In the wide, complex and all-encompassing marine insurance market, agents play an important role in working as trusted advisors to provide reliable and tailored coverage for their marine clients.

“Independent agents make up more than 50% of the marine insurance marketplace, which might be deemed midsize business," says Mike Perrotti, director inland marine, RB Jones. “This group has delivered predictable, sustainable insureds driven by deep relationships." 

“Independent agents are often closer to the customer and have deeper long-term relationships," says Andrew D'Alessio, head of marine, Americas, AXA XL. “They are more likely to take a long-term view and review policy pricing relative to losses."

For agents who operate in the marine market, “understanding the complexity of the risks is key," says John Gambino, cargo manager, RB Jones. “Their expertise, coupled with the marine underwriter's knowledge, allows the tailoring of risk terms and rates to deal with the marine risk."

Nevertheless, “not every independent agent can be an expert at all lines of coverage, especially in specialty lines like marine, so let your local marine underwriter act as 'your marine department' and get them involved," Perrotti recommends.

Here are four tips for agents to seek the best coverage for their clients by leveraging their relationships with marine underwriters:

1) Select carriers. As the marine market continues to evolve, “independent agents can partner with carriers to deepen knowledge on lines of business where they have less experience," D'Alessio says. “Working with carriers to ensure coverage is contemporary helps both parties increase retention and lessen the potential of other brokers being able to win business by offering better coverage."

A carrier's experience and proven track record in the market plays an enormous role when agents are seeking coverage. “We recommend that agents look toward existing carrier partners that have served their other customers well and offer a wide breadth of products, including ocean marine," says Tim Drucker, national practice lead and chief underwriting officer, ocean marine, Travelers. “While some agents may take a broad-brush approach, we'd recommend focusing on your individual customer's needs and engaging with those carriers that can provide the specialized expertise required to find the best coverage."

2) Highlight specialty service. “Independent agents have a distinct advantage of proximity to the buyer," D'Alessio says. “Large brokers often need to homogenize and bundle similar risks to increase operational effectiveness. Independent agents can do the opposite and provide a direct service that is often lost in automation."

Working in tandem with a marine underwriter to provide “quick, proper service to get paperwork out quickly and any midterm additions or deletions quoted quickly can be an excellent asset," says Tracy Markowski, director of marine hull & liability, RB Jones.

3) Create a tailored product. “When the independent agent gets us involved and we're able to get an appropriate rate to sustain the account overall, that's important," Perrotti says. “Because we're able to get closer to the clients, we're able to be part of the equation."

“Communication is key," D'Alessio says. “After the agent submits the application and loss runs to the underwriter, a short call to discuss the risk over the phone would go a long way in identifying the unique similarities and differences of the submitted risk from other accounts."

4) Identify coverage gaps. “Many marine insurance products and endorsements cover exposures that other commercial policies may not be suitable for, often due to appetite or coverage restrictions," Drucker says. “For example, in a tight property market, there is often a push to move the stock out of the property program and into the ocean cargo program. A good partner will help you understand the trade-offs and any potential coverage gaps that could arise, such as how business income would apply in the event of a loss."

“If there is any doubt about the account, get the underwriter involved early and have joint calls with the client to drill down and determine what coverages are necessary," Perrotti says.

Olivia Overman is IA content editor.