|Welcome to our Monthly
Newsletter – April 2007
Talk Around the Bazaar
Mapfre plans to accelerate its European growth (it has taken stake in Genel in Turkey and opened an office in Poland) and to compete for international business. Nice to have another serious player
D&O has become a mandatory insurance for companies in Romania
The Caribbean cat pool (CCRIF) will cover 18 countries, many of whom are hit by at least one major hurricane every two years
Having had a go at the EU about CO2 emissions, Slovakia is being taken to court by the EU: about ship classification
Swiss Re has formed three entities in Luxembourg in anticipation of the implementation of the European Reinsurance Directive
The Chartered Insurance Institute is soon to open an office in Mumbai
Irish regulators are calling for employers to offer their employees retirement pensions
Although prices seem to be dropping almost everywhere, in Australia they are under even more pressure
Lloyd’s has obtained a licence to begin reinsurance operations in Shanghai
The Middle East’s first captive insurance company has been formed – in Bahrain
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We are currently discussing projects in the following markets:
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What Clients Say
“We are pleased that we can rely on what Worldwide Risk Solutions does to help with our European expansion”
“They are good at understanding international markets”
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Worldwide Risk Solutions LLP
20 Blunts Wood Road
RH16 1NB, England
Telephone: +44 (0)1444 450 919
Mobile: +44 (0)7968 191 511
Information appearing in WoRdS is checked for technical accuracy but
is not intended to provide a basis of knowledge upon which advice can be given. Worldwide
Risk Solutions accepts no responsibility for any loss occasioned to any person acting
or refraining from action as a result of the material included in this newsletter.
the flow of business
This is the main reason why international relationships are created. Once the potential for more business referrals has been recognised, it is a wise move for the participants to work together as closely as possible to maximise that potential. At a certain stage rules and agreements will become formalised and a network is born.
What makes it possible to get business into the network?
In the producing broker’s country there must be firms with international operations
That broker must have the credibility to earn the right to prospect such firms
These firms must be willing to talk to non-mega brokers
The chosen network partners must be able to back up the producer
The producing broker must be able to negotiate a good deal with the international carrier
What role does the network play
Has good members (service, skills, knowledge, energy, commitment)
Provides a networking environment where brokers find out about each other’s qualities and gain confidence that they will not jeopardise business prospects but enhance them
Facilitates the international mindset
Provides information and knowledge to the members through conferences and seminars, market up-dates and the latest news
Makes experience and expertise available to members through presentations, success stories via breakout sessions, the extranet and discussion groups
Promotes the willingness of members to help each other
Has user-friendly servicing systems and procedures
Provides tools such as standardised documents
Depending on the size of the network and the amount of business referred amongst the members, the network would have an interactive servicing platform
What must the recipients of international referrals understand?
They do not have an unassailable right to receive new business referrals
They need to instil confidence in the producing broker
They can help by showing willingness to assist: providing regular up-dates about their markets, about their capabilities (circulate newsletters?)
They must be responsive and constructive in their communications
Sending off the membership lists of the International Chamber of Commerce and then just sitting back does not produce results
Actively assisting in seeking local subsidiaries who need help and alerting the producing broker can enable the producer to get a foot in the door
What must the producers of international referrals understand?
Besides proper implementation and co-ordinations tasks:
Use clear English
Remember time frames (daylight saving, national holidays, different days for the weekend)
Realise cultural differences (being too familiar with people who are used to very formal interaction can scare them off)
Seek voice to voice contact in order to develop friendship and loyalty
Where possible, meet the people (this could be at one of the regular network meetings and really is important)
Is the flow of business everything?
No, but obviously this is one of the most talked about subjects within a network. When thinking about an answer to questions relating to a network’s value to its members, it is easy for members to point to tangible benefits as being the easiest way to show that network membership costs are being covered. But it is surprisingly difficult to identify and monitor business referrals within a network. However, if you add up the total revenues of all network members, international referrals in most networks would be less the 5% and that is roughly half of the percentage enjoyed by the mega-brokers.
A network cannot assume the role of international producer but, as we have seen, it can help. The value-added to members lies more in the intangible benefits because it is here that the network has more control of how it provides value to its members.
In our next e-newsletter we will look at Network Needs Around the Globe.
See our Contact Details
George Worsley, Director
Worldwide Risk Solutions
Telephone +44 (0)1444 450 919