INSURANCE DISTRIBUTION
Broker, retail definition
A retail broker is an insurance broker that deals directly with insured clients and arranges suitable insurance cover for their risks.
In practice, this means insurance brokers that deal directly with the insureds. They find insurance cover for their clients (the insureds) and, where necessary, provide access to wholesale brokers. This gives insurers, brokers, reinsurers and risk managers a shared way to discuss the concept when reviewing policies, claims, regulation or market data.
This term is especially useful in insurance distribution, broking and delegated authority arrangements. It helps users interpret insurance terminology consistently across markets, policies and risk data. It also helps users compare how insurance is structured, regulated, priced or claimed across different markets.
Broker, retail is closely related to broker, wholesale broker, insured and commercial lines. Linking these concepts together helps build a clearer glossary structure and gives readers a stronger understanding of how individual insurance terms connect within wider international insurance practice.
At a glance
- Used in
- Insurance distribution, broking and delegated authority arrangements.
- Purpose
- Helps users interpret insurance terminology consistently across markets, policies and risk data.
- Important because
- Clear definitions support better comparison of insurance products, market practices and regulatory requirements across jurisdictions.
- Related terms
- broker, wholesale broker, insured and commercial lines.
Example of a retail broker in insurance
A business asks an insurance intermediary to arrange cover. The intermediary’s role determines whether they act on behalf of the insurer, as an agent, or on behalf of the client, as a broker.