What is the main function of an insurance broker?

The main function of an insurance broker is to assist a proposer in effecting the best type of cover for their needs. Brokers act as intermediaries between clients seeking insurance and insurance companies, utilizing their expertise and market knowledge to identify suitable policies that match the specific requirements and financial situations of their clients. They analyze the coverage options available and provide personalized advice, helping clients understand various policies, premiums, and terms of coverage. This is essential in a complex insurance market, ensuring that clients make informed decisions that adequately protect their interests.

The other options do not accurately reflect the primary role of an insurance broker. Assisting an insurer with claims quantification is typically a function more related to claims handlers or adjusters. Providing cover for a proposer whose risk has not been accepted by insurers falls outside the broker's role, as brokers do not create or underwrite insurance policies but instead help clients find coverage that is available in the market. Lastly, underwriting and accepting risks is the responsibility of the insurers themselves, not brokers, who do not have the authority to bind coverage but rather facilitate the placement of insurance.