Broker Bidding Process

Insurance is a critical component of an effective risk management program, so it’s well worth your while to invest in finding the best possible insurance advisors to help you safeguard your mission and assets. If your relationship with your broker isn’t as productive as you hoped it would be, then maybe it’s time to conduct a broker bidding or broker selection process. A nonprofit leader’s primary motivation for initiating this process is to ensure that the nonprofit has engaged the best possible insurance advisor—an advisor who can meet the needs of the nonprofit as it stands today, and as it will evolve during the near future.
You might find yourself asking questions such as:

• What specific services and expertise do we require from our insurance broker?
• Which brokerage firms have teams with the specific skills, relevant experience, market access, and influence that we require in an independent insurance provider?
• Which providers bring substantive experience securing coverage for nonprofit organizations similar in scope or size to our organization?
• Which providers have strong track records as advocates on coverage acquisition and claims handling for large, complex nonprofit organizations?
• To what extent can our current insurance program adequately address our current and foreseeable insurable exposures?
• Are there additional coverages or changes in coverage terms, limits, and conditions that we should consider at this time?
• What changes should be considered to improve the efficiency or quality of our insurance program?
• What risk management services, support, and expertise do we require from our broker? What risk support would be beneficial to us and potentially free-up resources for mission-focused activities?

Our Insurance Broker Selection Process is a collaborative process that begins with NRMC’s review of the details of your existing insurance program. This introductory step gives us an understanding of your insurable risks. We then begin the process of putting your insurance program out to bid. Our Broker Selection Process involves four critical steps

1. Develop a Custom RFP – We will develop a detailed, custom RFP for insurance and risk management services. We will present a draft for your review and make changes required or requested by you.
2. Pre-Screen Bidders – We will identify reputable brokers who we know have track records providing insurance services to nonprofits like yours. We will consider your preferences as we develop the preliminary list. After you have approved the list, we will contact each prospective bidder to discuss the RFP process. We will narrow down the list to include only those companies that express a commitment to bid.
3. Distribute the RFP, Collect Responses, and Prepare a Detailed Analysis – We will review the proposals submitted by bidders and prepare a detailed, side-by-side analysis of bids for your review. We will meet with you to review and discuss our analysis and answer any questions you may have. We will work with you to choose the finalists. After the finalists have been selected, we will schedule interviews with the finalists and design a format and questions for the interviews.
4. Selection of Insurance Professional – We will plan, coordinate, and facilitate interviews with the finalists. We will debrief your team after the interviews, present our recommendations for a new broker services agreement, and prepare a final bidding process summary.

Our proven process ensures that you are partnered with the right broker: someone who cares about your mission, has access to leading markets, and can offer the sage advice and support on risk and insurance that your mission requires.