Joe Plumeri, head of Willis Group Holdings, went beyond blasting the potential conflicts for brokers accepting contingency fees to urge buyers to ask who "independent" agents actually work for in an opinion column in this week's National Underwriter.
Plumeri, chairman and chief executive officer of Willis, wrote in the July 19 "Final Say" that "whether you're a big global broker like Willis or a local insurance agency…you can only serve one master. It's either the carrier or the client. You can't work for both."
Plumeri wrote that those who accept volume-based contingent bonuses might be tempted to compromise their primary duty to place a client's business with the best company for the best terms and price, while profitability-based fee deals create a disincentive to provide aggressive claims service.
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