Brokers insist their future is bright, despite recent surveys indicating a shift towards the direct purchase of insurance through online channels.

While some business is being lost to the direct market, brokers contacted by insuranceNEWS.com.au say it is insignificant and their genuine value to key clients is not in doubt.

However, they accept the need to adapt to changing times, work harder than ever for customers and promote themselves to the general public more effectively.

“There is a generational change in business-owners and they buy insurance differently,” National Insurance Brokers Association (NIBA) CEO Dallas Booth told insuranceNEWS.com.au.

“But this is an opportunity rather than a threat. I am more convinced than ever that there is a strong future role for brokers.”

It comes after the Vero SME Insurance Index released last month reported a drop in small and medium enterprises’ use of brokers, from 65% in 2011 to 61% last year.

Business-owners aged below 40 are most likely to buy direct, it found.

A Roy Morgan survey seemed to confirm the shift, showing the direct market was having its greatest impact in industries such as construction and professional services.

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