Soft market conditions continued to affect business in the UK professional indemnity market in 2007, with low claims volumes allowing competition to remain strong and premium rates to decline. Premiums continued to fall despite new business driving an increase in policy numbers.
Scope
- Estimates of the professional indemnity insurance market size.
- Market share data for the top ten professional indemnity insurers.
- Forecasted scenario for the market until 2012, developed with industry representatives and in-house expertise
Highlights of this title
An increasing number of brokers have opened regional branches in order to get closer to more remote clients. This is allowing them to gain market share at the expense of those brokers and insurers which are becoming increasingly centralized, and this could effectively lead to de-consolidation in the PI market.
Lloyds share of GWP continued on its downward trend in 2006, falling by 1.5 percentage points to 33.6%. Since 2002, Lloyds share of the professional indemnity market has fallen from 56.6% to its current level.
The decline in premium rates was partly offset by growth in the take up of PI in 2007. On average, interviewees estimated that the number of policies-in-force increased by approximately 5-10%. The impetus behind the policy growth is the result of various new professions requiring PI as government regulation and UK society develop.
Key reasons to purchase this title
- Gain an understanding of the key drivers of the professional indemnity market in 2007
- Understand how the distribution of professional indemenity insurance is evolving
- Develop your business strategy using Datamonitors unique sector forecast
