| As Risk Management has developed as a discipline in | | | | Commercial Insurance clients will also seek a broker |
| it's own right, the insurance broking industry has | | | | who can help to plan a programme for handling such |
| recognised that additional technical services are | | | | exposures including the buying of insurance, and who |
| needed by its business clients as well as more | | | | can offer advice on the cremation of risk retention |
| innovative solutions to insurance buying. | | | | levels and the implementation of loss-prevention |
| Brokers have responded to this need by the | | | | schemes. |
| establishment of risk control departments specialising | | | | The Commercial Insurance Broker's general role in this |
| in health and safety issues, technical engineering skills, | | | | context is therefore to ensure that the client's |
| the establishment of management companies that | | | | business risk exposures are properly handled, and in |
| can look after the captive insurance companies of | | | | the financial area, this means by both by business |
| their major clients, and the transition from the | | | | insurance and non-insurance measures. |
| conventional commission-earning basis to a fee basis | | | | In addition the broker should, through his skilful |
| which reflects much more accurately the work and | | | | negotiating, volume of profitable account and |
| professional advice supplied by the broker rather than | | | | innovation, produce more effective insurance-buying |
| relating directly to the amount of insurance that is | | | | programmes and, last but by no means least, help |
| being sold. | | | | the client to reduce his business losses. |
| The Business Insurance buyer in looking for the | | | | The overall objective of Business Insurance Broker's |
| broker that can help him with his risk management | | | | risk management services are therefore to improve |
| will require one who is prepared to spend a | | | | the client company's financial performance by helping |
| considerable amount of time becoming familiar with | | | | to reduce expenditure upon insurance and avoid |
| the client's operations and risk exposures. | | | | potential loss situations. |