When considering the use of a risk management, insurance, or benefits consultant, there are several things to consider. Here we will help you discover what we do, how independent consultants differ from agents and brokers and what you can expect.
Reasons to Hire a Consultant
Organizations seeking to retain an independent consultant typically (a) have suffered an uninsured loss, or (b) want to explore other methods of financing risk, or (c) are considering a merger, acquisition or divestiture, or (d) want to competitively market their insurance program, or (e) are dissatisfied with their broker, insurer or claim service, or (f) want an objective review of their insurance or risk management program.
What Consultants Do
Independent consultants will tailor their services to meet your needs. Most will offer á la carte services allowing organization to pick and choose based on your needs and budget. A sample of services offered can be viewed here: Services
Independent Consultants versus Brokers or Agents
Insurance producers consider themselves to be professionals and some deservedly so, but truly independent risk management consultants who do not sell insurance and are not affiliated with firms that do. A fee-for-service arrangement exists with clients. No commissions are ever received. The potential gain or loss of commission income never enters into the counsel provided or the decision-making process, thereby eliminating potential conflicts of interest.
Agents and brokers may want you to think they can provide the same objective advice as independent risk management consultants, but they can’t since they facilitate the sale of insurance products. Sales represent the primary business activity of all agents and brokers.
Recommendations from agents and brokers may be viewed with skepticism if these individuals can profit from their recommendations. Agents and brokers retained for consulting-type projects may gain sensitive inside information that you may not ordinarily share with them. Using an independent risk management consultant assures objectivity and fairness. Your projects won’t be compromised by any ulterior motives or the perception that revenue-driven motives may exist.
Many agents and brokers are proficient in a limited number of insurance-based topics or products closely related to their area of sales, and lack sufficient knowledge in fields like alternative risk financing and non-insurance risk transfers. An agency or brokerage firm is staffed primarily by “producers,” charged with bringing more policyholders into the firm. Often producers lack the technical capabilities to solve complex risk management problems beyond the purchase of insurance.
What to Expect
You’ve decided that engaging a member of the Society of Risk Management Consultants is important to you. Here we will help you discover more about members.
SRMC member consultants elect to abide by strict standards for education, experience, professionalism, and code of ethics. When selecting a SRMC practitioner, you can expect only your interests will be served. SRMC member consultants are independent and objective…no outside influence or economic interest (read: commissions) from insurers, agency or brokerage firms impact their recommendations.
Members of SRMC possess expertise that truly adds value. They typically bring special skills and experience with a broad base of clients and industries to work for you. They are accustom to working with CEOs CFOs and Risk Managers, multi-level management structures and outside organizations. They represent their clients’ interests alone and are often thought of as partners by their clients.
Many SRMC members are generalists experienced in serving a broad base of clients and practice areas, while others have specialized skills with certain types of clients or practice areas. We invite you to view a partial list of services offered by our members.
Find a Consultant
To assist in your search for a consultant in your area, you may search for a consultant by selecting the Roster link at the top of any page. Being located in one area does not necessarily mean that a consultant’s practice is limited to that particular area. On the contrary, many SRMC members serve clients in numerous states, provinces and throughout the world from their headquarters.