How brokers acquire the skills to become trusted advisors

What’s it take to learn the things you need to build client trust?

Start with the training and certification bodies, say 75% of respondents to Canadian Underwriter’s 2024 National Broker Survey. That percentage total ties with 2023, and is in line with 77% response rate in 2022 and 2021 and 72% in 2020.

Gaining accreditation is most valued by women respondents (81%) compared with men (71%). And more than 70% of respondents across all age groups and firm sizes value the steps taken toward industry certifications. The biggest boosters of certification are at organizations with more than 100 employees, where 83% of respondents say it’s key to trusted advisor status.

In this year’s survey, fielded in January and February 2024, more than 200 brokers nationwide shared views about challenges and opportunities for the broker distribution channel. The CU survey is sponsored by Sovereign Insurance.

In their own words

Open-ended survey responses show a commitment to lifelong learning about the industry helps boost clients’ views of brokers.

“[You need to be] continually educating [yourself] beyond the minimum amount,” says a woman at a smaller firm. “To be a trusted advisor, you need to be actively learning all the time. Each little tidbit you can pass along to a client highlights why they trust you.”

Respondent comments also tout developing specialized knowledge.

One respondent who’s newer to the industry says “developing deep knowledge of a small selection of products” is effective. And a veteran male at a medium-sized firm says brokers should focus on “knowing your client and learning about the specialty markets, as there are more and more risks now that have to be insured with a specialty market.”

One female veteran at a large firm advises brokers to “keep on top of the constantly changing insurance industry, by taking courses and webinars over and above what is required by RIBO continuing education credits.”

Other skill builders

Just behind accreditation is mentoring, which 74% of 2024 survey respondents favour. That’s a dip from 80% in 2023 but consistent with 75% in 2022 and 2021. Respondents at firms with 100 or more employees place the highest value on mentors at 84%.

Information on insurance carrier websites is less popular in 2024 at 68% – which is consistent with prior years. But it’s well ahead insurance carrier events (55%), P&C industry events (54%) and broker associations (52%).

In terms of work practices helping brokers develop or maintain trusted advisor status, 88% of respondents say ‘educating yourself more about the customer’s particular situation’ works best. That number’s held consistently above 85% since 2020.

Another strong contender is referring your customer to other information sources. It finds favour with 60% of respondents, up from 56% in 2023 and 2022. The highpoint for the technique was 65% in 2020.

Broker respondents were far less enthused about demonstrating expertise via social media (19%), appearing in virtual speaking engagements like webinars (16%) and self-publishing blogs or newsletters (13%).

Feature image courtesy of iStock/porcorex