Majority of brokers facing difficulty in non-standard market

There are major concerns among brokers about the lack of capacity in the non-standard insurance market, according to Prestige Underwriting’s market survey.

Conducted by Context Skythorn for the managing general agent in May, the poll found that 85% of personal lines brokers believe that there are not enough insurers providing capacity for non-standard business, even as the market is expected to grow.

More broadly, 79% of brokers across the whole market find it difficult to secure coverage for clients with specific non-standard risks.

Key issues also include service quality and risk appetite. Nearly half (48%) of brokers reported that capacity providers are too slow in responding to new business queries. Moreover, 91% of brokers working with non-standard risks share the view that all insurance providers should adopt a wider risk appetite.

Insurer support is another area of dissatisfaction among brokers. Over half (57%) of the respondents feel they are not adequately supported by insurers to effectively serve customers with non-standard insurance needs.

Meanwhile, there is notable recognition of the importance of rated capacity. Approximately 34% of brokers see rated capacity as business-critical, while 49% consider it important.

Tim Baxter (pictured), head of broker development & partnerships at Prestige Underwriting, stated: “The results of our survey underscore a pressing need for improvement in the non-standard insurance market.

“While brokers regard Prestige Underwriting positively, it’s clear that the broader market must address significant concerns around service provision and capacity.

“At Prestige, we are committed to consistently enhancing our services, and we hope to see a collective effort from all providers to better support brokers and their clients as the non-standard market continues to expand and evolve.”

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