Consolidating Insurance Brokerage for Better Outcomes

Procurement of insurance brokerage services

Situation

CareFlight is an Australian aeromedical charity dedicated to saving lives, speeding recovery, and serving the community. Guided by its vision to be the most advanced integrated aeromedical service trusted by all Australians, CareFlight operates in a highly specialised environment where risk management is critical.

Aeromedical services like CareFlight manage a complex insurance portfolio covering medical negligence, workers’ compensation, corporate liability, and aircraft insurance. Historically, CareFlight engaged three separate insurance brokers – some relationships spanning over 20 years. While these arrangements provided continuity, they lacked competitive benchmarking.

CareFlight recognised that consolidating these services under a single broker could deliver significant benefits: improved commercial terms, streamlined administration, and cost savings. However, achieving this required a structured procurement approach to ensure transparency, compliance, and alignment with organisational objectives.

Project

Grosvenor Procurement Advisory was engaged by CareFlight to re-procure its insurance brokerage services. Our team began by analysing the existing arrangements to identify gaps and opportunities for improvement. We drafted future requirements documentation and conducted market research to identify suitable organisations with expertise in aviation and healthcare insurance.

Working closely with CareFlight’s board and internal stakeholders, we approached ten brokers to be invited for expressions of interest. A key feature of the commercial model was that it would be commission-free, ensuring the broker worked exclusively for CareFlight while also achieving premium reductions.

Based on the proposals received, Grosvenor supported CareFlight’s evaluation team through every stage of the process – shortlisting, broker presentations, and negotiations. This structured approach enabled a like-for-like fee comparison, ensuring transparency and value for money.

As part of our commitment to the communities we serve, Grosvenor undertook this project at cost, reinforcing our dedication to supporting organisations that make a difference.

Outcome

“The results of this project have been transformative for CareFlight. By consolidating our insurance brokerage services, we achieved savings ranging between 20% and 40% across specific insurance lines. In total, this equated to $360,000 – a substantial amount of money for a charity like ours. These savings allow us to redirect funds to what truly matters: delivering critical aeromedical services to Australians in need. Grosvenor’s expertise and commitment made this process seamless, transparent, and highly effective.” Tania Betts, Chief Financial Officer, CareFlight