How brokers compare commercial insurance quotes

Compare commercial insurance quotes line by line on premium, excess, limits and exclusions, with each line linked to its source document, then record why you recommended one. A lower premium tells you little until you see what cover changed, and the recommendation stays with the broker.

New to AI? Start with how to use AI in an insurance agency.

What to compare beyond premium

Premium is the number clients look at first, so it is the number that needs context. Two quotes for the same business can price different things.

Build the comparison around these lines:

• Premium, with tax shown separately so the totals can be checked.
• Excess (deductible in the US) for each type of claim, and whether it applies once or to every claim.
• Limits and sums insured for each section: buildings, contents, business interruption, liability.
• Exclusions and conditions, including security requirements, inspection duties and time limits for surveys.
• Extensions that are included in one quote and absent from another, such as flood or theft cover.
• How long the quote stays valid, and what it assumes about the information supplied.

Each row should show the figure from each insurer (carrier in the US) and a plain flag: match or difference. Differences are what the client is paying for or giving up, so they are what the conversation should be about.

Why quotes are hard to line up

Insurers do not use the same layout, the same section names or the same order. One calls it "buildings limit", another "buildings sum insured". One calls it "business interruption", another "loss of income". The words differ, but the meaning may or may not.

Some quotes carry the important detail in the main schedule. Others put it in a separate wording document, or in a note at the end such as "exclusions shown here are in addition to those in the policy wording". If you only read the headline page, you can miss the part that matters.

The work is mostly reading and retyping. Someone opens each document, finds each figure, types it into a spreadsheet, and then checks the spreadsheet against the documents. It is slow, and a transposed figure or a missed condition can go unnoticed until a claim.

Quotes also depend on what the insurer was told. If the renewal submission was thin, the quotes carry assumptions that change the price. Our guide to preparing an insurance renewal submission covers the stage before this one.

A comparison a client can read

The comparison you use internally and the summary the client sees can come from the same table, but the client version should be shorter and written in plain English.

Start with what is the same across all quotes, in one sentence. Then list the differences that affect the client, in order of importance, and say what each one means in practice. "Quote B has a higher excess, so the client pays more on a small claim" is clearer than "excess differs".

A made-up example: Quote A includes theft cover and requires an intruder alarm. Quote B is cheaper, but does not mention theft at all. The client should see that sentence before they see the price gap.

Link each line to the page of the quote it came from. When the client asks "where does it say that?", you can answer in a few seconds.

Ask for the full policy wording early. A quote is a summary, and the wording is what a claim will be judged against. If an insurer cannot supply it before you recommend, tell the client that the comparison rests on the summary alone, and say which points you could not confirm.

Check the arithmetic too. Premium plus tax should equal the total, and an instalment plan should add up to the same total, or the extra cost should be shown. Small slips in quotes happen, and finding one before the client does keeps their trust in the rest of your work.

Recording why you recommended it: UK and EU rules

Once your team has made a recommendation, write down the reasons while they are fresh: what the client asked for, which quotes were considered, what the differences were, and why one option fits better. Keep that note with the comparison and the source documents.

Keeping this reasoning fits what regulators ask of firms. In the UK, the FCA's rules apply to regulated firms. ICOBS 5.2.2 says "a firm must specify, on the basis of information obtained from the customer, the demands and the needs of that customer." Where a firm gives advice, ICOBS 5.3.1 says "A firm must take reasonable care to ensure the suitability of its advice for any customer who is entitled to rely upon its judgement."

In EU member states, national rules based on article 20 of the Insurance Distribution Directive ask, where advice is given, for a "personalised recommendation explaining why a particular product would best meet" the customer's requirements. That is a different rulebook with a similar aim. Which one binds you depends on where you and your client are, so ask your compliance contact.

A record like this protects the client, because it shows their needs were looked at. It protects your office, because it shows how the decision was reached. It also saves time next year, when you or a colleague need to remember why the previous choice was made.

The reasoning belongs to a person. A table can show what differs. Only your team can weigh those differences against what the client wants and what they can bear to pay.

After the client accepts, the next job is checking the policy that comes back. Read insurance policy checking for how. For the bigger picture, see AI for insurance brokers.

Can AI do this?

Yes, for the comparison. A system can read each quote, line up premiums, excesses, limits and exclusions, link every line to its source page and draft the client summary. Your team reviews the differences, makes the recommendation and writes down why.

Where Navicade fits

Navicade builds and runs AI systems that do this work. For comparing quotes, the quotes become a comparison of premiums, excesses, limits and exclusions, linked to the source documents, plus a draft client summary. Results arrive in your existing tools. Insurance decisions stay with your team. The system checks its work on every run and alerts us.

See the row on comparing quotes, or ask for the free operations map in our contact section. It starts with a free 30-minute call, and we take on one agreed task at a time.