Should I Go Direct, or Use a Broker? What the Difference Really Is

When people start thinking about insurance, one of the first questions that comes up is whether to go directly to an insurance company or work with a broker.

At first glance, going direct can seem simpler. You are dealing with the company that provides the policy, so it feels logical to assume you will get clear advice, a smooth process, and the best outcome.

In reality, the difference between going direct and using a broker is less about the policy itself and more about the support you receive before, during, and after it is put in place.

Does Using a Broker Cost More?

This is one of the most common assumptions, and it is understandable.

Many people assume that working with a broker must mean higher premiums, because someone else is involved in the process. In most cases, this is not how it works.

Whether you go direct or use a broker, the premium you pay is usually the same. At Financial Independence, our brokers are all paid set salaries, so their focus always remains on the best, most objective advice for each client. 

The difference is not what you pay, but what you get for it.

What Actually Changes When You Use a Broker?

When you go direct, the advice you receive is limited to that one insurer’s products. The person you speak to can only recommend options within that company, even if another insurer might suit your situation better.

A broker, on the other hand, works across the market.

They take the time to understand your health history, your work, your financial situation, and your goals. From there, they research the market and recommend options that fit your circumstances, rather than fitting you into a single product.

This is particularly valuable when:

• You have pre-existing health conditions

• You work in a specialised role

• You want flexibility as your life changes

• You are unsure what matters most in a policy

What Happens If There Are Exclusions or Loadings?

This is where the difference often becomes very clear.

When you apply for insurance, it is not uncommon for exclusions or different pricing to be applied based on your medical history. Without guidance, this can feel confusing or discouraging.

A broker can help by:

• Explaining what exclusions actually mean in practice

• Identifying whether another insurer may assess your history differently

• Structuring cover in a way that still provides meaningful protection

A decline or exclusion from one insurer does not always mean the same outcome elsewhere.

What About Claims? Why Involve a Broker Then?

Another common question is why you would contact your broker at claim time if you know which insurer you are with.

The answer is simple. Claims often happen during stressful periods, when time, energy, and clarity are limited.

A broker can:

• Answer questions quickly

• Help you understand what information is needed

• Guide you through the process step by step

• Advocate for you if issues arise

While insurers do provide claims teams, those teams are often managing high volumes of enquiries. Having someone who knows your situation and can support you personally can make a meaningful difference.

Are Brokers Just Salespeople?

This is a fair concern, and one we hear often.

Insurance has historically been positioned as a sales-driven industry, which has created understandable scepticism. Good advice, however, does not feel like pressure.

There are some clear signs of quality advice:

• You are given both positives and limitations

• Options are explained, not pushed

• You are shown ways to adjust cover to suit your budget

• You are encouraged to understand your decisions

Equally, there are red flags to watch for, such as feeling rushed, pressured, or discouraged from asking questions.

Insurance should be educational, not transactional.

The Value of Ongoing Advice

One of the most overlooked differences between going direct and using a broker is what happens after the policy is set up.

Life does not stand still. Jobs change. Families grow. Income shifts. Health evolves. New Insurers enter the market.  Existing insurers change

A broker provides ongoing support by:

• Reviewing cover as circumstances change

• Helping remove exclusions where possible

• Making sure policies remain relevant over time

If you have not heard from your adviser in years, that is worth questioning.

A Final Thought

Choosing between going direct and using a broker is not about complexity or cost. It is about confidence.

Insurance decisions are not something most people want to revisit often. Having the right support means you can make informed choices now, knowing someone is there to help if and when things change.