An insurance broker is an independent professional intermediary who helps a client select an insurance or reinsurance solution, compare terms and arrange the placement of a risk. A broker does not become a party to the insurance contract: the obligation to pay is assumed by the insurance company named in the policy.
| 1. | LLP "Insurance Broker" "e-kz.com" |
| 2. | LLP "Insurance Broker "Aon Kazakhstan" |
| 3. | LLP "Marsh (insurance brokers)" |
| 4. | LLP "Insurance Broker "GrECo JLT Kazakhstan" — former name LLP "Insurance Broker "EOS RISQ Kazakhstan" |
| 5. | LLP "Insurance Broker Axiom" |
| 6. | LLP "Insurance Brokerage Company "UIB Kazakhstan" |
| 7. | LLP "Insurance Broker "Insurance Brokerage Services" |
| 8. | LLP "CIS Risk Consultant Company (insurance brokers) |
| 9. | LLP "Insurance Broker "SP Malakut" |
| 10. | LLP "Insurance Broker "Cinco Group Central Asia" |
| 11. | LLP "MOI" insurance broker" |
| 12. | LLP "Insurance Broker "Avangard" |
| 13. | LLP "Insurance Broker "Risk Management Consulting Group" |
What an insurance broker does
- analyses the client’s needs and the description of the risk;
- prepares requests to insurance and reinsurance organizations;
- compares sums insured, exclusions, deductibles and rates;
- helps to agree non-standard terms and limits;
- organizes the paperwork when the contract is concluded;
- supports the loss notification within the scope of the contract with the client;
- may take part in placing a risk on the international reinsurance market.
A broker is especially useful in complex corporate insurance, when a single programme has to be agreed for several sites, branches or countries. In mass retail insurance, the broker’s value lies in a clear comparison of options and a warning about material restrictions.
How a broker differs from an insurance agent
| Criterion | Insurance broker | Insurance agent |
|---|---|---|
| Role | An independent licensed intermediary | Acts on behalf of and on the instructions of the insurer |
| Choice of market | Can compare offers from different companies | Offers products within the scope of its authority |
| Party to the policy | Is not the insurer | Is not the insurer |
Licensing of brokerage activity
In Kazakhstan, the activity of an insurance broker is licensed. When checking, verify the full legal name, BIN, licence number and the permitted types of brokerage activity. A place on an old list, an advertising website or a well-known international brand does not replace the current licence of the specific legal entity.
The founders and employees of a broker must not combine certain positions in an insurance organization or the activity of an insurance agent, because legislation separates these roles and limits conflicts of interest.
How to choose an insurance broker
- Check the licence in the official register as of the date of your enquiry.
- Clarify the specialization: property, liability, transport, life or reinsurance.
- Request the service contract with the list of authority and liability.
- Find out the source of remuneration and possible conflicts of interest.
- Ask for a comparison table with identical risk parameters.
- Assess the claims support: what exactly the broker will do after an event.
- Check data protection and the secure exchange of documents.
What a comparison of offers should include
Price makes sense only with comparable cover. The table should state the sum insured, risks, exclusions, deductible, sub-limits, territory, period, notification procedure and the list of documents. For a corporate contract, the analysis additionally covers clauses, reinsurance protection, maximum possible loss and the requirements of risk engineers.
Who is responsible for the insurance payment
An insurance broker is not a party to the contract and does not pay the insurance indemnity from its own funds. The decision is taken by the insurer in accordance with the law and the policy. A broker can help to prepare the notice, check that the documents are complete and manage communication, but may not guarantee a positive result.
Compulsory insurance services are provided only by insurance companies that hold the relevant licence. A broker may take part in consultation within permitted limits, but a compulsory policy is issued by the insurer, which is liable under the contract.
Remuneration and transparency
Before work begins, the client should understand who pays the broker and for what. The law and the contract determine the permitted remuneration procedure. The fee must not be hidden inside the offer in such a way that the client cannot assess the total cost and the independence of the recommendation.
If the broker receives different amounts depending on the company chosen, the potential conflict of interest should be disclosed. A conscientious recommendation explains not only the advantages but also the reasons for rejecting the alternatives.
What to do when an insured event occurs
- notify the insurer and the broker within the prescribed period;
- record the event and take steps to reduce the damage;
- obtain the list of documents and a registration number;
- pass materials on with confirmation of receipt;
- check that the broker’s correspondence does not replace the formal notice to the insurer;
- request a written decision and the calculation of the payment.
Archive list of brokers
The table preserved above reflects the market participants as of the date of the earlier publication. Organizations may have been renamed, surrendered their licence, been reorganized or ceased operations. Use the table for historical reference, but not as confirmation of current status.
Summary
An insurance broker in Kazakhstan helps to organize the selection and placement of a risk professionally, especially for businesses and complex programmes. The benefit of a broker depends on the licence, independence, competence and a transparent contract. The client should remember that the policy is concluded, and the payment made, by the insurance company.