As the non-standard market continues to grow, 88% of brokers surveyed believe that insurers and price comparison websites should direct customers with non-standard risks, which they cannot cover, to specialists who can meet these clients' needs.
As many as one-fifth (20%) of home insurance quote enquiries from consumers are estimated to be declined by insurers and PCWs due to their inability to accommodate non-standard risks. Despite this, there is little to no signposting to providers who could assist, leaving many consumers without adequate options.
Tim Baxter, Head of Broker Development & Partnerships at Prestige Underwriting, said: “For many insurers, the risk profile of non-standard customers falls outside their underwriting footprint. We encourage insurers facing this situation to enhance their service provision by implementing a swift and efficient signposting solution. This approach would not only offer commercial benefits to insurers but, more importantly, would address the unique needs of non-standard customers, ensuring they can access appropriate insurance policies to meet their requirements.”
As the call for better handling of non-standard risks grows louder, Prestige Underwriting's survey underscores the urgent need for insurers to adapt to the changing market for non-standard. This change is vital for meeting the evolving demands of the non-standard market and ensuring comprehensive coverage for all consumers. Specialist MGAs, with their deep expertise in non-standard risks, are well-positioned to assist insurers in addressing these unique challenges effectively.
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