We recently connected with Axel Luna and have shared our conversation below.

Axel, appreciate you joining us today. So, let’s start with trends – what are some of the largest or more impactful trends you are seeing in the industry?

Over the past year, many individuals and businesses have experienced the effects of increasing insurance premiums. These rising costs have left many policyholders wondering about the factors behind this trend. Additionally, many policyholders may be unaware of the benefits of working with an insurance broker compared to a captive insurance agency. In this article, we will explore why insurance premiums have been on the rise and how utilizing a broker can be a valuable choice for clients who may not fully understand how brokers work with multiple insurance carriers.

Factors Driving Increasing Insurance Premiums:
a) Economic Impact:
The global economy has witnessed several challenges in the past year, including the COVID-19 pandemic and natural disasters. These events have resulted in increased claims and losses for insurance companies, leading to higher premiums to compensate for the added risk.

b) Evolving Risk Landscape:
Emerging risks such as cyber threats, climate change, and the ever-changing nature of technology have contributed to the complexity of insurance underwriting. Insurers must adapt to these new risks, resulting in adjusted pricing models and higher premiums for policies that cover them adequately.

c) Regulatory Changes:
Changes in regulations can also impact insurance premiums. Adjustments in laws and regulations often lead to increased compliance costs for insurance providers, which are passed on to policyholders in the form of higher premiums.

d) Inflation and Market Conditions:
General inflationary pressures and fluctuations in financial markets can affect insurance premiums. Insurers invest policyholder premiums to generate returns, and if market conditions are unfavorable, they may raise premiums to maintain profitability.

The Role of Insurance Brokers:
a) Independent and Objective Advice:
Unlike captive insurance agencies that represent a single insurance carrier, insurance brokers work with multiple insurance companies. This independence enables them to provide unbiased advice and offer a range of options tailored to the client’s specific needs. Brokers act as intermediaries, advocating for their clients and ensuring they get the best coverage at competitive rates.

b) Access to Multiple Insurance Carriers:
Insurance brokers have established relationships with various insurance carriers, giving them access to a broader range of policies and pricing options. This extensive network allows brokers to compare and negotiate on behalf of their clients, ensuring they receive the most suitable coverage at the best possible price.

c) Expertise and Risk Management:
Brokers possess deep knowledge of the insurance market and can guide clients through the complexities of policy terms, conditions, and coverage limits. They assess their client’s risks, provide risk management advice, and tailor insurance solutions accordingly. This expertise helps clients make informed decisions and minimize potential coverage gaps.

d) Claims Advocacy:
In the event of a claim, insurance brokers act as advocates for their clients. They navigate the claims process, working with the insurance company to ensure a fair and timely settlement. This level of support can be invaluable, especially during stressful times when policyholders need someone experienced in their corner.

Conclusion:

As insurance premiums continue to rise, it is crucial for policyholders to understand the factors driving these increases. Additionally, considering the advantages of working with an insurance broker versus a captive insurance agency can offer clients a valuable perspective. By partnering with a broker, policyholders gain access to independent advice, multiple insurance carriers, expertise in risk management, and dedicated claims advocacy. In an ever-changing insurance landscape, utilizing a broker can provide peace of mind, cost savings, and comprehensive coverage tailored to individual needs.

Axel, love having you share your insights with us. Before we ask you more questions, maybe you can take a moment to introduce yourself to our readers who might have missed our earlier conversations?

I started my career at New York Life Insurance Company in 2015, specializing in life insurance and how utilizing permanent life insurance can help maximize one’s tax and risk diversification in their financial portfolio. I quickly climbed the ladder to the top of my class, & at a very young age, became a respected professional in my space with a very decorated early career, winning every and all the awards one could obtain.

In 2018, Utah Business Magazine named me to the Utah Business 20 in their 20s as the top Insurance Agent in the state within his 20s. After obtaining that recognition, I spent a short time at MassMutual as a Managing Director of the firm. I then went on to work directly underneath two insurance titans in the state of Utah, Russell Parry and Parker Reed, of Platinum Insurance Group. While working in Parry and Reed’s office, I had the chance to learn the ins and outs of running a multimillion-dollar brokerage.

In 2020, I felt comfortable with the skills that I had acquired and learned from all my mentors, even dating back to when I had started in 2015, and so I decided to make the leap and start my brokerage under the Platinum Umbrella. That is when The Luna Group was born, an insurance and financial services firm specializing in working with entrepreneurs and professionals in managing their insurance and retirement needs. The Luna Group serves an impressive list of clients from an A-class celebrity to businesses that generate millions of dollars in revenue per year.

Mr. Luna has also qualified for the coveted Million Dollar Round Table, placing him in the top 1% of professionals in the insurance and financial planning industry.

What do you think helped you build your reputation within your market?

I have always believed in doing the right thing every single time, never taking any shortcuts, and always working extremely hard when representing my clients. I also have a very close relationship with all my friends to the point where I know my client’s families, spouses, children, pet’s names, their personal interests, etc. I take a lot of pride in placing relationships before business and I believe that has allowed me to work in the higher more affluent markets.

Can you tell us about what’s worked well for you in terms of growing your clientele?

My most effective strategy has simply been doing great work for all of my clients and showing up when they need me. What I mean by that is when it’s time to file a claim, and they need a professional who will go to bat for them when things don’t go as planned, I am there.

I think some professionals in our field give us a bad reputation when they are initially there to get a quick sale and not the hard parts. However, what they neglect is that this is a long-term commitment. We need to be there for our clients every step of the way, through the good and the bad. I take pride in being there for my clients during their darkest hours.

Whether they have lost a family member and need their life insurance paid out, or if someone is legally coming after our client and they need their insurance policy to financially protect them from every angle, I am dedicated to providing the assistance they need.

Contact Info:

• Website: https://www.lunainsgroup.com
• Instagram: https://www.instagram.com/thelunainsgroup/
• Facebook: https://www.facebook.com/PlatinumAdvisorsFIS
• Linkedin: https://www.linkedin.com/in/axel-d-luna-37614997/