Consultative Broker Briefing - V. IV, No. 12 - The Broker of Record Letter

The Consultative Broker™ Briefing
Volume IV, Number 12
A Free Publication of C.R. Ekern & Company
888.670.1177
www.crekern.com
Copyright, C. R. Ekern & Company, 2002

"The Broker of Record Letter…It’s a Beautiful Thing"

I was speaking this week with a west coast-based broker that has been learning and following Consultative Brokerage Techniques. He was bemoaning the fact that while he had written $400,000 in new revenues in the past two months, he wasn’t being paid for his work. How can that be? He picked all this business up in mid-term by using Consultative Brokerage and Broker of Record letters (of course he was kidding about being disappointed.)

We have been urging you for some time to work exclusively via Broker of Record Letters and appointment. Now many of you are reporting tremendous results. For most of you, the time is absolutely right to make this transition. Once you do, your production career will soar.

Here is why so many Consultative Brokers are working exclusively by BOR:

They can broaden their prospecting base. They know issues and problems don’t revolve around x-dates. They do not limit themselves to calling on clients only at renewal time. Therefore, when a mid-term problem does develop, they are in a position to capitalize on it.
They can swim below the radar screen. Because they are not using the insurance marketplace as a competitive tool, they can stay hidden until the client makes his/her decision. There is much less confusion, noise, or chicanery. Run Silent, Run Deep!
They can pick their targets. Consultative Brokers choose prospects that match their resource capabilities. They use the specific application of resources to demonstrate how they can reduce the client’s cost structure.
They can become “bullet-proof.” As a Consultative Broker they have demonstrated their firm’s unique position as a client partner committed to helping reduce costs. It is impossible to attack this value proposition.
They can significantly increase their revenues. It is simple. They know that they will get paid for placing the renewal. Therefore, they are willing to service an account for a period of time at no revenue by being assured of the renewal.

One word of caution regarding Broker of Record Letters; when you are appointed as the broker, you must immediately do an account analysis. There have been some E&O cases where the new broker just copied the old broker’s work. In these cases the original broker did a shoddy job, and the new broker followed the same mistakes!

Understanding and practicing Broker of Record Letter appointments elevates your production and creates highly profitable clients. Your time can be spent resolving problems and developing relationships based upon professional expertise. It’s a beautiful thing!

Best regards to all Consultative Brokers,

Rob Ekern
President
C.R. Ekern & Company

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Consultative Brokerage® Techniques are utilized by agents and brokers across North America in the development and retention of upper middle market revenues. The Consultative Broker Briefing is delivered electronically free of charge to selected agents, brokers, and other insurance professionals across North America. To subscribe to The Consultative Broker Briefing, please click here.

Thank you.
C.R. Ekern & Company