Vow brokers embrace insurance products - Broker News (12 July 2011)
Tuesday, 12 July 2011
Over 220 of Vow Financial's brokers have expressed interest in selling general insurance via its new alliance partner, Allianz Australia, since a deal was signed between the two groups four weeks ago.
Under the terms of the agreement signed in May, Allianz Australia, a subsidiary of the global general insurance provider, will offer all housing-related insurance products to the clients of Vow's brokers.
Vow CEO Tim Brown said that in a difficult economic climate for brokers at present, Vow Financial management thought it important to establish alternative sources of income for their broking network.
"Already a healthy percentage of our brokers are using Allianz, and we expect more to join up as they come to appreciate Allianz's competitive offering in this market," Brown said.
Michael Osborne, head of sales and distribution at Vow Financial, said in the aggregator's latest broker update that its broking network "appear to have shifted on mass from thinking about diversification to actual implementation of new products & services".
He said this has been evidenced from "dozens" of brokers utilising the Vow Leasing service, expressions of interest in partnering with Vow Wealth Management - Vow's financial planning arm - and over $10m of investment properties exchanging through Blue Wealth Property.
Commenting on the deal, Allianz managing director Terry Towell said that insurance is an important consideration for clients who are taking out a home loan.
"It is in both the broker's and borrower's best interest to put in place an appropriate insurance solution and ensure protection is in place," he said.