Login
ISCOVER
Brokers are less inclined to sell insurance products in 2013 than they were in 2009, a comparison of new data shows.
According to the latest straw poll from The Adviser, just 58.9 per cent of brokers claim they offer clients insurance products as part of their presentation.
To continue reading the rest of this article, please log in.
Looking for more benefits? Become a Premium Member.
Create free account to get unlimited news articles and more!
Looking for more benefits? Become a Premium Member.
However, the same question was asked in 2009, and 74.2 per cent of brokers said they offered the additional service – 15.3 per cent more.
Frank Paratore, general manager at Ballast Finance, said he was surprised by the results.
“I would have expected it to be trending in the other direction,” he told The Adviser. “It does come as a little bit of a surprise.”
Mr Paratore said that brokers who don’t offer additional services and products are just shooting themselves in the foot.
“It’s money on the table that they are missing out on,” he said.
According to Mr Paratore, brokers who are looking to retire or sell their business are starting to catch on to diversification as a way to boost the value of the business.
“Brokers are starting to understand that it’s not just in the value of the loan book, but it’s about the business as a whole," he said.
“If you’re going to sell your trail book, you’re going to give someone a database. If you sell the whole business and you have diversified into other services to boost your bottom line, you’re going to get a much better price for not much more work.
“While the people at this stage are realising what they should have done, I hope that brokers realise it’s not just their income they’re affecting - it's their retirement fund too.”
