Broking Giant Set To Alienate Small Businesses?

Towergate have announced plans to axe 750 jobs and integrate £200 million of annual premium into a call centre model, according to the Insurance Times.

Currently, Towergate's SME clients--who will pay up to £5000 in premium--will deal with one of their 85 offices across the country. But from this summer onwards, those aforementioned policyholders will be redirected to a call centre in Manchester.

It's a decision that has sparked much debate within the insurance sector, and some feel that whilst the move will see Towergate's premiums eventually depreciate, the broking juggernaut do risk alienating a large portion of their client base with the impersonal, diluted service that call centres can often provide.
For those clients who prefer a personal, familiar service news of this move will certainly come as something of a shock. As a consolidator, Towergate have purchased a host of local, independent brokers with clients who are used to a personal touch.

The Monday to Friday, 9-to-5 modus operandi of many of these call centres mean that policyholders may have to endure a more restrictive service. Especially in contrast to a local broker, who can offer a considerably more rounded and personal approach.

It's clearly a gamble, but is it one that will pay off? Are you a Towergate client concerned by this decision?
Feel free contact us with your own thoughts via our website. Alternatively you can get in touch by phone (01244 345 076) or follow us on Twitter.