Dallas Booth talks the future of broking
Industry associations and brokers alike widely agree that that the image of the industry needs to be boosted – it’s not a negative image of the industry causing problems, but sometimes there’s simply no image at all. This week Insurance Business TV sat down with NIBA CEO Dallas Booth, who says there’s still a lot of work to be done.
Video transcript below:
Stephanie Zillman, Business Insurance TV
Stephanie Zillman: In addition to building the skills of brokers themselves it is up to NIBA and brokerage firms alike to build the reputation of the industry and knowledge in the community around the value brokers offer. Dallas Booth, Chief Executive of NIBA, says it’s not so much there is a negative view of the industry, but in some cases there is no image at all.
Dallas Booth, Chief Executive of National Insurance Brokers Association (NIBA)
Dallas Booth: Look, I think to the extent to which there are stereotypes or there may be some doubts or negative comments I actually think it’s more through lack of knowledge, lack of information. There has been very few examples of people who have used brokers and have come off with a very poor view of what brokers do. The alternative which is the value brokers use overwhelmingly in their response so the trouble, the challenge for us, the challenge for NIBA is to break through the group of people who actually don’t know what brokers do and therefore are just not aware of the value they provide, that’s our big challenge for the next [little while].
Stephanie Zillman: Looking to the future Booth says, social media will be both a battle ground and a tool for brokers if used wisely.
Dallas Booth: Look social media is vital for the future; social media can have a negative impact. So there is chat rooms, there is blogs, there’s all sorts of things happening, it is very easy for somebody to spread a message whether it is an informed message or nearly informed message, it is very easy for a message to spread like wildfire through Social Media. Broking firms have to be aware of that, we monitor that ourselves here in NIBA. But Social Media can also be positive; it’s a very easy way to communicate good messages to spread the word and I think it’s particularly for smaller businesses, most brokers are small businesses, it’s actually a free service to market their firms, if they use it wisely, I can think they can be very effective in spreading their own messages.
Stephanie Zillman: According to NIBA the investment brokers stand to gain by nurturing their client relationships cannot be overstated, despite the onslaught of new technology, the client relationship will remain central for brokers.
Dallas Booth: Insurance broking for many many years has about a relationship. It’s the relationship with the client and the relationship with the Insurer and I think that has been the history and I think that is the future of broking. Broking is about the relationship with the client, understanding the client’s business and their needs and responding to that, advising on those needs and again the relationship with Insurer. Sure technology, technology platforms will be used to make the transactions as efficient as possible, but at the end of the day it’s the personal relationships between the broker and the client which will make sure that they, I’m convinced they have a role for the future, there is no doubt about that. But the ones with the good relationships who work to understand their clients and provide the trusted advice they will be successful in the future.
Stephanie Zillman: This is Stephanie Zillman reporting for Insurance Business TV.