Insurance Brokers

Insurance Brokers is a legal entity formed to meet the needs of the community who can assist them in purchasing insurance products and assist in the event of a claim, where the insured is very common with the conditions and terms of insurance policies and on the other parties insurance company is very understanding.

So the government feels the need to establish through regulation of Brokers Insurance Act No. 2 in 1992, with the aim of protecting the public interest. The function and role of broker in the rest of the world is highly developed and almost all insurance transactions through a broker.

Insurance Broker or Broker, formed in the body of law and must have permission from the Ministry of Finance with the requirements are quite strict and clearly regulated in Law no. 2 1992, Government Regulation no. 73 in 1992 and the Decree of the Minister of Finance R.I. No. 226/KMK.0171993.

Role Of Insurance Brokers

Insurance Brokers task is not completed at the closing of an insurance contract has been made between the Insured and the Insurer, but the Insurance Brokers will continue to perform his duties for insurance contracts running and even after the contract expired in terms of insurance claims arising out unfinished. This can be seen from the tasks of the agency against the insured which are as follows:

• Conduct risk identification and reduction efforts, elimination and avoid risk.
• Insurance contract to design the most suitable and most competitive in accordance with the needs of the insured,
• Insurer Selection safe.
• Insurance premium rates negotiated by the insured.
• Doing claim management services, program administration and inspection during the policy runs the risk
• Negotiates claims on behalf of the insured.
• Research and administration of insurance
• Giving advice risk management and risk prevention (as option generally with charge)

Insurance brokers do not charge for his services but earn brokerage or commission from the Insurer receiving the risks placed.