The different types of intermediaries in the CRM context

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Face-to-face insurance sales are still undergoing a highly competitive transformation. One reason for the restructuring is digitalization, which is leading to a high level of economic, technological and social change among companies and customers and is receiving a significant boost thanks to Corona. Due to the interchangeability and homogeneity of product services and the possibility of comparison on the various channels, there is increasing competitive pressure. These challenges are forcing insurers and their agents to revise and expand the orientation of their sales and marketing channels. As a "hybrid agent", the salesperson must now master both traditional, personal and digital sales at a distance, sometimes even fully automated.

Insurers have already realized that investing in customer loyalty leads to more sales in the long term and is therefore on average six to seven times cheaper than acquiring new customers. Technological tools are latvia consumer email list already available to support sales. But how aware are agents of this and are there differences between the types of agents? This question will be examined below.

types of intermediaries in the insurance industry
The main players in insurance distribution, the types of intermediaries, are explained below.


The following differences can be found between the types of intermediaries:
The single-company representative or employee who sells an insurer's products stands between the customers and the insurer. He or she is dependent on the insurer whose product range he or she offers and represents the insurer to customers in a business-to-consumer (B2C) model. In the event of errors in advice, the brokers of an insurer's products are not personally liable; the insurance company is liable.
The multi-company agent, if he or she has different providers for each sector in their repertoire, is more likely to be on the side of the customer when comparing the types of agents. However, there are also so-called "pseudo-multiple agents". These agents only offer one provider for each sector and thus initially appear independent. They have a B2C relationship with the insurer. The agents have limited liability for errors in advice.
The broker is on the side of the customer. He or she offers the customer market-independent advice with the largest possible product range and therefore probably the best offer, and has a B2C relationship with the insurer.