The verdict in three sentences
Above 3,000 policies in the book, a spreadsheet becomes a liability: missed renewals, unclaimed commissions and incomplete IDD files when the regulator calls. Custom broker management software for a European brokerage costs EUR 30,000 to 60,000 in 2026, delivered in 4 months. It pays off as soon as the firm recovers 1 to 2% of lost commissions and frees half a day per week per account manager.
What the spreadsheet really costs a 6,000-policy brokerage
A brokerage working with 25 insurers receives as many commission statements, each in a different format. Reconciliation is manual, renewal follow-ups depend on account managers' memory and suitability records are scattered across emails and shared folders.
| Metric (6,000 policies, 25 insurers) | Spreadsheet today | Custom software |
|---|---|---|
| Commission statement reconciliation per month | 35 to 45 h | 6 to 8 h |
| Unclaimed or misallocated commissions | 1.5 to 3% | under 0.3% |
| Renewals contacted at least 30 days before term | 60% | 98% |
| Lapse rate at renewal | 9 to 11% | 6 to 7% |
| Complete IDD files (demands and needs, advice) | 70 to 80% | 100% (mandatory fields) |
| Client requests handled without a call (portal) | 0% | 40 to 50% |
| Time to prepare a regulatory inspection | 2 to 3 weeks | 2 days |
On annual commissions of EUR 1.8 million, recovering just 1.5% of lost commissions is worth EUR 27,000 per year, as a 2026 order of magnitude.
Modules and their 2026 prices
Off-the-shelf broker platforms often charge EUR 80 to 150 per user per month, with little flexibility for specific statements or client journeys. Custom software wins when the firm has its own way of working (niche lines, large accounts, fleets, group health).
| Module | Function | Indicative budget |
|---|---|---|
| Policy and client database | Records, covers, endorsements, claims, history | EUR 7,000 to 12,000 |
| Renewal reminders | Alerts at D-90, D-60, D-30, automatic emails and SMS | EUR 3,000 to 6,000 |
| Commissions per insurer | Statement import, reconciliation, gaps, sub-broker splits | EUR 6,000 to 12,000 |
| IDD and registration compliance | Demands and needs, advice record, 15 h annual training tracking | EUR 4,000 to 8,000 |
| Client portal | Certificates, documents, claims filing, e-signature | EUR 6,000 to 13,000 |
| Dashboards | Book per account manager, retention, new business | EUR 4,000 to 9,000 |
| Hosting and maintenance | EU hosting, backups, audit logs | EUR 400 to 900 per month |
The core (policy database, reminders, commissions) starts around EUR 30,000. A full client portal and connections to insurer extranets push toward EUR 60,000.
Compliance: what the software must record
The Insurance Distribution Directive requires brokers to document the client's demands and needs and the advice given before each sale, plus 15 hours of continuing training per year for every person who distributes insurance. The software must time-stamp each document, prevent closing an incomplete file and produce a readable export for an inspection. The firm's registration number (ORIAS in France, or the national register elsewhere) must appear on every client document. Under GDPR, health data from protection products requires certified health data hosting in France (HDS) if the firm stores it.
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Catherine, managing partner of a 12-person brokerage in central Paris, invests EUR 46,000 plus EUR 700 per month. Annual gains: EUR 27,000 of recovered commissions, 3 points of extra retention on EUR 1.8M of commissions, i.e. about EUR 54,000 of commissions preserved, and 0.5 FTE freed (about EUR 28,000). Even counting only half of those gains, i.e. EUR 54,500, the project pays back in under 11 months.
FAQ
Can we migrate data from our spreadsheet and old software?
Yes, migrating 6,000 policies takes 2 to 3 weeks, with checks for duplicates and covers. Budget EUR 3,000 to 6,000 depending on file quality.
Does the software connect to insurers' extranets?
For insurers providing EDI feeds or APIs, yes. For the others, importing PDF or Excel statements is 85 to 95% automated.
How does it compare with off-the-shelf broker software?
A market tool costs EUR 80 to 150 per user per month, i.e. EUR 11,500 to 21,600 a year for 12 people, with no code ownership. Custom costs more in year one but fits your statements and client journey.
How long does deployment take?
Allow 4 months: 3 weeks of scoping, 11 weeks of development and 2 weeks of migration and training for the 12 users.
Is health protection data a problem?
If you store medical questionnaires, hosting must be certified for health data, adding EUR 100 to 300 per month. Otherwise, standard EU hosting is enough.
Let's scope your project. We scope your broker software (policies, renewals, commissions, IDD, client portal) with an indicative budget of EUR 30,000 to 60,000 and a 4-month timeline. 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.
