Green's green credentials

Clive Galbraith is upset. He has seen enough paper to last several life times. He complains: "Insurers need to cut out the ridiculous amount of waste they cause - every time they have a rebrand we are meant to throw away the old stationary. The insurers should be made responsible for recycling the paper that becomes obsolete on a whim. When are they going to join the 21st century and move online?" He is also astonished at the amount of paper, especially post-regulation, that is required to be sent to clients.

To play its part in this environmental campaign, GIB, which has used Open GI (formerly Misys) for 12 years, is attempting to store as much data electronically as possible by scanning documents. This is at the heart of its 'corporate social responsibility' strategy. Although, Galbraith accepts there will never be such a thing as a paperless office.

Galbraith, who shares the same name as 'uncle' Eric Galbraith, chief executive of the British Insurance Brokers' Association, has been at GIB since 1983 and, after four years, became a partner for a sum of £80,000. He is now co-managing director of the broker alongside Duncan Coleman, a former insurance inspector, who joined in 1997. Galbraith says they are like "brothers" and "one cannot work without the other". They own one third each and are in the process of buying out the third partner.

The broker has grown through 11 self-financed acquisitions of "well-established brokers" in 11 years. The next buy will add over £4m of gross written premium and an office in Eastbourne. Last year, the acquisition of Crowborough Campbell Fisk and Partners, renamed Green Campbell Fisk, increased the size of Green by 40%. The firm has acquired every broker in Crowborough except rival Swinton. A further acquisition, at "advanced stages of negotiations", is set to be completed on 1 July and the target is to reach £25m, although there is no timetable for this growth. Galbraith comments: "All of our acquisitions have been successful, and many have been brokers that were set-up in the broker start-up heyday of the 1970s but had no succession plan."

In the fiscal period ending March 2007, GIB took in more than £2m of commission, a record year. The business mix is predominantly small to medium-sized enterprises in Sussex and Kent, with the majority of business between several thousand pounds of premium to £30k. However, there are some clients across the UK who have international connections. One client pays £600,000 GWP, showing local brokers can compete at the highest end with the nationals. Galbraith thinks there is an opportunity to grow organically by selling directors' and officers' and legal expenses insurances through commercial combined policies.

GIB's marketing is low key and much of the business is through recommendations. Galbraith feels 'walk-in' business has declined over the decades and that the high street presence is no longer important. His counterparts at Swinton would strongly disagree. Meanwhile, GIB has developed an attractive website, which is becoming vital to brokers' strategies across the UK.

A total of 25% of business is personal lines, with a "considerable amount of local motor and household". GIB set-up Green Premium Finance 18 months ago to serve clients with premiums up to £5000.

GIB is examining its insurance panel and possible reductions of its agency base but concedes there are fewer household name major insurers around anyway. Galbraith says: "It is right and proper to look at the bottom line and income of every transaction." Galbraith feels there is a lack of understanding among managers at insurers about "what is going on at the coal face of a broker" and, like many brokers, is uneasy that insurers have now taken to buying commercial brokers.

Commenting on finding staff, he says: "Recruitment is not easy and whereas before we may have recruited from insurers, the insurers are more distant. Hastings Direct is nearby and we can often attract from there if we have a personal lines position to fill. However, we have a high retention rate."

GIB is a local independent broker which has evolved with the times and the future is bright for 'managing brothers' Coleman and Galbraith. If only insurers could start cutting down on their paper mountain.

GREEN INSURANCE BROKERS

Managing director (joint): Clive Galbraith

Established: 1973

Number of offices: Three

Locations: Hastings, Bexhill, Crowborough

Number of staff: 48

Main lines of business: Commercial

Gross premium income: £15m.