UK Commercial Insurance Broker Survey H1 2007

Content

• • National Brokers Are Considered The Biggest Threat To Brokers' Businesses While There Is Concern That Commercial Motor Business Is Most At Risk Of Moving To The Direct Channel
  • Survey Respondents Believed National Brokers Represent The Greatest Threat To Their Business
  • Commercial Motor Products Are At Most Risk Of Being Absorbed By The Direct Channels
  • There Are Opportunities For A Number Of Insurers To Improve Their Service Levels
  • Brokers Felt That Axa, Norwich Union And Royal & Sunalliance Have The Most Opportunity To Improve Their Broker Service Levels
  • Poor Service Is The Most Common Reason For Dissatisfaction With Insurers
  • Norwich Union Is Viewed Positively By The Broker Community
  • Norwich Union Stands Out As Being A Particularly Good Insurer To Deal With
  • Brokers Value A High Level Of Service From Insurers
  • Brokers Are Keen To Pursue Organic Growth
  • The Majority Of Brokers Surveyed Are Planning To Grow Their Business Organically
  • Acquisitions Among Brokers Remain Common
  • More Than A Third Of Brokers Surveyed Are Considering Planning An Acquisition In The Next 12 To 18 Months
  • The Most Common Reason For Planning An Acquisition Is To Grow Premium Turnover
  • The Broker Network Model Is Popular
  • Over A Third Of Brokers Are Part Of A Broker Network
  • The Most Common Reason For Joining A Broker Network Is To Obtain Access To A Larger Panel Of Underwriters
  • The Proportion Of Brokers Considering Joining A Broker Network Has Decreased
  • Mandatory Commission Disclosure Is A Potential Threat To Brokers
  • Almost Half Of Survey Respondents Believed That Fsa Compliance Costs Were No More Than 5 Per Cent Of Their Annual Turnover
  • The Majority Of Brokers Think That Their Insurer Partners Have Been Helpful In Assisting Them With Fsa Compliance
  • However, Brokers Feel That Insurers Could Be More Helpful In Certain Areas
  • The Majority Of Brokers Are Aware That The Fsa Is Revisiting The Issue Of Mandatory Commission Disclosure
  • Most Brokers Believe That Mandatory Commission Disclosure Would Have A Negative Impact On Their Business
• Appendix
  • Supplementary Data
  • Methodology
  • Further Reading
  • Ask The Analyst
  • Datamonitor Consulting
  • Disclaimer
• List Of Tables
  • Table 1: Q: "What Banding Does Your Company Fall Into In Terms Of General Insurance Premium Income Turnover?"
  • Table 2: Q: "What Proportion Of Your Business Is Commercial Insurance Compared To Personal Insurance (In Terms Of Premium Income)?"
  • Table 3: Q: "What Level Of Threat Do The Following Distribution Channels Pose To You?"
  • Table 4: Q: "On Average, By Approximately What Percentage Have Premiums Changed In The Last Year?"
• List Of Figures
  • Figure 1: The Majority Of Survey Respondents Perceive National Brokers To Be A "High" Or "Medium" Threat To Their Business
  • Figure 2: Commercial Motor Is The Line Of Business Most At Risk To The Direct Channel
  • Figure 3: A Number Of Insurers Have Scope To Improve Their Image Among Brokers
  • Figure 4: Poor Service From Insurers Is A Common Source Of Dissatisfaction
  • Figure 5: Many Brokers View Norwich Union Positively
  • Figure 6: Brokers Value A High Level Of Service
  • Figure 7: The Majority Of Brokers Are Keen To Pursue Organic Growth
  • Figure 8: Almost A Quarter Of Brokers Have Acquired A Fellow Broker In The Last 12 To 18 Months
  • Figure 9: Over 15 Per Cent Of Survey Respondents Are Planning An Acquisition In The Next 12 To 18 Months
  • Figure 10: The Majority Of Brokers Are Planning An Acquisition In Order To Increase Their Premium Turnover
  • Figure 11: Over A Third Of Brokers Surveyed Belong To A Network
  • Figure 12: Access To A Larger Panel Of Insurers Was The Most Common Reason Cited For Joining A Network
  • Figure 13: The Majority Of Survey Respondents Have No Plans On Joining A Broker Network In The Next 12 To 18 Months
  • Figure 14: Almost Half Of Survey Respondents Believe That Costs Arising Form Fsa Compliance Have Been No More Than Five 5 Per Cent Of Annual Turnover
  • Figure 15: A Large Proportion Of Brokers Surveyed Believed That Their Insurer Partners Helped Them Meet Fsa Requirements In The First Half Of 2007
  • Figure 16: The Majority Of Brokers Felt That Speed Of Documentation Was An Area Their Insurer Partners Could Improve On When Helping Them Meet Fsa Requirements
  • Figure 17: Over Four Fifths Of Brokers Are Aware Of The Fsa's Work On Commission Disclosure
  • Figure 18: More Than Half Of Brokers Surveyed Believe That Mandatory Commission Disclosure Would Have A Negative Impact On Their Business