Brokers falling outside top 250 could face a commissions dip
Zurich Private Clients (ZPC) is forcing brokers who fall outside its top 250 list to go through a wholesaler to place mid and high net worth business.
ZPC’s decision means that some brokers will face a reduction in commissions, as the wholesale broker will take a cut. Insurance Times understands that one of the wholesalers being used is Essex-based Bond Lovis.
Brokers must currently place a minimum of £100,000 premium with ZPC to get an agency, but some brokers who place over £100,000 will still fall outside the top 250 list and will no longer get the same deals.
ZPC refused to comment on the scheme. However, Insurance Times understands that ZPC believes a wholesaler could benefit smaller brokers by offering a wider range of products with a quick turnaround.