Why Buying Insurance Through Your Bank Could Cost You — And Why Using a Broker Like Morgan Insurance Brokers Makes More Sense

23 October 2025
|In Uncategorised
|By lauren
In today’s fast-moving financial world, it might seem convenient and even smart to purchase your insurance policy directly through your bank. After all, you already have an account there, you trust them, and it feels like “one stop shopping.” But there are good reasons why buying insurance through your bank may not be your best choice and why going through an independent insurance broker such as Morgan Insurance Brokers in Brisbane offers smarter outcomes for your business or personal cover.

What happens when you buy insurance through your bank

Your bank will often offer insurance products bundled or cross-sold to you. They’ve got your account, your trust, maybe even your mortgage or other services. On the surface it makes sense. But consider:
  • The bank is likely promoting its own affiliated insurance product (or insurer) rather than objectively shopping the market.
  • The salesperson at the bank may be incentivised to sell that product, rather than to find the best product for you.
  • Your needs may be complex, changing, or specific — but the product is standardised.
  • You may be missing out on specialist cover, competitive pricing, or exclusions you don’t realise.

Limited market‐choice

In essence, buying through a bank often means you’re going with one insurer’s offering (or a small panel) that the bank has tied-up. You lose the advantage of:
  • Comparing multiple insurers with different policy terms, pricing and excess levels
  • Tailoring the cover to your exact risk profile (especially for business)
  • Having access to higher-end or specialist insurers if your risk is unusual

Less value in advice and ongoing support

When you deal with your bank:
  • The staff may not be specialised in insurance; they may be salespeople rather than insurance risk advisers.
  • If you have a claim, there’s less chance of proactive support, advocacy or broker-level assistance.
  • If your situation changes (you grow your business, or your asset/risk base shifts), the product may not adapt, and you may need to renegotiate yourself.

Cost isn’t everything, but you might pay more

It’s tempting to think “if the bank sells it it must be cheap.” But consider:
  • One size fits all products may include cover you don’t need (which you pay for) or exclude things you do need.
  • The bank may not negotiate the best premiums across the market because they’re locked into one insurer relationship.

Why using an insurance broker makes sense

Brokers act for you, not the insurer or bank
You get independent advice tailored to your situation.
  • The broker has no incentive (in theory) to push one insurer’s product over another just because of internal deals.
In short: If you buy via your bank, you’re choosing convenience, but perhaps at a cost of expertise, flexibility and tailored service. With Morgan Insurance Brokers you get a partner in risk rather than a product.

What to Look for in a Good Insurance Broker (and Why Morgan Delivers)

When selecting a broker, you should check:
  • Do they understand your industry / business risk?
  • Do they have access to multiple insurers (lots of choice)?
  • Do they review annually and keep your cover up to date?
  • Do they provide claims support (not just “we sell the policy”)?
  • Are they independent and acting in your interest rather than locked to one insurer?
  • Do they have good reputation, transparency of cost / fees?
Morgan Insurance Brokers check those boxes: they specialise in business insurance, have a claim-service approach, provide annual review, and emphasise client relationship and tailored cover.

Final Thoughts

Buying your insurance via your bank might feel safe, convenient and familiar — but it may not give you the best value or the best protection. The risk of being underserviced, paying too much or having a poor fit is real.
When you engage a broker such as Morgan Insurance Brokers, you’re choosing expertise, choice, service and adaptability. You get someone on your side, acting for you, not just pushing a standard product.
If you run a business in Brisbane (or have changing risk, assets or liability exposures), don’t settle for “bank insurance”. Talk to Morgan Insurance Brokers today: get an insurance partner, not just another policy.