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Let's take fight back to comparison sites
Abbey for Intermediaries hit the headlines after revealing that mortgage brokers are failing to get a slice of £30m of sales commission by ignoring the general insurance market. It highlighted that on average only one in five clients buy buildings or contents insurance when they take out a mortgage with an intermediary.
It is a sorry state of affairs but one that is understood. Competition in this sector is intense - especially from direct operators. That’s why at Paymentshield we have introduced a price match facility as well as a freeze on core premiums at renewal so brokers can fight back and win market share.
If our best quote pricing does not already beat a client’s home insurance premium offered by a competitor, brokers can use Price Match to reduce the initial quote and then beat the competitor premium by £1 per month.
It is vital that in such a highly commoditised sector insurers provide innovative solutions that enable them to compete against their most potent business rivals.
Brokers should also be pointing out to clients that direct firms’ default answers and excess assumptions can leave a customer paying much more than they intended. More seriously, default answers that don’t exactly tally with a customer’s circumstances could rule the policy invalid.
It is in areas like this where brokers can excel and prove their added value to the client. The time has come to take the fight to the direct players and comparison sites by highlighting to customers the worth of the intermediary.
JAMES WATSON
SALES AND MARKETING DIRECTOR
PAYMENTSHIELD
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Readers' comments (2)
Dave Whitwam | 3 Feb 2010 11:36 am
Dont be fooled by this 'sheep in wolfs clothing' I have looked at this and there are so many loop holes its unbelievable and all to save a client 25p a week! Its a short term deal, some postcodes I tried were not included and claims in the last 12 months are also kicked out...too much trouble if you ask me. James Watson is correct in stating we should sell more GI but I will stick with Uinsure for now as its quick and cheaper than Paymentshield...sorry James!
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Gemma Ingram- Jones | 8 Feb 2010 5:47 pm
I have now been able to contact 2 customers who i couldnt get on board last year because they just wanted cheap prices and sell them a better policy with Paymentshield than the one they had and beat their renewal quotes. It didnt work for another client but 2 out of 3 isnt bad considering i probably wouldnt have tried otherwise. Well done to them for giving us one man bands the stuff to compete with the likes of Aviva and Direct Line.
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