If you've ever shopped for business insurance, you've likely heard the term "Broker of Record," or "BOR." But what does it actually mean? And more importantly, when should you use one?

Simply put, a Broker of Record is the insurance professional officially authorized to act on your company's behalf with insurance carriers. They handle everything from policy quotes and negotiations to claims support and renewals, serving as your single point of contact in the insurance world.

With hundreds of thousands of insurance brokers in the U.S. and a global brokerage market topping $260 billion, choosing the right partner for your company matters. If you’re navigating risk, compliance, and growth, understanding how a Broker of Record works can give you more control over your coverage, costs, and experience.

What Is a Broker of Record?

A Broker of Record (BOR) is the person or firm officially authorized to represent your company to insurance carriers. They're your designated advocate responsible for quoting policies, negotiating terms, and guiding you through claims or renewals.

This authority is formalized through a document known as a Broker of Record Letter. Once signed, it gives that broker exclusive access to your insurance application, policy details, and carrier relationships—making them your single point of contact for anything related to your coverage.

With 82% of insurance brokers now using advanced analytics tools to personalize client policies, the right broker can shape how your business is represented to underwriters, what coverage options become available, and how supported you feel when something goes wrong.

How the Broker of Record Process Works

The good news? Your new broker handles almost everything for you. Here's how the transition typically works:

1. You sign the BOR letter. This one-page document officially authorizes the new broker to represent you. It includes basic company information and your signature, giving them permission to act on your behalf.
2. Your new broker submits the letter. They send the signed BOR letter directly to your insurance carriers, along with any required documentation.
3. Carriers acknowledge the change. Insurance companies process the request and update their records to show your new broker as the official point of contact.
4. Your new broker gains servicing rights. Once processed, they can access your policy details, communicate with carriers, and begin managing your coverage.

The entire process takes just 1–3 business days. Your coverage stays exactly the same—only the management relationship changes.

When It Makes Sense to Change Your BOR

The decision to change your BOR comes down to whether your current broker is meeting your needs or whether another broker may be better positioned to advocate for you and manage your coverage effectively.

Situations That Prompt a Switch

Companies typically use a BOR letter when they're:

• Unhappy with service or support. If you're chasing quotes, hunting down policy documents, or managing carrier communications yourself, you're not getting the value you deserve.
• Outgrowing their broker's expertise. Your broker should understand why you need Directors & Officers (D&O) Insurance for your Series A, and not push generic policies that don't match your operations.
• Seeking specialized knowledge. High-growth companies face unique risks like data breaches, rapid scaling, and regulatory changes that traditional brokers may not understand.
• Looking for better carrier access. Some brokers have limited options, while others access specialized industry-specific expertise or surplus lines markets.
• Getting poor claims support. The real test isn't the sale but what happens after; if your broker disappears during a claim or can't help with mid-year changes, it might be time to switch.

For high-growth companies, these issues surface quickly. Rapid growth, evolving risk profiles, and investor requirements create insurance needs that change faster than traditional brokers can keep up with.

Signs Your Broker Isn’t the Right Fit

• They don't understand your business model. Legal defense costs for management liability claims can be costly, underscoring why you need a broker who understands industry-specific coverage like D&O or Employment Practices Liability.
• You're doing their job. Insurance should feel supported, not self-serve. Your broker should proactively manage carrier relationships and anticipate your needs.
• Limited carrier relationships. The best brokers can access specialized programs designed for high-growth companies, not just standard small business policies.
• Transactional approach. Look for brokers who view insurance as an ongoing partnership, supporting you through renewals, audits, compliance changes, and growth milestones.

What to Consider Before Signing a BOR Letter

Before you move forward, it’s worth stepping back to evaluate what you really need from a broker. The right partner should bring more than just access to insurance markets. They should also offer strategic guidance that aligns with your business model, stage of growth, and long-term plans.

Look for Industry-Specific Expertise

High-growth companies face risks that traditional businesses don't: data breaches, rapid team growth, international expansion, or regulatory changes in emerging markets. Your broker should understand investor expectations, board requirements, and compliance needs, then translate those into smart, scalable coverage.

The best brokers for growing companies can explain not just what coverage you need today, but how your insurance strategy should evolve as you hit key milestones.

Evaluate Carrier Relationships and Access

Some brokers work with limited carrier panels. Others have access to specialized industry-specific programs or surplus lines markets. Ask potential brokers about their carrier relationships and whether they can access coverage specifically designed for high-growth companies.

Prioritize Ongoing Partnership

Look for brokers who view insurance as an ongoing partnership, not a transaction. They should support you through renewals, audits, compliance changes, and growth milestones. The right broker becomes an extension of your team—someone who understands your business well enough to anticipate needs before they become urgent.

You Have More Control Than You Think

Your insurance broker plays a central role in protecting your business, and if that relationship isn't working, you're not stuck. The Broker of Record process gives you flexibility to make changes when your needs evolve.

With one letter, you can switch to a broker who better understands your industry, offers stronger support, or can access better coverage options. It's a small administrative step that can significantly improve your insurance experience and protection.

Vouch Specialty Insurance Services, LLC (CA License #6004944) is a licensed insurance producer in states where it conducts business. A complete list of state licenses is available at vouch.us/legal/licenses. Insurance products are underwritten by various insurance carriers, not by Vouch. This material is for informational purposes only and does not create a binding contract or alter policy terms. Coverage availability, terms, and conditions vary by state and are subject to underwriting review and approval.