The verdict in three sentences
For a brokerage with 2,800 policies and 6 to 10 staff, off-the-shelf broker software at 50 to 130 GBP per user per month (60 to 150 EUR) is enough if your insurers are already connected. A custom CRM (35,000 to 78,000 GBP, delivered in 3 months) becomes relevant when commissions arrive from 15 insurers in 15 formats and IDD and Consumer Duty compliance must be proven file by file. The deciding criterion remains automated commission reconciliation: that is where lost revenue hides.
What a broker CRM must centralise
A London general insurance and protection broker juggles client records, renewals, insurer commission statements and evidence of advice. Without a single tool, this information lives in 4 to 6 different files.
| Function | Without a tool | With a broker CRM | 2026 impact |
|---|---|---|---|
| 360 client record (policies, claims, documents) | Scattered files, 5 to 10 min searches | One record, 10 s access | 2 h per week per staff member |
| Renewal and expiry alerts | Spreadsheet, frequent misses | Automatic reminders at D-60 and D-30 | Retention up 3 to 5 points |
| Commission reconciliation | 2 to 3 days a month | Statement import, gaps flagged | 1 to 2% of commissions recovered |
| Advice trail (IDD, Consumer Duty) | Paper or unindexed PDFs | Time-stamped, archived needs analysis | Calm FCA reviews |
| Cross-selling and campaigns | No targeting | Segments by product and policy age | 8 to 12% more cross-sales |
| Management dashboards | Manual extraction | Book, commissions, loss ratio in real time | Monthly decisions backed by numbers |
Off-the-shelf or custom: the numbers
| Criterion | Off-the-shelf broker software | Custom CRM |
|---|---|---|
| Upfront cost | 2,600 to 8,700 GBP (migration, setup) | 35,000 to 78,000 GBP |
| Recurring cost | 50 to 130 GBP per user per month | 5,200 to 10,400 GBP a year |
| 5-year cost, 8 users | 28,000 to 71,000 GBP | 61,000 to 130,000 GBP |
| Time to go live | 4 to 6 weeks | 3 months |
| Insurer connectors (EDI, portals) | Existing catalogue, often 20 to 40 insurers | Built around your partners |
| Custom advice journeys | Standard forms | Tailored to your niche products |
| Online client area | Basic | Branded, with e-signature and uploads |
Custom software is worth it for specialist brokers (motor fleets, agricultural risks, protection for the self-employed) whose products do not fit standard screens, or for those wanting a differentiating client area.
IDD, Consumer Duty and GDPR: 2026 requirements
The Insurance Distribution Directive, retained in UK rules, requires documenting the demands and needs, the advice given and 15 hours of annual training per staff member. The FCA Consumer Duty adds fair value and outcome monitoring. The CRM must time-stamp each step, store product information documents and generate a signed suitability record. Under UK GDPR, health data in protection business requires tight access controls and audit trails.
Mini case study
Thomas runs a London brokerage (8 staff, 2,800 policies, 950,000 GBP in annual commissions) and notices unclaimed gaps on statements. Automated reconciliation recovering 1.5% of commissions brings 14,250 GBP a year. Add 2 hours a week saved per staff member, valued at 35 GBP: 8 x 2 x 46 x 35 = 25,760 GBP. Total gain: 40,010 GBP a year. A custom CRM at 56,000 GBP plus 7,800 GBP of maintenance pays back in roughly 18 months; off-the-shelf software at 95 GBP x 8 x 12 = 9,120 GBP a year pays back in 4 months, but without reconciliation tailored to his 15 insurers.
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FAQ
How much does an insurance broker CRM cost in London?
Off-the-shelf software costs 50 to 130 GBP per user per month, plus 2,600 to 8,700 GBP to get started. A custom CRM ranges from 35,000 to 78,000 GBP.
Does the software evidence the advice trail?
Yes, a good CRM time-stamps the demands and needs analysis and archives the signed suitability record. During an FCA review you produce the full file in minutes rather than days.
How does automated commission reconciliation work?
The software imports insurer statements, compares them with expected policies and premiums and flags gaps. Brokers typically recover 1 to 2% of commissions that previously went unnoticed.
How long does a custom CRM take?
Allow 3 months for a scope covering clients, policies, renewals, commissions and compliance. Migrating 2,800 policies takes 2 to 3 weeks of that time.
Can the CRM connect to insurer portals?
Yes, via EDI feeds or APIs where the insurer provides them. Budget 2,600 to 5,200 GBP per specific connector in a custom build.
Let's scope your project. We define your scope (clients, renewals, commissions, compliance, client area), an indicative budget and a 3-month plan. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.
