Allianz has said that recent changes within its broker and agency division are largely complete.
The major insurer added Michelle Hay as general manager for consumer, SME, and platform solutions and Alison Brough as national manager for strategy and key partnerships last week, following the earlier addition of Glenn Drinnan as general manager, broker distribution, to continue its broker-facing revamp.
David Hosking, Allianz’s chief general manager, broker and agency, told Insurance Business that the majority of the work is now complete.
“These changes are part of a bit of thinking we have been doing over the last 12 months,” Hosking said. “There is still a little bit of work to be really specific with how we take that to market but that is the upper model done, the operating model done and now we are in the process of implementing that through the business.”
Hosking noted that the moves came as “a direct response to the way brokers and underwriters will trade” in the future. He said that the insurer started with the end customer, be that a consumer, an SME, an agri-market, mid-market, large corporate, or Government client and acknowledged that each shared one fundamental: they had chosen to work with a broker.
“We started to think about those segments and how they are using a broker - and the way that brokers and underwriters will trade over the next few years is likely to change a bit,” Hosking continued. “We then flicked to our proposition and figured out we have to provide more than product, more than just words on a page that agree what we will pay if certain events occur, to really be offering more around solutions.
“It led us to think we need to be a little more solutions focused.”
While Hosking acknowledges the traditional relationship between broker and underwriter may change and evolve, he does not expect dramatic change even though technology and broker aggregation have a key role to play.
“A lot of these changes will be more slow burn than a rapid evolution,” Hosking continued. “The advancements in technology mean that the machines can do more; they can price risk, they can process automation. I can certainly see that becoming more of a feature.
“I think this model really sets us up to make sure we stay ahead of what is happening, or at least move in sync with what is happening there.”
Hosking added that improving efficiency is a key strategic goal following the changes – with ease of doing business top of mind for the insurer.
“In our view, the less time the broker is spending mucking around with underwriting systems and the more time they can spend on their client and their client’s needs, the better off we all are,” he concluded.
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