Cox Insurance attempts to break into the crowded software house market this week with the launch of its internet broking system, Brokersure.co.uk, after a year-long pilot.
Neil Utley, retail chief executive, says the system delivers the same technology into the high street broker's office that is used by Egg, the virtual bank which has a partnership deal with Cox.
“I don't think there are many companies that have spent £12m to bring their systems to the broker market,” he said.
Utley believes Brokersure.co.uk saves the average broker 60% of the current administration costs, and 6% of the overall premium.
Initially, Brokersure.co.uk offers private motor and home insurance, as well as travel and standard and premier vehicle rescue products.
Motorcycle cover and a commercial package product are likely to be added later.
There is a panel of 12 insurers for motor cover, and six for home, which Cox believes is the optimum number needed. But the insurer has 23 insurer partners overall to allow for change. Changes to the products can be made within 48 hours.
All products are written using Polaris, the industry standard. Prices are net rated and an application tool, called the commission calculator, enables brokers to vary commission and fee charges to achieve the total premium price.
Michael Whitfield, managing director of Brokersure.co.uk, says both will be useful in complying with the new regulation requirements of the General Insurance Standards Council (GISC).
He said: “Our commission calculator gives the broker flexibility in setting both his margin and the end price that the customer will pay. The single policy wording also overcomes the need for extensive staff training.”
