years of experience in both underwriting and broking to his new role. He now runs his own brokerage specialising in commercial insurance and risk advice and was previously the general manager of NZI. He has served on the executives of both the Insurance Council of New Zealand and Corporation of Insurance Brokers of New Zealand.