FEATURED TOPIC – INSURANCE
Assessing the risk INSURANCE BROKER GALLAGHER IS USING INDUSTRY EXPERIENCE TO NEGOTIATE BETTER DEALS FOR THE WASTE AND RECYCLING SECTOR.
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hanges in the insurance market early in 2021, including the exit of a major player and increasing premiums, led many in the recycling sector to believe it was more financially beneficial to “self-insure”. David Ford, Client Manager for Gallagher insurance brokers says many “believe they have the risk management protocols in place”. “For smaller companies, with margins being so fine, paying high insurance costs is a huge percentage of their expenses,” he says. “Our experience in the sector shows that effectively, the market has pushed them this way. “But I do believe there are solutions available. I believe it’s up to my company, and myself and my profession, to find a costeffective solution.” David and Mark Bramley, Gallagher Regional Director, have a combined 20 years’ experience in the recycling
David Ford, Client Manager, Gallagher Insurance.
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sector. Gallagher has partnered with the Waste Contractors and Recyclers Association (WCRA) of New South Wales for more than 15 years. It’s this long-term connection that David says gives Gallagher a point of difference. “We understand the sector. We understand the difference in the types of facilities and key issues that the industrial special risks insurers are concerned about,” he says. “A lot of brokers don’t take the time to truly understand the client, the risk culture, how good the facilities are, capital expenditure and the processes that are in place. All they ask for is the traditional basic renewal information. Because we are spending time in the sector we genuinely understand it.” David says insurance company Criterion Underwriting is the only provider in Australia of specific insurance products for the waste and recycling industry. It has capacity of up to $50 million per risk, including paper and cardboard recycling, plastic, e-waste and tyre recycling, domestic and commercial waste, green waste, tins and metals, ceramics and glass and hazardous waste. Gallagher and Criterion have built a strong working relationship since partnering in September 2021 and have secured an exclusive 10 per cent discount on property insurance for WCRA NSW and Gallagher clients.* David says Gallagher works to give clients “more than just the usual spiel about price”.
Leila Reed, Account Manager.
“The terms attached to insurance can be very onerous and a lot of people in the waste and recycling sector are under a lot of pressure when it comes to meeting those criteria,” he says. “We go out to clients and advise them of their requirements. It’s not just as simple as a phone call to get all the information and we give them a number. We get in there and understand the business itself and speak to the key people involved. “We’re putting their risk management in the best possible light. We understand there’s a deeper part to the service.” David believes a hands-on approach is key to finding the right insurance solution but one that not many people are invested in. Because David and his team take the time to visit client sites they can recommend risk improvement and capital expenditure, giving them a practical standpoint to negotiate premiums for clients.
