Successful initiative grows number of black brokers in South Africa

Mutual & Federal, a member of the Old Mutual Group, is developing black brokers in a bid to improve access to financial products by previously disadvantaged communities.

Mutual & Federal launched its Black Brokers Development Programme in 2009 and to date 91 brokers have participated in the programme and are operating successfully.

“Until 2008 we did not operate in the mass and foundation markets,” says Vusi Ndlovu, general manager: New Markets, at Mutual & Federal. “We then launched this initiative to develop aspirant black brokers into fully fledged intermediaries over a period of time, thus building the necessary sales capability and capacity within the short-term insurance industry to service these markets”.

A key component of the programme is that Mutual & Federal also provides mentoring to ensure success for the brokers.

“We are convinced that a mind once stretched by an idea never goes back to its original dimensions. With this in mind we targeted previously disadvantaged aspirant entrepreneurs, groomed them through training and mentoring and then provide them with the opportunity to participate meaningfully in the economy of the country,” Ndlovu adds. “Our key motivation is clients. They need to be serviced by seasoned professionals who can best help them meet their requirements”.

The programme develops brokers at different levels and is aligned to meet different broker needs.

“Brokers need stamina and staying power to succeed. Our model seeks to ascertain if they are cut out for the job and to ensure that they operate at their optimum level.” says Ndlovu.

Mutual & Federal also identifies markets and encourages brokers to approach these prospective markets. With continuous training, coaching and mentoring they learn to be innovative in finding business themselves.

“So far Mutual & Federal has developed male and female brokers, across personal and commercial lines, in Johannesburg, Pretoria, Durban, Cape Town and the Eastern Cape,” says Ndlovu.

Mutual & Federal is one of the leading insurers in Southern Africa.