Your Business: Retail Insurance

Insurance Shop - is the most promising and advanced model in the retail insurance business. Here, insurance products are sold as well as at the supermarket, in the neighborhood. According to the experts in this market, all the prospects of this model is yet to come, so the forward-looking entrepreneurs operate in the future.

It's no secret - the insurance market in Russia is at an early stage of development. Insurance culture among the population is poorly developed, and constitute the bulk of the contracts of insurance of cars. While brokers sold no more than 5-10% of policyholders.

Meanwhile, the classical model of the insurance business adopted in the West, involves just a narrow specialization, in which insurance companies only create and bringing to market its own products, while caring for their implementation take on the insurance brokers. In itoge approximately 80% of premiums in the U.S. and Europe gathered this broker, while the remaining 20% ​​comes from insurance companies, agents and direct sales in the offices of insurance companies.

Depending on the amount of funds that the agency or brokerage firm brings the insurer, he may, for example, increase the percentage of commissions or sell the policy at face value. And that satisfies both parties. The average cost of implementing the policy for the insurance company is not less than 30% of its price, while the brokerage does not exceed 25%. "That's why major insurance companies, such as" Ingosstrakh "," ROSNO "," Interros-Accord " "RESO-Guarantee" reluctant to work with brokers.

nsurance stores operate under the same conditions as regular insurance agents, that is, policies are at the same prices. And reduce the cost to customers only through its own reward. But the rate of stores still do not on price but on a wide range of proposals and professional consultations, which allow customers to select the most appropriate insurance for him.

Often, to insure, for example, a car, people would study the proposals of several dozens of companies to find the right quality and price of an option. Insurance stores offer customers products in one place the best-known, respected and trusted insurance companies, but are not limited to two or three, as do ordinary insurance agents, and collecting at least 10-15 sentences. At the same time, stores are not interested in selling insurance only to "their" companies, in contrast to agents who try to "vparit" insurance customer is the company that gives him a large commission. Although by law the commission is limited to a ceiling of ten percent. But there are insurance companies (and all market players know their names!), Which offer twice, three times. That's just the quality of services it provides to policyholders, so it is doubtful that serious partners prefer not to do business with this company and do not recommend it to their customers.

In the insurance market, sales of retail competition in almost not felt. That's why there peacefully get a variety of formats of trade. "Input Level" - it is ordinary citizens who earn by selling insurance to the families and loved ones, neighbors on the porch, and colleagues. Their income is on average $ 200-300 per month.

As for the sale of insurance policies as the main activity, the income there can be up to 3000 dollars. But ... just in a "pyramid" system of multi-level marketing, where agents are paid to managers at every stage of their progress. The average salary of such an agent today, less than 1000 dollars a month.

The next step in this business - selling insurance in mobile locations, "mobile shops". This method is actively used as a "private entrepreneurs", and some major insurers. Typically, these outlets are located at the offices of SAI, at the car and near the car dealerships - where there is a large concentration of people, to some extent related to the road. However, the most corn in the market place has long been divided between old-timers. So the newcomer will be hard to take its "place in the sun."

Some companies are trying to arrange insurance retail on the premises covered bus stops. Rent a "national office" does not come cheap - in Moscow, the amount of payments can reach thousands of dollars per month. Just want to enter into a contract of insurance in such a place a little frivolous. After all, determines the choice of insurers and contingent. As for the stops, and there detained for long periods only those citizens who use public transportation exclusively. Given the fact that the majority of insurance - car, it becomes apparent clearly a bad choice of a place of trade.

However, rumors of a fake city-states, which were spread on the market crooks forced citizens to be wary of all movable points and buy policies only stationary point of sale. It is not easy work, and agents, traveling to clients at home, because people are reluctant to open the door to unknown persons.

It was then drawn and the competitive advantages of insurance shopping. Permanent headquarters location, the convenience of external respectability and credible client.


Today, in order to create a forward-looking company - an insurance broker, you need approximately $ 1.5 million. These will be used to organize a distribution network covering the losses from the work in the first 8-9 months. The distribution network is quite complex. On the one hand - this office, which brings corporate clients and working lawyers, insurance experts that make up individual programs, etc. Then there are insurance shopping - a special office in which agents offer standard packages from different companies. And finally, special "points" - such as car dealerships.

A significant item of expenditure is staff salaries. In contrast, Agent brokerage specialists often receive a small salary and a percentage of sales. Insurance agents, by contrast, typically receive a very small salary, and a solid interest - an average of 15-20% of the premium.

In this paper an insurance broker has its own nuances, to know that a beginner is necessary.

First, in working with insurers oral, informal agreements to fix better on paper because in the event of a dispute the words to deeds, as they say, prishesh!

Secondly, we should not strive for large areas and a separate area. Better to let your office is small, but will "pass on" the greatest public place. At the "gold patch" the best place nice rack, a few chairs, surround it with light designs. Such equipment will not be expensive, especially if you mount it yourself.

Third, you need to plan a long time, until at least 9pm. After all, most of the customers comes after 17 hours, at the end of the day. With the amount of work on this point is quite a person to cope, so hire extra staff is inappropriate. The salary of the employee, usually made up of the commission for each concluded contract.

According to insurers, it is appropriate to deal with large clients, legal persons who realize that they pay for, can assess the level of services provided. Brokers and partners of large companies can significantly bring down the price of an insurance product for a major client. The fact that they can buy insurance from the company at par, and the insurance premium as you see fit.

As individuals, they by and large do not care where the couple and who has to buy insurance, because the price is not reflected. But the insurance companies make concessions to a good customer who buy more than one product, to maintain friendly relations with him, mainly also due to his reward. After all, the main task of an insurance broker at the initial stage - no profit, and increasing customer base.

In general insurance, private individuals - a very promising market, but until he brings a good and stable profits. A win at the major players in the corporate sector is simply unrealistic.

Although, if the market development will occur along the west path, then the prospects for brokering the most optimistic.