Mike Bottle, senior vice-president of strategy and distribution at Arch Insurance, explains his perspective on what elevates an underwriter into an esteemed and valued broker partner
The UK insurance market is as competitive as it has ever been. Every aspect of the insurance lifecycle – from initial enquiry through to claims resolution – is an opportunity for insurers to differentiate themselves in the eyes of brokers and end clients.
As a marketplace, we have an understanding of what brokers view as critical differentiators when choosing insurer partners to work with.
Our own research and studies such as Insurance Times’ annual Five Star Rating Reports consistently highlight factors such as speed of response, quality of cover and strength of relationship as key attributes brokers look for in their insurer partners.
Succeeding or failing at these aspects separates insurers into two buckets – insurance providers or critical partners.
To achieve that critical partner status, we must commit to new standards.
We are not talking vanity satellite offices
Partnership is a term that is widely used, but often difficult to achieve.
At its core, it is about trust, transparency, collaboration and consistency – building blocks of any sustainable and successful relationship.
Creating a successful partnership starts with regular contact – this is why we believe having a regional presence linking underwriters directly into local broker networks is so important.
We are not talking about vanity satellite offices here that are staffed on a part-time basis, but fully staffed operations with empowered underwriters always available for brokers.
Some market participants may argue that centralisation helps to reduce costs, but the long-term value of direct broker interaction can certainly outweigh any short-term savings.
This format gives brokers the opportunity to walk through the door, build a rapport with the same underwriter and develop trust that comes through face-to-face meetings.
Creating that integral bond between underwriter and broker cannot be achieved any other way.
A closer connection
Building this type of environment is conducive to more productive interactions.
Regular dialogue ensures underwriters are constantly being guided by the voice of the broker. It also means that the relationship is never taken for granted and the onus is always on the underwriter to do more.
That closeness enables a more granular understanding of the risk profile of individual companies, helping underwriters to create more relevant propositions that are aligned to customer needs.
Furthermore, it means that more complex risks can be discussed without fear of instant rejection because this shared insight can then lead to a more productive discussion on possible options.
Confidence and speed
It is imperative that brokers are always confident in insurers’ ability to deliver.
That means being reassured by the consistency of approach and the clarity of risk appetite. We must constantly demonstrate willingness to trade – not solely on more standard risks, but also on those complex issues that push our underwriting capabilities.
Open and honest dialogue is the foundation of partnerships.
We must be transparent in our approach to partnerships – involving brokers in decision-making, communicating strategy and developing greater alignment of ambitions, while also challenging brokers to challenge us.
In this more connected relationship, we must also be quicker in our responses.
Straight-through access to empowered underwriters should mean faster decisions – whether that is to accept or decline. And that speed must be evident at every stage, from the initial enquiry through to claims resolution – no broker should be waiting days for a response.
That ability to deliver increasingly extends to eTrading.
The drive for efficiency and ease of doing business through eTrading platforms is a critical area of investment – however, any hybrid approach must match digital capabilities with underwriting experience.
Often, portals are too narrow for more complex risks and easy access to underwriters is key to keeping the process moving.
Responsive, available, consistent and collaborative – for Arch Insurance, these factors separate the partner from the provider.
Creating an environment in which brokers can trade the way they want to and are confident in insurers’ ability to deliver – that is what is critical.
