Defining the Role of Commercial Insurance BrokersCommon though they are in the modern-day insurance landscape, terms such as commercial insurance and commercial insurance brokers continue to be slightly mystifying for the average business owner. The field of commercial insurance is complex at the best of times, and certainly vast enough for the everyman or woman on the street to find themselves slightly confused about what exactly terms like ‘commercial insurance’ and ‘commercial insurance brokers’ mean. It is with that in mind that the present article seeks to offer a brief, simple definition of said terms, as well as offer an overview of the role of commercial insurance brokers within the insurance field.

Commercial Insurance: a Definition

Reduced to its simplest essence, the term ‘commercial insurance’ refers to insurance which protects and covers commercial endeavours, such as businesses and manufacturing plants. Areas of coverage offered by a standard commercial insurance policy may include property damage, employee injury or accident cover.

The Role of Commercial Insurance Brokers

Commercial insurance brokers serve as the linking agent between business owners looking for the best possible commercial insurance policy and the insurance companies which provide it. In essence, these professionals help customers find the commercial insurance policy best suited to them, then negotiate its terms and underwriting directly with the insurer, sparing their clients the hassle of dealing with a process they do not fully understand.

In recent years, commercial insurance brokers have also taken on an ancillary, didactic role, helping less versed customers understand the complexities of business insurance, ensuring they have an understanding of what they are buying prior to helping them find the best insurance policy for their needs.

Hopefully, the lines above have cleared some of the confusion about what exactly is meant by commercial insurance, and what role commercial insurance brokers play in the process as a whole.