The Research Department has launched a new system, called PolicyGen, that enables brokers to compare products in terms of price and quality against the direct writers such as Direct Line.

The package was due to go live with 120 Institute of Insurance Brokers (IIB) brokers this week.

Research Department associate director Brian Brown said PolicyGen will help brokers to stop competing on price and start competing on quality.

He said: "Brokers have got to get away from price. They will always lose to direct writers on price arrangements."

The technology, which runs on a PC, costs £99 per month. It costs £30 per user for brokers with up to five computers if they use the software on each of them, but the cost drops to £20 a month per user for firms that have six users or more.

An updated version of the package is sent out once a month, but brokers can also download product changes on a daily basis using the internet.

A feature of the system is a DNA package. This allows brokers and intermediaries to select a group of products and rank it according to the levels of cover they offer.

A graphic analysis is also included in the package, allowing customers to see for themselves the difference of the product.

Within each segment of the graph, brokers can "drill down" and see clause wordings and precise levels of cover.