Insurance brokers and agents
28 May 2008In experts’ opinion, in 2008-2009 in the Ukrainian insurance market there will be many companies selling policies as intermediaries. Now in Ukraine similar structures make no more than two tens. Insurance “shops”, which are quite popular in Europe, are not represented in the country at all. The market is empty.
In experts’ opinion of the, regional companies, which will trade in policies of “brand” insurers will act in a role of agents.
It is a normal European practice. For example, in Poland in result of redistribution of the market, there are only 37 insurers and 1,5 thousand intermediaries.
The basic lack of work through intermediaries is caused by dependence of the insurer. « If the most part of premiums of the insurance company is brought by the independent agent with its leaving clients will leave also, - it speaks.
In the market of insurance services - to agents, financial advisers - the similar sanction to receive is not necessary for other intermediaries. If the person feels in itself ability and desire to sell policies - please! As many insurance companies actively develop system of retail, realization of policies requires services of agents - both as employees, and as intermediaries.
According to the Ukrainian legislation, only agents and brokers can be insurance intermediaries. The first ones work on behalf of the company, which policies they sell, and from which they receive compensation (commission fee). The second ones, on the contrary, work on the blessing of the client - advising him, looking for optimum variants in the insurance services market.
According to market participants, the brave insurance companies pay to agent’s commission fee at the rate of 10-15 % of cost of the transaction. Insurants give broker services about 15-20 %. Compensation of the last ones is more, because they do not simply sell the policy, but also “conduct” the client from consultation and purchases of the insurance before settlement of reception of insurance payment.
