UK Personal Lines Insurance: Distribution Dynamics 2024

This report examines consumers' channel preferences in the personal lines space across the direct, broker, bank, affinity, and price comparison website channels, including the drivers behind customers’ choices and how these have changed over time. It also forecasts the future of personal lines distribution to 2028.

Across all distribution channels, the primary drivers behind consumers’ choice of an insurance provider are premium cost and brand reputation. This shows that affordability and trust are key considerations when selecting a provider. Economic uncertainty has continued consumers’ focus on securing cost savings, with 32% of respondents selecting the cost of the premium as the most important factor when choosing a provider-further reinforcing the importance of competitive pricing.

Scope

• The direct channel remains the most frequently used option when purchasing insurance.
• In 2023, the broker channel’s share rose by 0.1pp to 34.4%.
• From 2023 to 2024, the number of consumers using a PCW to purchase insurance increased by 1.3pp to 28.1%.

Reasons to Buy

• Understand how distribution channels in the UK general insurance market performed in 2023 and 2024.
• Ascertain how underlying market factors and drivers will shape distribution channels going forward.
• Discover customers’ preferred purchasing methods in each distribution channel.
• Understand switching behaviors in each channel.
• Explore future market shares for personal lines distribution to 2028.