For over a year the topic of schemes has undoubtedly been one of the hottest in the broker market. And it shows no sign of cooling off any time soon. The number of schemes available, the amount of providers open to at least having discussions about potential schemes and the total number of brokers either looking to start selling schemes business or expand their offering have all risen, and are set to increase further.
So what is all the fuss about? The ongoing soft commercial market and the commoditisation of products at the micro end of SME are certainly reasons why many involved in insurance seem to have turned their gaze to the schemes market.
Put simply, at the heart of the matter is that schemes offer one route for brokers to differentiate themselves from the competition. Done well they can generate new business, loyal clients and let's not beat about the bush, healthy financial rewards.
But nobody should be fooled into believing that the schemes market is fantastical paradise full of low-hanging fruit ripe for the picking. There are just as many pitfalls as opportunities out there.
This guide discusses the value of working closely with your insurer to grow and develop your scheme and offers helpful advice for start-up propositions, including successfully marketing and pitching ideas to insurers.