Brokerslink launches global trade credit practice

Brokerslink is set to expand the number of its specialty practices, designed to better support international companies, after launching into the global trade credit arena this year. Such initiatives are part of ongoing plans to grow the network’s “ecosystem”, which has now started to attract risk managers directly rather than through individual members, José Manuel Fonseca, president and CEO of Brokerslink, told Commercial Risk.

“It has been another important year for us. Every year we expand, fine tune our network, attract new members and new affiliates. And we have developed three important practices over the last three or four years to support our members and enhance their capabilities for clients,” said Fonseca.

“We started with the risk management practice. Then it was the global employee benefits practice and then this year the trade credit practice. We come together centrally to help the network develop their services and solutions in these areas,” he added.

“This risk management practice team works to support our brokers across the world on risk consulting for clients. This is part of our important relationship with the risk management world. The employee benefits team specialises in global solutions for global clients. Now trade credit is composed of ambassadors and specialists to help those that need to find international solutions,” continued Fonseca.

And at the recent Brokerslink annual conference in Abu Dhabi, where the network celebrated its 20th anniversary, he said there will be more practices coming down the line to support clients.

The trade credit practice took its first steps this year and now has four ambassadors in place – from Europe, the America, Asia Pacific and Africa – as well as 46 champions from various countries around the world.

Like the other two existing practices, it will be based around a central team of experts and services that help Brokerslink and its members deliver solutions for multinational clients.

“I think the practices are an excellent idea to enhance our network,” said Phillip Krinker, head of the trade credit practice and executive director of CredRisk Seguros. “Although we have three practices at the moment, I am sure that over the coming years we will have more in the major lines of insurance,” he told delegates.

Brokerslink’s trade credit ambassador in Europe, Filhet-Allard’s Frantz Bouchereau, believes the new practice will enable the network to serve larger customer in Europe. Currently, 70% of global trade credit premium is sold in the continent, he explained.

“It will enable us to offer customers and prospects the possibility of local contacts in other regions of the world. This will enable us to approach larger international European groups. We have the opportunity to offer them customised servicing around the world,” said Bouchereau.

Carolina Appezatto, the Americas ambassador, said it is important for the trade credit practice to develop an integrated service level agreement for multinational business. She believes the practice can help create awareness of trade credit insurance in both North and South America, with a big focus on the latter.

“At the moment, we only cover a small portion of our GDP in the Latin America region with trade credit, so growth there is potentially enormous. We see growth in infrastructure, mining and energy businesses in the region,” she said.

Fonseca said the risk practices are part of a growing Brokerslink ecosystem. “We are much more than a network comprised of insurance brokers. We are an ecosystem. Our network is not only comprised of insurance brokers but other important types of companies for our brokers and their clients. We have risk consulting firms, claims experts law firms, captive managers, asset valuation, tech companies that specialise in insurance, and niche brokers,” he said.

This offer and seen Brokerslink expand to 165 companies. The network placed $52bn of premium in 2023, up 7% on 2022.

Fonseca explained that Brokerslink is beginning to attract risk mangers centrally rather than through its network. “We are seeing direct clients come to Brokerslink, independent of our members. So they come in directly to the central team and then we use the network to serve them,” he said.

Which leaves burning questions. Why should risk managers use Brokerslink and what are its advantages over the bigger, global brokers?

“We are perhaps more client centric than bigger groups and quite unique. Unlike some big organisations we know and support each other well, which is effective. The global brokers are much more vertical organisations, much more direct organisations. Brokerslink is different,” said Fonseca.

“Also, it is worth noting that we have only one broker per country, so it is clear which company you will deal with. It is not a marketplace and it is organised. We are a company that owns and manages a network to serve clients. And we pass on clients when they need multinational cover,” he added.