1) Having one insurance broker creates economies of scale and administrative efficiencies by consolidating advisors into a single point of contact. 2) A single broker can take a more comprehensive view of total cost of risk by evaluating all coverage lines and risk factors together. 3) One broker ensures best practices are consistently applied across all risks and can coordinate strategic solutions to reduce losses across all policies.

1. Benefit of One Broker Marsh Will Deliver
Economies of scale: Having one insurance broker across all lines of coverage eases program
administration. One insurance broker with one client executive servicing multiple lines of
coverage is far more efficient than two or more. Working with one insurance broker, versus
having different insurance brokers and client executives to service different lines of coverage,
creates a one-stop-shopping point of access for the client.
Consolidation of advisors,
administrative efficiencies,
and both hard and soft cost
savings.
More comprehensive view of total cost of risk: One insurance broker, managing all lines of
coverage and all risk consulting, better positions the insurance broker to evaluate and focus on
the total cost of risk (TCOR), to understand the cost drivers, and to suggest solutions that create
value by having a positive impact on TCOR. This has frequently been shown to protect the
bottom-line financial performance and/or cash flow of the client firm.
Consistent risk strategy across
all risks to evaluate your total
program and your total cost of
risk.
Best practices and business knowledge: Loss drivers can affect several lines of coverage at one
time. If there are multiple insurance brokers, they may not all be aware of the effect of a solution
offered by one insurance broker, and the other insurance brokers may not solicit the appropriate
price and structure concessions from the insurance markets.
Coordinated strategic solution
that, in turn, can result in
fewer losses—and in
mitigation of losses that do
occur—across the breadth of
all coverages.
Seamless coverage: A single insurance broker has the benefit of enhanced internal
communication and the client knowledge essential to creating seamless coverage across various
lines of coverage. Working with multiple insurance brokers carries with it the possibility that the
various insurance brokers will create potential handicaps by not communicating with one
another, not sharing information, and inadvertently leaving gaps and/or creating costly overlaps
in coverage.
Reduction in the potential for
gaps and/or overlaps in
coverage.
Improved insurance-market competition: Having multiple insurance brokers means they may
“run into one another” in the insurance market, with none of the insurance brokers able to
access all insurance markets necessary to assemble an optimal insurance program. Insurance-
market allocations may also end up with an insurance broker not being able to use an insurance
market with which it has the best ability to negotiate on behalf of the client.
Focused marketing effort,
resulting in an optimal
insurance program with all
coverages placed with the
most appropriate insurance
markets.
Strategy for a challenging insurance market: In a challenging insurance market, with at least
some lines of coverage scarce, a single insurance broker can better access the entire insurance
market and construct a broader and more economical program. Having two or more insurance
brokers may restrict each insurance broker from being able to put all the coverage pieces
together.
Aggregated access to the
markets, resulting in a more
cost-effective insurance
program.
Consistent approach: Dealing with one insurance broker means a consistent approach to the
amount of risk retained and/or mitigated and the amount transferred. Dealing with multiple
insurance brokers could result in different approaches that could lead to retention of either
significantly more risk—or significantly less risk at a higher premium cost—than is appropriate.
Having one insurance broker means more consistency in communicating the client’s risk
philosophies to the insurance market.
Consistent risk strategy for
your business.
Insurance-market perceptions: Insurers value the integrity of submissions received from an
exclusive insurance broker. A relationship with a single insurance broker indicates a long-term
strategic commitment to managing risk and often reflects an extended close collaboration with
the insurance market rather than a short-term approach of price shopping only. When multiple
insurance brokers are involved, it becomes less clear which insurance broker is authorized to deal
Underwriters’ viewing your
firm as having a more focused
strategy, resulting in favorable
impacts on both premiums
and program structures (such

2. with a specific line of coverage—particularly a new line of coverage. as deductibles, limits, and
exclusions).