A young insurance broker could pursue independence in this way by becoming either a corporate authorized representative or an authorized representative.
The director of Pillar said up to 10 people in his age group have contacted him in recent months who were either looking to start their own brokerage business or were in the early phase of doing so.
“I think there’s been so much consolidation in the broking market with the large international brokers over the last five years, so now, in a lot of cases, there’s really only the big two, Marsh and Aon, and perhaps a few others, depending on which city that you live in,” he said.
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Laundy, who worked at several large brokerages in Australia and the UK before starting Pillar, said for young professionals in the industry who want to work in specialist areas or on big corporate style accounts, the options can be quite limited.
Starting your own brokerage, he said, can open up more opportunities.
“I think it’s about getting out what you put in and directly benefitting from that extra effort, that grinds,” said Laundy. “That effort can sometimes be lost in a larger organisation.”
The Pillar director also said the ways the business world has changed due to COVID-19 has likely made starting a business today easier than it’s ever been. Laundry referred to online software, logins, portals and all the other tools that have become commonplace in recent years.
“You’ve got all these tools available to you, so I don’t feel like starting a business is as scary as it was 10 or 20 years ago,” he said.
For a younger person especially, he said, starting a brokerage can be attractive because there are