Risk management offers untapped potential
Brokerages that cultivate risk management among their SME clients will be the ones to succeed within our ever-changing business landscape.
- More SMEs would like to receive information about risk management from their broker.
- Most SMEs feel relatively confident about their preparedness to deal with risk – but satisfied broker clients are significantly more confident.
- Many SMEs conduct regular risk analyses of their business, generally prompted as part of annual strategic review or insurance renewal.
- Brokers are predominantly perceived as advising on insurance policies and coverage, with only small numbers of SMEs seeing brokers as risk advisers.
When asked what information they’d be interested in receiving from their broker, an increasing number of SMEs would like a risk analysis, information about general business risks and case studies of businesses with similar risks. This suggests that SMEs have a strong appetite for risk-related information and that brokers should consider sharing information about risk more frequently. Not only is it relevant, but it will also help drive perceptions of broker expertise.
Talk to your clients about your risk advisory capacity, explaining in detail the expertise and services your brokerage offers in this area.
- Brokers need to be seen as more proactively involved in risk analysis activities and consider helping their clients conduct regular risk reviews.
- If brokers are to improve their perceptions as being risk advisers, rather than insurance sales, they need to highlight and communicate the role they can play in advising beyond insurance policies.
To see the full findings for 2019 and what they mean for brokers, download the report now: