insurancepeople issue 37 October 2013
David Grant Integrating marketing into the organisation - see page 8 Insurance People inside include:
Reg Brown Jonathan Davey Garry Fearn Jamie Marchant Glen McCully John Moore Terry Wellard Martin Wills
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Five interviews for the same job Five interviews for the same job… but here’s the punch line. For the same person! Editor and Publisher
Andrew Newman FCII, Dip.M email@example.com 01892 730539 Design & Production
Adrian Susman firstname.lastname@example.org 07981 993974
Yes, that’s the record doing the rounds. It may have been shocking when the first insurance ‘gladiators’ were forced to fight to keep their own jobs, but time moves on and job security has become a sudden death knock-out competition. But not everywhere. On page 4 Terry Wellard indirectly touches on this point about confidence in the current economic climate. As some firms make cutbacks, others act with more confidence about the future. So while there are firms keeping their heads down until the storm blows over, others maintain their profile; absorb M&A upheaval smoothly; and avoid the urge to cut their budgets by job culling and suspending event activity.
In this issue 1
David Grant Takes five with the Editor
Glen McCully looks at the fleet
System replacement Jonathan Davey says keep that competitive edge!
Jeni Hall email@example.com 07969 510172
Ones that got away Michael Sherrard crossed swords with Dr Savundra
Pensord Magazines & Periodicals Tram Road, Pontllanfraith, Blackwood NP12 2YA
Glen McCully wants brokers to expand their brief
Jamie Marchant Can insurance be trusted?
Martin Wills says service can only be judged after a claim
Also find us on:
Reg Brown’s Postcard Emporium Dining in
On the move Who’s going where?
Insurance People is published monthly by Buttermere Wedge Publishing Limited. While every attempt has been made to ensure that the information contained within this publication is accurate, the publisher accepts no liability for information published in error, or for views expressed. All rights for Insurance People magazine are reserved. Reproduction in whole or in part without prior permission from the publisher is strictly prohibited.
Motor claims supply Martin Wills on sorting good from bad
A distinct demarcation line has emerged between the ‘haves’ and ‘have-nots’ in the confidence stakes.
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Jonathan Davey offers five steps to IT bliss
Jamie Marchant believes in the right business culture
On the Road I’m here. Where are you?
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Chase Templeton seeks acquisitions P
rivate health insurance specialist Chase Templeton says it aims to accelerate its acquisitions strategy after adding over £15m in annual premium income through purchases this year. The company has already completed ten acquisitions in 2013,
ranging from £5m premium income deals to purchases which ran to only tens of thousands. Its acquisition team is also set to seal a final deal before the company’s year-end on October 31st which will add a further £4m in premium income. Chase Templeton’s chief executive officer, Warren
Dickson, says, “Our plan now is to further increase momentum using a significant acquisition fund to purchase both brokers and books. Many are currently looking to exit the market which is becoming ever more challenging as the cost of sourcing leads soars.”
Aqua launches HNW Family Portfolio
Key partnership raising funds for Macmillan
igh net worth insurer Aqueduct Underwriting (Aqua) has launched its Family Portfolio, which packages a family's motor and home insurance into a single portfolio, aiming to “… mitigate the high cost of young driver insurance”. The young driver product incorporates multi-car and home insurance “… to maximise economies of scale and pricing efficiency”. It is offered exclusively through brokers. A telematics box is fitted to the young driver's car, and the driver builds a record of claims-free driving in their own right, facilitating access to cover when they move away from home. There is a compulsory half-day course with the Institute of Advanced Motorists. Ashley Cole, motor underwriter at Aqua, reports growing demand for a policy that can include the family's children.
oter Professional Services has announced the launch of a new product in partnership with Open GI and Key Locator. Sales of the specialist Key Insurance Product will raise funds for Macmillan Cancer Support. The product, administered by Soter Professional Services, will be available to all Open GI brokers and will provide their customers with a key fob, which, when attached to keys, will provide cover in the event of them being lost, stolen or broken. Key Locator forms part of the claims process and manufactures the key fobs, which carry Macmillan Cancer Support branding. Soter, Key Locator and Open GI have agreed to donate a percentage of the sales price to Macmillan for every fob that is sold by the Open GI brokers.
Cardinus safety videos on YouTube
hree video films shot at the recent Cardinus Risk Management health and safety forum are now available to view on the Cardinus YouTube channel at youtube.com/cardinusrisk. The presentations, by a safety culture expert, a psychologist and a consultant, all include the presenters' slides full screen as part of the editing. Cardinus has also published a white paper in conjunction with the Health and Safety Laboratory. “Measuring the safety climate in organisations” can be obtained by telephoning 0207 409 0200 or emailing email@example.com.
Pictured left to right: Daniel Humphreys, head of operations, Soter; Jes Westerman, head of business development, OpenGI; Kelly Whitehouse, fundraising manager, Macmillan and Anthony Foxon, managing director, Key Locator OCTOBER 2013 insurancepeople 1
Total fleet solutions from Fleet UK TEn joins EOA
in association with
Fleet telematics progress T
he use of telematics in personal lines and payas-you-drive insurance may have made a hesitant start, but the technological advances are certainly revolutionising the monitoring of motor fleet vehicles, as Fleet UK’s Glen McCully explains this month in his article on page 10. The MD of THB Risk Solutions believes the recent strides see the commercial fleet market overtaking the progress already underway in personal lines. “Fleet UK’s solution enables fleet owners to avoid unnecessary costs from their drivers in the field of inefficient and/or
dangerous driving, vehicle wear and tear and exaggerated expense claims,” says Glen. “Of course, that facility has been around for some years, but so has the problem.” As Glen explains in his article, the pioneering payas-you-drive efforts were swamped by the sheer volume of data created. There was no means to apply any practical or insurance benefit. Fleet UK appear to have solved that problem, with the wrapping up of all the elements (even to the extent where the insurance cover itself is just one part of the overall package). I asked
Glen McCully to briefly outline how it works. “The key has proved to be the delivery of timely and useable and meaningful data that can be instantly analysed and deployed. Fleet UK Total Fleet Solutions actually wraps up the insurance element (underwritten by Zurich) within the overall package. “The analytic software is provided by Cardinus Risk Management and interprets the telematics data into valuable, actionable, realtime data for intervention and management of driver behaviour with recommended actions and an identifiable ‘driver score’. And the data can be sliced
Shares for TEn members
En Insurance has joined the Employee Ownership Association (EOA) as a first step in launching a share ownership scheme for its staff and members. The network’s managing director Malcolm Lee, says TEn is the only insurance business to be part of the Association. “We’re 100% committed to remaining an independent network for independent brokers and would never entertain the idea of
selling ourselves to a consolidator. Our members understand our commitment – it’s one of the reasons they join us rather than any of our competitors. But each of TEn’s directors wanted to take the next step to reaffirm this commitment, not only to our members, but to the market as a whole. “TEn and its members have experienced tremendous growth over the past few years,
Something akin to the John “Lewis of the insurance industry 2 insurancepeople OCTOBER 2013
despite the challenges that the current economic environment presents. That’s due in no small part to the spirit that pervades our network. We’re all proud of being part of something that we view as unique in the insurance market – something akin to the John Lewis of the insurance industry. We’ve
variously by individual drivers, groups or regions. “There’s also an enhanced FNOL – first notification of loss - facility built-in which links directly to Zurich Insurance which can help to minimise claims cost and reduce loss. “And this is a package only available via the fleet broking market, giving brokers the opportunity to get closer to the aims of their fleet clients by getting involved in overall cost reduction and employee risk management rather than as a sole provider of insurance.” Glen McCully’s article appears on Page 10
built our network based on honesty, mutual respect and encouragement. I truly believe that taking this step can only support our future growth plans.” The Employee Ownership Association is itself a network of employee owned firms. EOA chief executive Iain Hasdell says, “There are many more employee owned firms than people think, and they are becoming increasingly important to the UK economy, particularly as there is strong evidence that shows they outperform ‘conventionally’ owned companies.”
market talk “This has really become a ‘must-do’ event”
Another successful Wellard charity day! The annual golf day in aid of children’s charities organised in June by Insurance People contributor Terry Wellard raised £25,000 – an increase on last year’s total, and no mean achievement in these straitened times. As Terry says, while some firms are forced to make cutbacks on corporate events of this nature, others are waiting to take their place. This has really become a “must-do” event, and last month IP published one of the many accolades the event attracts. Here’s Terry’s report
ever in my wildest dreams could I have envisaged our charity golf day would ever reach the heights of success we achieved this year. Whilst we’ve enjoyed some glorious weather this summer, I’ve given up all hope of seeing the sun at this event, but I can safely say this has never dampened the enthusiasm of the participants. Tongue in cheek last
year I alluded to the prospect of having an embarrassment of numbers in 2013, and I was not disappointed as we equalled our record of 23 teams taking part - which is exceptional in the current economic climate. Fortunately, as some make cutbacks on corporate events of this nature, others are waiting to take their place, which must say something about our
‘pulling powers’! We’re also extremely fortunate in playing one of the most beautiful golf courses in this country and Stockport Golf club never fails to impress our guests. The courteous and obliging service we receive from the staff demonstrates in the best possible way how welcome we are at this club as they enjoy with pride their association with this event.
How could I possibly not, therefore, arrange next year’s event at Stockport where I have already reserved for Wednesday, 11th June 2014. Hopefully, we will continue to attract an increasing number of teams as this is a truly wonderful experience for all concerned, especially for the recipients of our charity donations.
A contentious lawyer? S
aw a press release the other day containing the above descriptive occupation. It triggered the word ‘tautology’ in the back of the mind. And that echo in the brain had an exclamation mark on it, and it was in the voice of an actress called Eleanor Summerfield, with the soothing voice of Roy Plomley in the background. 4 insurancepeople OCTOBER 2013
Younger readers won’t have a clue, but it was a radio panel game about – believe it or not – correct grammar and spelling. And it wasn’t as boring as it sounds. Mr Plomley was the originator of a famous programme called Desert Island Discs if that helps. So a contentious lawyer surely veers towards the
tautological – and yes, I’ve had to look that up. And while I was there I sifted out the following Thesaurus alternatives for ‘contentious’ – viz. factious, peevish, perverse, or quarrelsome. What about ‘lawyer’? How about a peevish shyster? My favourite is one from Groucho Marx – “a ferret-faced shyster!”. Shakespeare of
course went a lot further. “Let’s kill all the lawyers!” was the cry from Jack Cade and his Kentish Rebels (great name for a pop group?) when they threatened to burn down London Bridge back in 1450 in the reign of King Henry the Sixth. And all this prompted from an insurance press release!
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Towergate trio join Bluefin
Thirteen worthy causes
The prize winners
This year we included a donation for Lennox Children’s Cancer Fund in addition to the following:Beechwood Cancer Care Centre Claire House Children’s Hospice Richard House London’s First Children’s Hospice St Christopher’s Hospice Demelza Cosmic Children of St Mary’s Intensive Care NHF – The National Holiday Fund NSPCC LWS On Course Foundation Sparks Naomi House Children’s Hospice Helen & Douglas House Hospice The total sum distributed to these charities amounted to £25,000 which is the main reason why I get so excited on the night, and for all the right reasons bring tears to the guests’ eyes whilst dishing out fines and telling stories. The crystal ware prizes made a stunning “back-drop” for the top table, and even the glass sparkled in relief from spending over 20 odd years in my loft at home (but I did remember to remove the polished metal tag from a decanter which stated Winner Swinton Insurance 1986 Golf Day at Davyhulme, Manchester) – see right.
I cannot possibly thank everyone who contributes to this event enough, particularly as they are making a lot of people happy apart from myself, and who are extremely grateful. Long may this event continue to succeed and never forget that “tomorrow is a promise, not a guarantee”.
QBE - Geoff Lewis’s team
Markerstudy - Paul Copeland’s team
Dream Team - Terry Wellard’s Team
I can vouch for Terry Wellard’s splendid personal victory at the Swinton Insurance Golf Day at Davyhulme, Manchester in 1986 since I was there, playing in the four. The other players were Eric Bamford, of London & Edinburgh and Frank Blashill, the well-known Swinton man at the time. The annual event consisted of members of the Swinton management team across the whole territory and representatives of the various insurers and suppliers. As I was prompted to record last month in these pages in connection with this onetime event, it was an El Dorado for making lasting networking connections.
Bluefin expands in the North-East
ictured left to right are Julie Thacker, Emma Pringle, Debbie Oliver and David Wilson, on the occasion of their joining Bluefin’s Stockton office where David is the branch manager. All three join from Towergate Insurance. Before Towergate, Debbie and Julie worked at Peel Thompson Fletcher which was acquired by Towergate, and Emma worked at Willett & Ross which was also taken over by Towergate. Julie joins as a commercial account handler and Debbie and Emma are account executives. OCTOBER 2013 insurancepeople 5
Sales & marketing expansion at Gallagher Bassett Absolute open up recruitment opportunities
Gallagher Bassett to raise profile T
he sales & marketing team at claims and third party claims administrators Gallagher Bassett International has recently doubled in size with three relatively new arrivals. Richard Codd joined in
June 2013 as a business development manager and says the aim is to raise the company profile. “There’s an exciting appetite for significant growth over the next five years and raising the profile of the company in the market. The core discipline of the team will be to carefully listen to our clients’ claims needs and deliver creative solutions.” Richard previously worked at Crawford & Co for over five years, latterly as business development manager within the UK team. Jason O’Sullivan joined at the same time as a business development
manager, also having worked at Crawford for a similar period in the business development team. "We have joined Gallagher Bassett at a very exciting time, they have built a solid platform for growth and they have a strong reputation for delivering a market leading service". Greg Upcott joined in March 2013 as a third party administrator to develop the corporate book of business. He comes with 25 years’ broking experience spent mainly with HSBC Insurance Brokers and later at Marsh. Gallagher Bassett
Absolute recruit more detectives F or several years “the man with the capital ‘F’” was the ‘face’ of Towergate, but these days Marc DonFrancesco is commercial director at Absolute Partnership based in Tunbridge Wells. Our last meeting took place in a well-filled Great Hall at the CII in Aldermanbury when Absolute hosted a presentation entitled Tackling Fraud: the present and the future where I also met Absolute’s managing director David Beardsworth. This event took place rather close to IP’s October deadline, but we had spoken earlier in the month about Absolute’s completion of the first phase of its recruitment of a
6 insurancepeople OCTOBER 2013
new external investigation team of former police officers. Marc tells me that to reduce overheads following increasing cutbacks and ‘civilianisation’ within sections of the police, one tactic employed has been to release some officers, but then retain their services on a freelance basis whilst leaving them free to pursue other interests. “The number of officers available continues to rise,” says Marc. “In the Chancellor’s June public spending statement, it was announced that the budget for policing would drop by nearly 6%. A Guardian/LSE report in July predicts a further 5,800 cut in frontline police staffing in the next three years. According to HMIC statistics, this would
make a total reduction of 15,000 in the number of officers between March 2010 and 2015. “This has enabled Absolute to recruit ‘match-fit’ officers who are still highly active in policing circles in addition to being well trained and experienced.” David Beardsworth adds, “We’ve always recruited former military personnel for
recently joined the MGAA as a supplier member and it looks as if we’ll be hearing a lot more about them. The main areas targeted for growth are corporate, personal lines, London market and motor.
surveillance roles, which has worked very well. So we are familiar with how to integrate specialists successfully from the public sector. “We identified an opportunity to efficiently expand our investigative team by tapping into a deep pool of individuals with relevant expertise and specific and transferable skill sets. They are still sharp, flexible, and have an appetite to learn new skills and achieve results. With Government budget cuts, we can only see this opportunity increasing.” Absolute Partnership is a privately owned claims and document validation service provider, established in 2004.
Mutual founders’ direct descendant still a member
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Are pet premiums becoming unaffordable?
Cornish Mutual celebrate 110! D
oesn’t time fly when you are enjoying yourself? It’s one thing when the monthly deadline creeps up on you, but quite another when something that seems to have happened only yesterday in fact took place a decade ago! That moment came when Truro-based Cornish Mutual celebrated its 110 year anniversary in September. Was it really ten years ago when I found myself penning an article about their centenary? Business analysts Sarah Findlay and Clare Green organised the 110 year celebrations and were delighted to discover that one of Cornish Mutual’s members is a direct descendant of one of the founders who helped to start the business over a century ago.
The founding chairman was William Henry Copplestone who happens to be the paternal great grandfather of member Marilyn Liddicoat. She lives in Truro and has a further connection to Cornish Mutual on her mother’s side of the family as a great great-uncle Michael Henry Holman was another of the small group of farmers who founded the firm in 1903. “We’ve always known about our family’s connection to Cornish Mutual and my dad, who died this year at the age of 91, could remember his grandfather talking about the company’s history. I’ve since discovered the connection on my mother’s side after researching my family tree, and feel very proud to have this unique, double connection to such a significant Cornish company.
Left to right: Marilyn Liddicoat with Sarah Findlay, Clare Green, and Ian Pawley
“There was a lot of opposition to the business when it started - you can imagine what some of the bigger landlords thought of a group of farmers starting up their own mutual organisation. It was a bold thing to do, and a tribute to my great grandfather and the other farmers that it has gone on to be such an enormous success. I feel enormously
proud of the company, and every time I drive past the modern offices in Truro, or read about the firm’s success, I imagine how delighted my greatgrandfather would be.” Ian Pawley, chairman of Cornish Mutual adds, “Cornish Mutual is about people; our members are at the centre of everything we do.”
Pet premiums soar F
or compulsory cover like RTA motor, young male drivers hit by unaffordable premiums either go without, or plump for a less sporty car. Self insurance is out of the question. Not so for pet owners. The trend to ditch the insurance and pay the bills instead has gathered pace in recent times with a dramatic rise in veterinary costs and a growing range of new and expensive treatments. Vet fees are said to be rising 12% a year. And like PHI cover for humans, the premiums keep rising with age and are likely to have become unaffordable when the cover is really needed. Plus, there’s no chance to shop around because of the pre-existing defect condition.
Is it an insurance job? OCTOBER 2013 insurancepeople 7
Speed of decison“making is the key ”
Take Five Integrating marketing into the organisation In a variation of the normal interview format, David Grant (formerly with Equity Red Star) and the Editor enjoy a game of Q&A tennis. David takes the first serve
DG: Did you realise our careers have matched each other in many ways? We both specialised in personal lines, moving on to business development in the intermediary market and agency work. Later we gained marketing qualifications and progressed through to the marketing role. AN: Yes, indeed. I think the main difference is that you started out as a broker having been at Cambridge, while I went straight from school to work for an insurer. And of course the marketing role – steadily growing in the rest of the commercial world didn’t even exist in insurance at the start of our respective careers. DG: Well, it certainly existed outside insurance. But let’s be fair, personal lines insurance provision didn’t need to ‘market’ its products in the manner we understand today. Up until the mid-1980s there was a captive audience. Products and markets were much simpler and insurance sold on a ‘take-it-or-leaveit’ basis. In 1971 when the V&G went bust, customers had nowhere else to go. There were only insurers and brokers, and face-to-face was the only means of buying cover. 8 insurancepeople OCTOBER 2013
AN: Yes, having obtained a marketing qualification for myself, the opportunity to apply that knowledge didn’t materialise for quite a while. But I knew it would inevitably arrive at some stage. DG: I noticed in the recent September edition of Insurance People (Marketing comes home – page 5) your point about the marketing role now being integrated smoothly into many insurance management structures, and the fact that such a happy state of affairs took a long while coming. When you were responsible for marketing within insurance companies did you ever feel isolated?
and communication by avoiding unnecessary committee structures and other encumbrances. Proper process and accountability was still important, but the key was accepting responsibility for marketing across the whole range of the discipline. AN: What responsibilities did that complete range cover? DG: It embraced national sales, advertising and PR campaigns; corporate sponsorship activities; event management; press and business-to-business campaigns; and media spend. Plus direct input into product and service design and aims.
AN: No, I didn’t. But I was working in the smaller company sector at that time with short chains of command. It would have been different I believe in the larger organisations. How did you get on when you were responsible for the marketing function?
AN: That’s interesting, because today there are still some insurance firms who have yet to implement that culture. Some of the tasks you mention remain split in the traditional departmental structure, with different aims, targets, and agendas.
DG: The same. Whether for large or small organisations, speed of decision making and culture were key. Bigger companies can still possess speedy decision-making
DG: I would have sympathy for any marketing director or manager finding themselves in that position. The role becomes shackled without the full range of control, and inhibited
A marketer without control of all the marketing disciplines has one arm tied behind his back
It's important that firms evolve to meet new market challanges
if marketing is shunted into the traditional line management structure, and forced to compete for its own budget amid the different aims, targets, and agendas that can exist. Do you actually come across much of that?
AN: The hard part is that any friction that process causes is not usually the fault of the people involved. If they are given differing agendas, then getting departmental co-operation to achieve a common goal is difficult, if not impossible.
AN: Yes, mainly I suppose under the media spend heading. Anyone responsible for marketing a company without control over their own media spend is surely having to fulfil their role with one arm tied behind their back.
DG: Yes, those situations usually call on a higher executive to resolve. Or, endless time negotiating internally which could be better spent addressing external issues. And that’s rather wasteful of that executive’s time when the matter is avoidable via a more enlightened managerial structure.
DG: In my marketing experience I’m pleased to say I never had that particular problem. A marketing director or manager without control of all the disciplines under the marketing remit surely harks back to the traditional ‘departmental’ model.
AN: Plus of course, we have to remember that there are more firms in a state of turmoil and uncertainty than ever before. Whole teams of people have jumped ship into new surroundings, or faced redundancy, to
the point where some firms – even if they bear the same name they had ten years ago – have become completely different entities to what they once were. For better or worse… what do you think? DG: Nothing ever stays the same and nor should it. But it’s important that firms evolve to meet new market challenges, rather than change for the sake of it. One of the challenges to any marketing director must be to bring in new ideas and ways of thinking, but equally try to build on the good work of the past. The brand, and how companies are perceived by their customers, is made up of all past interactions. Understanding what this truly is and how it can be built upon is crucial. Get the changes right and it can bring great reward, but to get it wrong just wastes past investment in the brand and can be very costly.
David Grant David Grant’s insurance career took him to senior levels with extensive involvement in corporate strategy, marketing, and sales. His particular skills in budget management and major projects, coupled with strategic and market knowledge and contacts gave him some notable successes in distribution, marketing, PR and relationship management, particularly in building major accounts. He started out at Hamden Insurance Brokers in 1979, becoming a marketing development executive at Prudential in 1985. A role as Personal Insurances Planning Manager took him to Iron Trades in 1988 where he stayed for two years before moving to Dominion Insurance to become their Marketing Manager He then moved to NIG in 1995 as Marketing Manager and there held a number of marketing and sales positions culminating in Marketing Director in 2003. The move to Equity Red Star took place in 2006 as Head of Marketing, with his title later changing to Head of Distribution & Operations and finally to Head of Distribution and Broker Relationship Management.
OCTOBER 2013 insurancepeople 9
Glen McCully MANAGING DIRECTOR THB RISK SOLUTIONS
Opening the risk management door to brokers Advances in telematics technology are revolutionising the monitoring of motor fleet vehicles
t’s true that the fleet market was rather slow to take advantage of modern telematics technology much of the early adoption focused on tracking, route planning, or geo fencing. But recent strides see this market – particularly with commercial fleets - overtaking the progress already underway in personal lines. Much activity has taken place in personal lines, although with mixed results. The early pioneers of pay-asyou-drive failed to harness the vast amount of data they acquired. Failure to convert the data into meaningful risk management saw interest cooling off, but only temporarily. The EU Gender Directive when it came along had nothing to do with telematics, but it was immediately grasped as a means to offset the loss of gender as a rating factor. There was also the potential promise to theoretically assess individual risks in the young male driver sector where the scale of premiums were becoming unaffordable. So while there is a perhaps indirect element of risk management involved in personal lines, the devices’ implementation is largely being employed as a business development tool. Getting the risk on the books appears to be the main aim, which, if so, ignores the wider picture. It remains to be seen how follow-up risk management, if any, can be carried out among an unconnected myriad of individual risks.
10 insurancepeople OCTOBER 2013
he motor fleet is completely different, especially in the larger commercial fleets of 50 or more vehicles. Here the focus rests on three individuals – the fleet manager or owner; the broker; and the risk management consultant. All three possess the same aim – to reduce overall costs, including insurance premiums, and to promote health & safety for employees. Let’s take the broker. Traditionally, the broker would only be involved in securing a competitive rate for the insured – a rate largely driven by the loss ratio of the fleet itself. The rapid evolution of telematics devices has allowed brokers to add value to their proposition. Expanding their services into risk management advice and application, the direct results can be channelled back to the client in the form of lower insurance premiums consistent with risk improvements driven by the fleet manager or owner acting in teamwork with the risk management consultant/provider. Thus the broker enters the wider stage. Fuel price rises, new corporate manslaughter legislation, and other factors mean that more fleet operators are looking at the solutions available to help reduce cost and reduce risk. And the ability of state-of-the-art telematics, when intelligently applied, is already being proven to reduce accident frequency and create competitive advantage in pricing and product design.
Of course, there is a cost to implementing telematics. But that cost is reducing, and will continue to do so as critical mass is reached. Every car, van, and most trucks rolling off the production line now has engine management systems and onboard diagnostics as standard. As ‘plug and play’ telematics devices supersede the need to hard wire a black box, the flexibility and ease will enhance the cost benefits. Telematics is now delivering a new level of product and service innovation previously unheard of. Fleet managers and owners can now exercise a degree of control never available to them before. And the insurance industry has the opportunity to be in the vanguard of this evolution.
he key in all of this development is, of course, the speedy distribution of the data analysis and the real time behaviour of drivers, and vehicle logistics. Churning out the data itself is useless, given the sheer volume that is now collectible. The recipients don’t have time to sift for that analysis themselves, and need to receive it, quickly, and in digestible form. Naturally, telematics is not the be-all and end-all. It needs to be blended with traditional risk management solutions such as risk assessment, e-learning and driver training. But given that, telematics is already proving it’s worth in risk mitigation, claims cost reduction, and enhanced customer value.
Motor claims suppliers – spotting the good, the bad, and the ugly
Martin Wills asks if brokers really know what their customers go through in a motor claim, and explains the need to know how their suppliers operate to avoid damaging customer goodwill
recent dinner party guest told me his insurance company, “...is really good. I’ve been with them for years and never had a problem”. But it turned out he had never made any claims, therefore his opinion was based solely on price. Surely it’s only once a claim has been made that service can be accurately judged? In a competitive market place, especially for smaller brokers, one of the most important elements is having an efficient claims management system that results in customers involved in accidents renewing yearon-year. One employer told us of having to spend over two hours on the phone to various companies dealing with individual aspects of his non-fault claim, from personal injury and repair, to excess reimbursement, loss of
earnings and credit hire. The numerous calls left him frustrated, and he deemed the process ‘ridiculous’. Not a positive reflection on his broker. A well-run accident management or legal expense provider should consider the customer’s journey, simplifying it for them, rather than causing unwarranted additional distress. Utopia of course is for one company to offer all services, around the clock, through one call handler, without the customer being passed from pillar to post - a seamless service. A solid partner should also keep brokers as well informed as the end customer. The relationship between the broker and accident management/ legal expense company is just as important. While of course there is a financial element to the selection of outsourced service suppliers, the question to ask
Martin Wills MANAGING DIRECTOR VISION VEHICLE SOLUTIONS
is, are they the right ones to partner with to ensure that all too important renewal? Do you really know what happens once a policyholder makes that postaccident call? Being fully aware of how they deal with claims should be an essential part of the decision process, as should knowing that they comply to latest legislation, such as LASPO. The research will be worth it for sustained repeat insurance business. It really is only when they have been through the claims system that a customer can truly say, based on a positive experience, “My insurance broker is really good”.
Motor Claims – SECURITY AND PIECE OF MIND Security and piece of mind. A phrase so commonly used but infrequently delivered. Post LASPO many claims companies still have little substance and a tendency to outsource their post accident services to third party service providers. Our philosophy is simple. We keep our referrers and their clients as close to us as possible to ensure that claims are resolved with minimal interference from outside parties. RTA offer a variety of claims models to suit, all of which are centred around a single stop solution with an assurance to treat our customers fairly. So if security and piece of mind is high up on your shopping list then we would like to talk to you. So call us now and speak to Alex Dolman, Head of Internal Sales & Development on 01827 308663 or email firstname.lastname@example.org
We would be delighted to become your choice of claims partner. OCTOBER 2013 insurancepeople 11
Jonathan Davey MANAGING DIRECTOR SSP PURE BROKING & KEYCHOICE
Ensuring a competitive edge Brokers’ worst heartache arrives when the time comes to replace an outdated system. Jonathan Davey offers five key ways to make it a less stressful journey
oday’s ultra-competitive insurance market is forcing brokers of all sizes to examine how they operate and improve their efficiency. It’s fundamental to the efficient running of a modern broker, and in offices up and down the country the broking system in place is the cornerstone of the work that gets done on a daily basis, and the services that are offered to customers. It’s no surprise then, that deciding when and how to replace an outdated system plays an important role in management discussions and will have a major impact on the performance of the business for years to come. However, for many brokers this is a daunting process, so here are five key points to help make it a less stressful journey.
1. Consider future requirements When evaluating the software needed, the clearer vision of current business challenges; the challenges
12 insurancepeople OCTOBER 2013
you see on the horizon; and where you want to be in three to five years; the better position you’ll be in to select the IT you need. Are you looking to do more work online? Will you be moving into new lines of business? What are you looking to measure? What sort of management information do you need? Who does the business need to share data with and what sort of data is it? These are all issues that will affect both the choice of software and the best way to have it delivered. Remember, if the system cannot cope with the business you plan to do tomorrow, then it will end up holding you back. As well as your own business plan, you’ll also need to ask potential providers what their plans are and get a feel for how they are looking to develop in the years ahead. Clearly it’s important that these two views of the future are compatible.
2. In-house or outsource? A key consideration is how much you want to be involved in looking after your IT. Should you stick to your
knitting and focus on core business activities, rather than becoming sidetracked by IT issues you are not best equipped to deal with? Brokers are naturally wary about who they share their customer data with and how it is stored, as it is the lifeblood of their business. This has seen many brokers running their own system, maintaining their own server and taking responsibility for its upkeep. However, in recent years this has changed dramatically. As connectivity has improved and brokers have become more comfortable with IT, the trend has been towards outsourcing to a third party. So, rather than a broker keeping its server under the spare desk, its IT partner will house the server in a purpose built, highly secure building with its own designated generator should there be a problem with the main power supply. Data will be backed-up, protected by the very latest anti-virus software and undergo regular penetration testing. The broking software will also
Checklist Looking after an IT system is never a problem until there is a problem
be updated on a regular basis meaning it’s always compatible with other systems and that users are working with the latest and most efficient version. Looking after an IT system is never a problem until there is a problem and this is something that anybody with a home computer will understand. With their IT partner taking away the workload and headaches, brokers that have gone down the outsourcing route have freed up time and resources to focus on growing their business.
3. Complete or partial outsourcing If you decide to let a third party run your broking system, the next decision is whether you should select a managed service provider (MSP) or an application service provider (ASP). What’s the difference? Well, with an MSP the broker’s system will be managed from its own independent server, which can be configured to meet its specific needs. An MSP will also handle all of the other software requirements such as Microsoft Office and email, and not just the broking system. An ASP will run numerous customers from the same server, so they all get the same software. While this can sometimes provide cost advantages, it means there is not the same flexibility to configure the software individually. Deciding what will work best is a matter for each individual broker, but you need to be aware of exactly how any service will be provided and what the pros and cons of each will be for your business.
4. Consider different perspectives The process of changing systems can be complicated and put you outside your comfort zone. So it’s no surprise that some brokers hire a
consultant to help guide them through the issues and make sure they are evaluating their options on a like-forlike basis. Certainly, speaking to other brokers will help provide an idea of what is available, and taking the time to speak with staff will help you see where the existing system is falling down and where it could be improved. Doing this will give you a list of issues you want the software to address. By having your own very clear ideas about where your business is going and what your IT needs to do, brokers can make sure potential IT partners match up. It is crucial that firms never lose sight of what they need their IT to do for them. IT is a business support tool, so you must make sure it supports you in the best possible way. If it doesn’t, your business could become inefficient and ultimately end up failing. Shortlisting IT providers that match your requirements allows you to compare them in more detail, and you should also take the opportunity to test drive what’s on offer. By doing this you can see if everything the provider has promised is actually available or whether it is still under development. While systems will always be developing, brokers need to be able to rely on the core functionality of a system. Taking a chance on anything that has not proven itself can be risky. Although decisions should not be based on design over content, consider the look and feel of a system and the way it will work for you, day in, day out. Again, staff will be able to provide valuable feedback, so including them at this level makes a real difference.
5. Prepare Brokers may not be an IT specialist, but they are an insurance expert. They know how they need to run their business and what they need
Decide whether it’s in the best interests of the business to manage the IT in-house or hand it over to a third party
Have a clear idea of where your business is going and what it will need from its IT over the next three to five years
Get an understanding of where the IT partner is going over that period and whether this will allow the two organisations to work together effectively
Involve staff in both the assessment of what’s needed and the testing of new systems
Speak to peers in the industry and get a feel for their IT experiences
Think about employing a specialist consultant in the process
Take time to try a system out examining both its functionality and its look and feel
Consider how the IT will be paid for and whether this fits effectively with the business
Compare systems on a likefor-like basis, have a clear idea of your business requirements and how different systems stack up against them
to offer customers to stay successful. This is what must remain central in any assessment of new IT. Before making a decision, you need to be very clear about what you want the software to do and how it is going to do it. Increasingly there is very little difference between what insurance brokers do and the cover and price they offer. Instead, what differentiates is how service is delivered and how efficiently the business is run. This is where thorough preparation will help make the right decisions on IT which will bear fruit for many years to come. OCTOBER 2013 insurancepeople 13
“The ones that got away”
This month we revert to someone who ‘came in from the cold’ and whose career only touched insurance twice – once in the very high profile aftermath of one of the industry’s most outrageous frauds, and the other less visible, but nonetheless important to insurance personal injury claims
Michael Sherrard 1928-2012 Barrister Michael Sherrard’s connection with insurance came in 1968 when he locked horns with the notorious Dr Emil Savundra of Fire, Auto and Marine infamy - the “Prince of Con-Men” as one biography had it. But Sherrard’s involvement was not in connection with the trial and subsequent imprisonment of the FAM fraudster but in acting for the liquidator in the wake of the FAM collapse in trying to recover some of the losses from Savundra’s personal assets. In a less high profile role he was a member of the Winn Committee on personal injury litigation which sat in 1966-68. ●
Michael David Sherrard was born 23 June 1928 in London. His father was a lingerie manufacturer. Raised in Finchley, he suffered from dyslexia (at that time undiagnosable) and so studied as an external student at Hendon Technical College. Taken at age 16 to observe a murder trial at the Old Bailey, he determined to become a barrister, and studied Law at King’s College, London, being called to the Bar in 1949 and joining the South Eastern Circuit in the following year. His first capital case was the so called Deadman’s Hill murder in defence of James Hanratty in 1961. The trial at that time was the longest in English legal history (21 days). The death penalty was banned three years after Hanratty was hanged. Sherrard took Silk in 1968 and served as a Crown Court Recorder from 1974 until 1993, when he retired from the Bar. The Master of the Rolls, Lord Denning, before whom Sherrard appeared in trials and appeals, regarded him as “the best of advocates”, while Robert Rhodes, QC, one of the
14 insurancepeople OCTOBER 2013
doyens of the criminal Bar, considered him to combine “enormous ability and hard work with charm and modesty”. Sherrard was also regarded as a celebrated raconteur and a gifted mimic and cartoonist. His cases involved many personalities of the period; actor Trevor Howard, comedian Sidney James, Bruce Forsyth; and he acted for Judy Garland against impresario Val Parnell. In 1968 he was involved in the litigation that followed the collapse of John Bloom’s washing machine empire. He attended the inquiry into the financial dealings of John Stonehouse, Postmaster-General in Harold Wilson’s government, who faked his own death in 1974, leaving his clothes on a beach in Florida before absconding to Australia with his secretary. Sherrard was appointed CBE in 2003.
Rebuilding consumer trust Jamie “means a true focus on what the Marchant customer wants rather than what INSURANCE MARKETING & COMMUNICATIONS SPECIALIST
the business wants
Trust me; I'm in insurance The new regulator is doing more than merely running the rule over the insurance business. Jamie Marchant believes insurance firms should focus on the right business culture instead of trying to change the regulatory regime "
rust me; I'm in insurance." It has a nice ring doesn't it? Such a pity then that it's currently so far from the truth in terms of how everyone perceives the profession. According to a recent survey just 50% of people trust the financial services sector to do what is right - the same result as for banking. A little harsh? Then why are complaints to the FOS about general insurance at an all-time high and up 20% on the previous year? And why (according to research by Aspect) do only 3% of customers believe insurers offer them the highest standards of service? Recently the insurance sector has been doing itself few favours. The motor market is a 'problem child' and has been referred to the Competition Commission to help address its flaws. And the government has needed to intervene to sweep-up the mess and spiralling costs of the referral fees saga (something created in part by market participants). Yet although they were the loudest campaigners for the fees to be banned, insurers and brokers were among the biggest beneficiaries - generating hundreds of millions in revenues. Then there's the ongoing Transport Select Committee investigation of the whiplash
epidemic, with MP's berating insurers and asking them to 'put their house in order'. Plus the grim spectacle of a major high street broker being fined heavily for serious product misselling; condemned by the regulator as 'prioritising profits over the fair treatment of customers'. If we add to the list an ongoing FCA investigation of the sale of 'add-ons' and their reviews of claims handling, dual pricing, and brokers' conflicts of interest, it’s pretty clear that the new regulator is doing a bit more than merely running the rule over the insurance business. In a recent speech, Simon Green, FCA head of general insurance and protection summed things up: "... the insurance industry may be critically misunderstood by its customers. At best, they see buying insurance as a necessary evil." A few years ago, insurers and brokers railed against the need for a 'Treating Customers Fairly' initiative requiring them to place customers at the heart of their activities. Yet when we consider some of these issues, it’s clear that much remains to be done.
good start would be addressing the overall cause of customers' mistrust, rather than the individual symptoms. As AXA's
Amanda Blanc commented in a recent article, "What we need is some soul-searching and a focus on what the customer wants, and not what we want." And I couldn't agree more. But this will require a seismic cultural shift in the way that the insurance business thinks and responds. Instead of its current focus on revenues and the needs of the bottom line, there will need to be a far greater appreciation of customer expectations and the concept of fairness. Dual pricing is one example. Most people think it obvious that loyal policyholders are cherished and rewarded. Surely it's not only common-sense but good business practice given the investment needed to attract new business? Yet still insurers defend their approach doggedly and are regularly and publicly pilloried for their trouble. Now MP's and the regulator wish to investigate, shining further unfavourable light on the sector's processes. Given everything it contributes, it pains me to watch insurance practitioners being regarded with such distrust. But there is a need to see the bigger picture. In May, the FCA's CEO suggested that firms should revisit their culture rather than "…revisit our rules". If that's not a signal for change, what is? OCTOBER 2013 insurancepeople 15
his pre-1910 postcard from the Reg Brown collection depicts “a corner of the Women’s Lunch Room where a large part of the Company’s 2,500 employees lunch daily” at the Metropolitan Life Insurance company’s “Home Office Building” in New York which was completed in 1909.
Note the uniformity of the Edwardian women’s office wear. The profusion of white blouses, and everyone with the same hair style. No purple hair, no trousers, and a fixed hemline anchored statutorily at ankle level. And there doesn’t seem to be much food on the tables. ●
There’s no suggestion that the apparent food frugality had anything to do with MetLife’s mission 30 years later when one of the actuaries peered into the mortality tables. He worked out a table that related an ideal weight to a person’s height. Contrast that with the third card. This shows the Director’s Dining Room in London at 11 Lombard Street which was the home of Guardian Insurance. The reverse of this card (not shown) confirms the date as May 1914. (How ominous that month sounds in the benefit of historical hindsight, with 2014 getting nearer). Like the New York luncheon venue, not much food on this table either – in fact, none. But with the red wine decanter full and the wine glasses ready, you know it’s coming soon – as soon as the photographer has cleared off. And the reverse of this card also reveals that the table was “arranged by Miss Sunaway”, one of the Guardian waitresses who has already appeared in her own right in this series (May 2013). 16 insurancepeople OCTOBER 2013
MetLife (as they had become) widely published this table as an authoritative guide, and in so doing created much misery for dieters and the health profession that still echoes today.
Some firms “undermining objectives of the RDR” T
he Financial Conduct Authority (FCA) has published the results of a review designed to find out whether firms continue to be influenced by inducements from product providers, despite the Retail Distribution Review (RDR) coming into effect in January 2013. The review found some life insurance firms had arrangements in place which could influence advisers, contrary to the RDR’s aim
of removing commission bias in financial advice. Many of the firms involved in this review have now changed their arrangements as a result of early action by the FCA. Two firms have been referred to enforcement in specific cases where the FCA identified potential rule breaches. Clive Adamson, the FCA’s director of supervision, commenting on the findings, said:
“The changes we made to the retail investment advice sector were designed to mark a step change in the way advice was given. It signalled the end of advice that might be influenced by the commission payments made by product providers to advisory firms, and the start of a new era of trust and transparency between a firm and its customers. The findings of this review
reveal that the actions of some firms have the effect of undermining the objectives of the RDR. “Most of the firms involved in the review have already made changes, which are welcome, but we want all firms in this market to review and, if necessary revise their existing arrangements. We will revisit this area in the future to check that the necessary improvements have been made.”
Executives fear financial controls failure
Insurance M&A faces “quiet revolution”
inancial data management provider AutoRek has released new research analysing current attitudes to Britain’s financial controls agenda and the strategic importance that it plays within businesses. The survey reveals that, despite the growing attention being paid to developing good governance policies, nearly half of financial services executives believe the next major financial crisis is likely to be caused by a failure of financial controls. In total, 46% of executives either agree (36%) or strongly agree (10%) that the breakdown of financial checks will be responsible for any future crisis, indicating that there could be a repeat of the US subprime mortgage crisis which led to the recession that began in 2008, rather than a sovereign debt crisis. AutoRek marketing manager Graeme McKee, comments, “With increasingly complex regulation and more severe penalties already on the horizon, the financial controls agenda has become an inescapable part of day-to-day business for firms operating in the financial sector. As a result, organisations need to take the necessary steps to prioritise good governance, and introduce financial controls that provide an audit trail of compliance, to ensure that we don’t repeat the fundamental failings associated with the last financial crisis.”
new global report from PwC looking at the future of insurance M&A has found that the strategic importance of M&A to insurers across the globe is set to increase. PwC says that experts believe that European insurers could slice 2-3% off their combined ratios by emulating pricing best practice from markets such as the US or Australia. However the report, entitled “Insurance 2020: A quiet revolution – The future of insurance M&A”, says that transaction volumes won’t recover along the same lines as during the last decade and instead, the next few years will see a ‘quiet revolution’ in global insurance M&A. Nick Page, transaction services partner at PwC, says, “The global insurance industry’s outlook is improving. The mature economies of Europe and North America are moving towards recovery, while the emerging markets of Asia and Latin America continue to grow. A pick-up in global premiums is forecast, but the industry should not expect a return to the old ways. Insurers are operating in a world where the goal of long-term growth seems to be getting further away. Instead insurers face a range of obstacles including persistently low investment yields, tightening regulation and overcapacity in many markets. OCTOBER 2013 insurancepeople 17
Garry Fearn to step down as executive deputy chairman W
ith effect from September 15th, Garry Fearn steps down as executive deputy chairman of Covéa Insurance. Garry Fearn originally joined Norman Insurance in 1989, became chief executive in 1996 and continued in this role when the company changed its name to MMA Insurance in April 2000 up to
September last year, when he became executive deputy chairman of Covéa Insurance. In addition to his chief executive role, he was a founder director of the startup MGA, Saturn Professional Risks Limited, as well as the online broker, It’s4me plc. He was also a director of Medical Insurance
John Moore shortlisted for cricket award
he chairman of Thomas Carroll Group, John Moore, has been shortlisted
John Moore 18 insurancepeople OCTOBER 2013
for a Lifetime Achiever award in a national final run by the England and Wales Cricket Board at Lord’s Cricket Ground on September 30th. A member of his local club for 50 seasons, he is already a Lifetime Achiever in awards made by Cricket Wales, qualifying him for the national awards, the Natwest Outstanding Service to Cricket Awards (OSCAs), at Lord’s. At Pentyrch CC he is head groundsman and vice chairman. On the club’s website he describes himself also as “relief barman” and, as a bowler, “grenade launcher 5th XI”. His career as a spinner reached its high point in 1992, when he took all ten wickets for 44 runs in a Pentyrch game on tour in Devon.
Company Limited, a Dublin based medical malpractice insurance company. He led the group’s acquisition of the Swinton Group in 2000 and has been a director of that company since that date. He comments, “We’ve achieved a huge amount since I joined the business in 1989 and I’ve very much
enjoyed the part I’ve played in that success. Integrating the former two businesses has been well managed and as a result Covéa Insurance is now focusing on putting all the building blocks in place to achieve its ambitious plans. As such the time is right for me to step down and I wish the new team every success”.
New European model for QBE
BE has announced that, from October 1st 2013, its European division will operate via two insurance businesses, Retail and International Markets. This is in addition to its reinsurance franchise, QBE Re, which is unchanged. The company says that the new structure “ … will enable QBE to respond to the evolving and increasingly sophisticated needs of its brokers and clients by providing better crossproduct focus and improved support to meet the different demands of wholesale, specialty, subscription and retail. “The creation of Retail and International Markets allows QBE to build upon its comprehensive distribution network and will create a platform for continuing sustainable growth through a more seamless integration of underwriting and distribution.”
Car insurance scam men in court
t the Old Bailey on September 9th, two men admitted laundering part of the proceeds of a nationwide car insurance scam, which reportedly netted more than £500,000. They had opened bank accounts to be used by the architect of the scam, who had already admitted selling 600 non-existent car insurance policies through the websites, Aston Midshires Insurance and First Car Direct Insurance. He was arrested following an investigation by the City of London Police’s Insurance Fraud Enforcement Department into what is thought to have been the UK’s biggest “ghost broking” scam.
TP capital influx likely to affect reinsurance market
FCA complaints handling review
he influx of third-party capital into the reinsurance market may displace up to $40 billion of traditional equity capital, which could either be returned to shareholders or redeployed elsewhere in the re/insurance market, according to Willis Re. The current trajectory of growth in third party capital suggests it could account for up to 30 percent of the global property catastrophe reinsurance market within a few years, representing approximately $100 billion of capacity, according to panellists at the Willis Re
Monte Carlo Rendezvous press conference. John Cavanagh, CEO of Willis Re, commented: “Discussions so far have centred on the effect third party capital is having on rates and the competition it is producing in the property catastrophe reinsurance market. A future influx of $100 billion would, however, have a number of profound consequences. As third party capital enters the property cat reinsurance market, it is going to crowd out conventional equity capital. That equity capital has to go somewhere.”
he FCA has launched a thematic review to look into complaints handling among major firms. It is expected to take in 15 firms, including three in the general insurance arena, and was announced during a speech by Linda Woodall, director of mortgage & consumer lending subdivision at the FCA, to the Building Societies Association. The FCA aims to report back in early 2014. Graeme Trudgill, executive director of BIBA, comments, “BIBA supports the goal of ensuring customers’ complaints are handled swiftly and fairly and will be working closely with the FCA during this project. BIBA have previously met with the FCA to discuss their thematic reviews and welcome their collaborative approach. “Brokers need not be particularly concerned about this as they have tried and tested systems in place for many years.”
OCTOBER 2013 insurancepeople 19
L&G simplifies business protection underwriting L
egal & General has announced improvements to its financial underwriting process for high sum assured business and business protection, simplifying requirements and reducing the amount of information required for larger sums assured. Key improvements include: Life cover – increase in the sum assured at which a full financial
questionnaire is required from £1.5 million to £2.5 million; additional details, such as copies of company accounts, are no longer required until the sum assured is in excess of £3.5 million. Critical illness cover – increase in the sum assured at which a full financial questionnaire is required from £800k to £1million; additional details, such as company
accounts, are required from £2 million. Research published by Legal & General and Unbiased.co.uk found there to be a business protection gap of nearly £1.35 trillion in the UK. The shortfall was calculated by looking at the assets, shares and profits of businesses alongside the views of business owners. The research also revealed that there has been a
Monte Carlo charity cycle ride
changing hosted a ladies’ charity cycle ride in advance of the recent Monte Carlo Rendezvous. The team, made up of representatives from Guy Carpenter, Axis Capital, Morning Data, Acord, the IUA and Xchanging, dressed in period 1920s
‘flapper’ costumes and set off at 8.15am from the Promenade des Anglais, Nice. The ladies completed their journey at the grand Casino Square in Monte Carlo. The group has already raised over £6,200 towards their target of £10,000 for
The Xchanging team, ready to ride 20 insurancepeople OCTOBER 2013
three children’s charities; the NSPCC, The Children’s Trust, Tadworth and HemiHelp. Funds from the cycle event will add to the £73,000 total that was raised for these charities at the Leadenhall Ball in June, where Xchanging was the lead sponsor.
significant increase in the number of limited companies and partnerships without cover. The number of limited companies had increased by 100,000 from 2008, now reaching 1.3 million in the UK. Legal & General hopes that its simplification of the underwriting process will help make getting cover easier and go some way to close this gap.
Two more for Bluefin network
wo broking businesses have joined the Bluefin Network from Westinsure – Fogarty’s Insurance, based in Lancashire, and Reg Hambly, based in Cornwall. Both offer personal lines and commercial insurance products. Mike Bruce, CEO of Bluefin Insurance Group, comments, “We have been busy making sure our network offers industry leading services to its members and as a result, we continue to grow. Bluefin Network is an important and successful part of our business, there is growing demand and we look forward to a bright future.”
“New mis-selling scandal” in the making?
No interest in waiving employee share rights
ollowing the OFT announcement of a crackdown on pension schemes and a push for regulators to work with providers to deliver better value, plus potential capping of management charges, Mike Davies, vice president EMEA North, GMC Software Technology said: “Is this a new mis-selling scandal in the making? Yet again, financial institutions are being hounded by the Office of Fair Trading with accusations of opaque practices leading to customer confusion and in
this case poor value pensions. “When the subject is complex – such as pensions – transparency, simplicity and clarity of information is critical. If an insurance firm can explain the options and results clearly, then employers will make better, more informed decisions. It doesn’t matter if you are bombarded with choice - if you know what you are doing because you have been offered clear information, then you’ll be more positive about the whole customer experience.”
AS reports that it has received no requests from policyholders for legal advice regarding the new employment rights for shares scheme. The new legislation allows employees to potentially waive employment rights in return for £2,000 worth of shares in their employer’s company. It was first proposed last year with George Osborne suggesting that such contracts would be ideal for employees at fastgrowing firms. Andrew Lear, solicitor and head of employment at DAS Law, says, “While it’s still early days for this new scheme, judging by the lack of interest we have had from our advice helpline, it looks as though take-up among businesses and employees may be surprisingly small. However, regardless of the take-up, there still remain serious legal issues regarding the practicality for both employer and employee and we would anticipate legal challenges in the fullness of time.”
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OCTOBER 2013 insurancepeople 21
Growth in home-owner house purchase lending
ross UK mortgage lending rose 12% in July to £16.7 billion, up from £14.9 billion in June and 29% on last July. Survey results published by the Council of Mortgage Lenders show that this growth in July continued to be buoyed by home-owner house purchase lending, in particular by growth in firsttime buyers. The CML data (which, as of this month, includes buy-to-let) shows: ●
Total home-owner house purchase lending continued to grow, up 9% on June and 21% on July last year. First-time buyers took out 25,300 loans in July, an increase of 5% on June and of 41% compared to July 2012. Home movers took out 32,000 loans, an
increase of 12% compared to June and up 9% on July last year. Home-owner remortgage lending continued to pick up compared to July 2012 and recent months, although the £3.8bn advanced remains subdued compared to historical volumes. Total buy-to-let loans advanced increased to 15,200 in July, up 12% compared to June. Within this, 7,600 buyto-let loans in July were for house purchase, up by 7% compared to June. In contrast to the picture in the homeowner market, buy-to-let remortgage lending grew more strongly than house purchase, increasing by 24% compared to June to £1.1bn.
Total home-owner house purchase loans (both movers and first-time buyers) continued to show the resilience and growth seen throughout 2013. 57,400 house purchase loans were advanced in July, an increase of 9% on June and up by 21% on July last year. These loans had a total value of £9.1bn, which was an increase of 12% on June and 23% compared to July last year. 22 insurancepeople OCTOBER 2013
Cover4Caravans online guide for new caravan owners
over4Caravans - caravan insurance specialists – have added a new guide to their website aimed at helping new touring caravan owners and people thinking about investing in one. The guide covers topics including: choosing a caravan; caravan maintenance; European driving tips and legislation; internet access while travelling; and storing a caravan out of season. Richard Burgess, director at Cover4Caravans, says: “For the new caravan owner or user, it can be pretty daunting, figuring it all out, and making the best use of your investment. Our guide aims to alleviate that by putting everything you need to know in one place. We also plan to add to it and so welcome feedback from owners to further enhance this unique guide”.
Combined ratio under 100% in 32 of top 50 markets
he “2013 Insurance Risk Study” from Aon Benfield, presenting profitability statistics for the top 50 property/casualty markets globally, as well as demographic, social and economic data, reveals that 32 of the top 50 markets have a five-year combined ratio of under 100%, with only ten under 90%. Overall the EMEA region has the lowest five-year combined ratio, at 98%, followed by the Americas (100%) and APAC (103%). Risk benchmarks are provided for 49 countries and key business lines, representing more than 90% of global insurance premium. The study reports that over USD3.5 trillion of capital is dedicated to insurance globally, with USD1.2 trillion supporting property casualty lines, USD 1.8 trillion life & health, and USD0.5 trillion reinsurance. Global capital increased 7% year on year. The study also reveals that, within the USD1.5 trillion of global property casualty premium, motor accounts for 45%, and was also the fastest growing component, increasing 7.3%. Property accounted for 32% of premium and grew at nearly 6%, while liability dropped to 23% of the total premium, with virtually no growth year on year.
AXA fined: customers to be compensated T
he Financial Conduct Authority has fined AXA Wealth Services Ltd £1,802,200 for failing to ensure it gave suitable investment advice to its customers. The FCA says, “The failings put a significant number of customers at risk of buying unsuitable products. Many of AXA’s shortcomings only came to light during a review by the FCA”. In addition to the fine, AXA has agreed with the FCA
to contact all customers who may be affected by its failings and a third party will oversee a review of any issues identified as a result of this exercise. Any customer who suffered loss as a result will be fully compensated and those sold inappropriate products will be able to switch or withdraw their investment. Tracey McDermott, the FCA’s director of enforcement and financial crime, says, “AXA fell short of
Two-tier market persists for solicitors’ PI
arsh reports that active competition among insurers means that the largest (top 100) law firms in England and Wales, with an average claims record, are experiencing another year of either flat premiums or reductions in rate on revenue for their professional indemnity insurance at the 1 October renewal. However, for smaller firms challenging market conditions continue. Sandra Neilson-Moore, head of the large law firm practice at Marsh, comments, “Even taking into account the slightly worsening claims experience, the top 100 law firms represent an attractive proposition to the insurance market. The firms in the top
100, with the assistance of their broker advisors, are able to use their premium power to negotiate their renewal terms. They and their broker advisors understand their position in the market and are able to leverage competition among insurers to their advantage.” Marsh says that pricing in the small and mediumsized solicitor market remains volatile, and firms with a significant proportion of current or historic conveyancing work on their portfolios are experiencing challenging conditions, with some insurers refusing to underwrite new business for firms that have in excess of 30%-35% conveyancing business.
its responsibilities to its customers, many of whom were elderly, retired and financially inexperienced. Its failures resulted in an unacceptable risk of AXA selling products which were unsuitable for its customers. AXA’s failures were avoidable, coming despite repeated warnings from the FCA’s predecessor to the industry about investment advice. “The FCA will continue to take tough action against
firms who fail to comply with their responsibilities to ensure that consumers get a fair deal.” Between September 2010 and April 2012, AXA sold approximately 37,000 investment products to 26,000 retail customers through AXA’s advisers based in the branches of Clydesdale Bank, Yorkshire Bank and the West Bromwich Building Society. These customers invested a total of £440 million with AXA.
Family collusion ends in jail
wo families who colluded to create a fictitious car crash in an attempt to con £77,000 from an insurer have been sentenced – with two men given jail terms of 12 months. The families admitted to fabricating the “accident” and then submitting bogus claims to esure for whiplash injuries and damage to their vehicles. The case was referred by esure to the City of London Insurance Fraud Enforcement Department. Matt Gilham, head of financial crime at esure, comments, “Where we find evidence of fraud, we will work with law enforcement agencies, including IFED, to get the perpetrators to court. Convictions such as this are crucial in sending out a message to other would be fraudsters who think they can make a quick buck from insurance fraud.”
OCTOBER 2013 insurancepeople 23
Bupa campaign to promote healthcare focus
n September 16 Bupa launched a new advertising campaign to showcase the range of products and services it offers and to emphasise its focus solely on healthcare. The campaign will run until November and will appear on TV, in newspapers and magazines, and on billboards and online. Saj Arshad, marketing and strategy director, Bupa, says, “Our new campaign promotes Bupa’s core focus – health. As we have no shareholders, we’re able to reinvest our profits into better treatments and services, and you don’t even need to be a health insurance customer to access our expertise.”
Tablet-based claims service loyd’s syndicate AEGIS London has launched a tablet-based claims service for Canadian coverholders, aimed at reducing the time and expense of managing claims. AEGIS London has formed a strategic partnership with Canadian disaster restoration company, FirstOnSite Restoration, to enable rapid collection and transmission of information directly from
the scene of a loss to a dedicated office-based claims examiner. The FOS team uses tablet technology to transmit initial inspection reports, photographs and project management information from the loss location to International Programs Group, one of the third-party administrators managing claims on behalf of AEGIS London in Canada.
Legal & General chooses SSP as digital partner
SP reports that Legal & General has chosen to implement SSP Select Connect in its general insurance business “ … to help drive further improvements in efficiency and customer service”. L&G will integrate SSP Select Connect with its existing insure/90 policy administration system. Rob Regan, COO of Legal & General’s general insurance business, says, “Not only did the proof of concept prove that SSP Select Connect was the right technology, it also proved
Kevin Gaut 24 insurancepeople OCTOBER 2013
SSP had the right team in place to deliver a solution that will allow us to achieve our business objectives. During the process it was clear that SSP’s experience across the industry and their detailed operational-level knowledge of Insure/90 would help increase the pace of our innovation.” Kevin Gaut, chief technology officer of SSP’s insurer division, adds, “With mobile adoption and consumer expectations rising and the ease of comparison creating an unprecedented level of price transparency, delivering excellent customer service and driving down costs are key priorities for insurers. To achieve this, insurers need to continue to invest to enhance and modernise their core systems to ensure they have the flexibility they need to respond to market demands faster than ever before.”
Auto Windscreens recycle vehicle glass
uto Windscreens reports that, between January and June this year, 11.6 million average sized bottles were made using 775 tonnes of its recycled automotive waste glass. In 2012 the company recycled 966 tonnes over the course of the year, a figure that is expected to be closer to 1,500 tonnes in 2013, reflecting increased work volumes. Vanessa Jones, Auto Windscreens’ health and safety manager, says, “As an industry we are responsible for what happens next to damaged glass removed from our customers’ vehicles and, in the case of Auto Windscreens, we recycle 100% of it.” Glass recycling business Berryman is contracted to remove Auto Windscreens’ unwanted vehicle glazing and uses its damaged glass, known as cullet, to make around 10-15% of an average bottle.
Liberty Mutual dinner in the Long Room
BrokersLink conference in October
ore than 200 delegates from 45 countries are expected to attend the BrokersLink conference in Singapore on October 17 and 18. José Fonseca, chairman of BrokersLink, says, “Now in its fifth year, the BrokersLink conference has firmly established itself as a key
international insurance event. By bringing together leaders from insurers, brokers and service providers we will create a powerful global think-tank, discuss how the industry can reinvent itself in order to benefit from new trends and develop unique risk solutions for clients.”
JLTacquires Towers Watson reinsurance brokerage business
ardine Lloyd Thompson Group is to acquire the reinsurance brokerage business of Towers Watson for a cash consideration of £156m. Upon completion, Towers Watson’s reinsurance brokerage business will be merged with JLT’s reinsurance business, JLT Re, resulting in combined revenues of £166m and a total workforce of 700 in 35 locations in 17 countries. The combined business will be branded “for a transitional period” as JLT Towers Re.
ore than 200 guests attended Liberty Mutual Insurance’s cricket dinner recently in the Long Room at Lord’s A framed cricket bat signed by the 2013 England Ashes squad, pictured being held by Liberty’s cricket ambassador Andrew Strauss (left) and Mark Stephenson, Liberty’s head of business development and market relationships (right), was raffled during the evening for the cricket charity ‘Chance to Shine’ for which £2,300 was raised. Selected guests from the London and regional insurance broking community were entertained in an afterdinner Q&A session where Andrew Strauss was joined by Australian opening batsman and Middlesex captain, Chris Rogers. The event was organised to celebrate England winning the Ashes and the culmination of this year’s cricket season which saw Liberty become ‘The official insurance partner of the test match grounds’ during 2013.
Capital inflows to benefit reinsurance customers
on Benfield’s report, “Post-convergence: the next USD100 billion”, shows how insurers and reinsurers will benefit from the next USD100 billion of alternative capital that will enter the reinsurance business over the next five years. The company says, “The value proposition of reinsurance will improve as the cost of underwriting capital is reduced for reinsurers. The postconvergence market brings unlevered collateralized products that are more accretive to insurers than traditional reinsurance for peak risks.” Bryon Ehrhart, chairman of Aon Benfield Analytics, comments, “The
benefits of this new capital will begin to extend beyond property catastrophe and mortality risks that are common features of the current ILS market and extend into many other reinsurance lines where loss frequency and severity are more predictable.” Commenting on the upcoming renewal season, he adds, “The January 1 renewal market for our clients will benefit materially from an excess of traditional reinsurance capacity and new alternative capital flows over light demand growth for reinsurance capacity. Our clients should expect to benefit from a competitive market even if a moderate hurricane season should develop.” OCTOBER 2013 insurancepeople 25
Arthur J. Gallagher acquires Belmont International
DAS man wins WellChild Award
rthur J. Gallagher has announced the acquisition of passenger transport specialist Belmont International, an independent insurance broker in the South-East, for an undisclosed sum. Established in 1988 by managing director Barrie Etchells to service the newly privatised UK bus industry, Belmont has since grown to more than 80 employees generating more than £55m gross written premium. Belmont will become part of the UK Retail business - with the exception of its employee benefits division which provides a natural complement to Arthur J. Gallagher’s own specialist
UK-based consultancy Gallagher Employee Benefits. As part of the deal, Barrie Etchells will step down as MD as he works towards a planned retirement, but is retained on a consultancy basis. David Ross, CEO of Arthur J. Gallagher, says, “Bringing Belmont on board is in line with our strategic objectives for growth –we only buy strong, profitable businesses that are accretive to our value. Its undisputed strength in passenger transport will add to UK Retail’s existing specialist units within the public sector and education arena, as well as credit and surety.”
AS underwriter Chris Morter won the Helping Hands Volunteer Award at the recent WellChild Awards 2013, where he also had the chance to rub shoulders with royalty. At the Dorchester Hotel ceremony, award winners were invited to a private reception with the charity’s patron, Prince Harry. Chris Morter was team leader for a project in Bristol creating a new garden for Clive, a teenager with severe epilepsy. He organised a team of 15 from six different companies, secured funding for the project and negotiated reduced cost of materials. He has supported WellChild with other fundraising initiatives and has already led another Helping Hands project, with more planned for the future.
Increased support for MGAA capacity exchange
he recent Managing General Agents’ Association (MGAA) capacity exchange recorded a 40% increase in the number of insurers, market participants and suppliers attending. The second event of its kind,
26 insurancepeople OCTOBER 2013
held at the Lloyd’s building, was attended by 36 Lloyd’s, London market, and regional insurers and suppliers to the sector, and 28 MGAs. Reg Brown, chairman of the MGAA, says, “The fact we have seen a growing number of market participants using the exchange to meet new distribution partners and develop opportunities shows that our MGA membership are an important force recognised for their skills and appetite for growth through partnership.”
Pictured: DAS employee and WellChild award-winner Chris Morter (right) with Prince Harry
Lloyd’s heading for AA rating?
itmus Analysis believes that Lloyd’s may be “on the cusp of AA range ratings”. The company comments: “During the summer both A.M. Best and Fitch assigned ‘positive’ outlooks to their current Lloyd’s market ratings. S&P did so last year.Translating the A.M. Best rating scale to the one used by S&P and Fitch, this means that Lloyd’s is rated ‘A+’ with a positive outlook by all three agencies.While a subsequent upgrade from any one agency is not a given, this suggests (absent a - truly - major loss) that an ‘AA’ range rating from one or more of the agencies is very likely in the not too distant future. “This would be both a notable step in the long-run post R&R transformation of Lloyd’s and also a profound event for the global reinsurance and specialty lines sector.”
On the move Who’s going where?
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Markel Markel International appoints Myles Sunley as deputy claims manager for marine. He joins after four years at Marketform Managing Agency as head of marine claims and has also worked at QBE, Hiscox and Royal & Sun Alliance. Matthew Cannock joins as managing director. Previously Markel’s marine underwriter, he has also worked as regional marine underwriting manager at RSA.
Chaucer appoints Phil Pearson as North American property treaty underwriter at Chaucer Syndicate 1084. With over 15 years’ underwriting experience, he joins from Advent.
Staysure appoints Steve Ashton as chairman. He has previous board level experience with Saga, AA Group Acromas, as well as roles at Marks and Spencer. Andy Bord is appointed deputy chief executive. He was previously managing director at Frontline and head of broadband development at Vodafone. Jonathan Cattle is appointed chief technical officer. He was previously interim consulting manager at Linklaters LLP, COO head of business strategy at Premium Credit and has also held roles at Barclays Bank and NatWest.
DUAL DUAL appoints Damien Crowe as a senior underwriter. He previously spent five years as a senior underwriter at Chartis UK and before that worked as a broker at FirstCity Partnership.
Coast appoints Keeley Theron as sales executive. He joins from A-Plan Insurance where he was a commercial account executive for six years.
Thomas Miller Group appoints Kevin Sweet as group marketing director. He joined in 2010 as a consultant, and was previously director of marketing at Partnership and head of marketing at Cofunds.
QBE QBE appoints David Harries as active underwriter of Syndicate 386. Currently director of casualty international and professional & financial lines for both QBE’s syndicate and company operations, he joined the Syndicate in 1986. Dominic Clayden joins as claims director from Aviva where he was most recently claims director and has also held legal roles at BKJ Lewis and Potter Butler & Lyons.
Midas Midas Underwriting appoints Jon Mainwaring as director of broker development for the South. With over 20 years’ insurance experience, he previously worked in a business development role at Lorega and as channel manager and proposition manager at AXA.
Sterling Sterling Insurance appoints Gerard Hamilton as regional development manager, Scotland. He joins from Aviva where he worked in various sales and underwriting roles and was most recently key partner account manager.
AXA UK appoints Bertrand Poupart-Lafarge as chief financial officer. He was previously AXA’s chief financial officer in France, the USA and Canada.
Barbican Barbican Group appoints David Slade as an underwriting manager. Previously deputy head of global property at Travelers, he has also been class underwriter at Catlin and a broker at Sedgwick.
David Slade OCTOBER 2013 insurancepeople 27
On the move Who’s going where?
Agria Pet Insurance appoints Simon Wheeler as managing director. He was previously head of speciality at Allianz, head of direct & affinity marketing and board director at Pinnacle and group sales and marketing manager at Petplan.
BGL Group appoints Seamus Keating as nonexecutive director. He is chairman of First Derivatives, chairman of the audit committee at Al Noor Hospitals Group and was previously CFO, COO and regional CEO of Logica.
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Canopius Canopius appoints Barbara Turner as group head of human resources. With over 25 years’ HR management experience, she joins from Bank of Tokyo Mitsubishi UFJ where she was head of HR for the EMEA region and has also held senior roles at UBS and ABN AMRO.
Aon Risk Solutions appoints Bill Sulman as public sector director. With over 40 years’ experience, he previously worked at Heaths and JLT, and has been a risk manager at Nottingham County Council and chairman of ALARM, the Association of Local Authority Risk Managers.
Equinox Global appoints Joe McNamara as vice president – credit and political risk. Joining from Samsung Electronics where he was director of financial services & business operations, he is also chairman of the board of the Federation of Credit and Finance Professionals and has worked at Kemper, Castrol and Panasonic. Dagmar Böhning is appointed as underwriting manager. She joins from Aon Credit International Insurance where she was a senior account manager and has previously held senior roles at QBE, Euler & Hermes International, and ING Bank.
Covéa Insurance appoints Tim Grant as Micro SME leader. He was previously interim chief operating officer at Professional Insurance Agents, head of e-commerce at Dual Corporate Risks, and head of UK distribution at Brit Insurance. 28 insurancepeople OCTOBER 2013
Aspen appoints Richard Smart as professional liability underwriter. With 25 years’ experience, he was previously deputy active underwriter at Argo Syndicate 1200 and head of professional indemnity at Newline Syndicate.
The Forum of Insurance Lawyers appoints Nichola Evans as the FOIL Law Society representative. A partner in the commercial litigation team at Browne Jacobson, she also sits on the Law Society civil justice committee and on the Law Society council.
US Risk U.S. Risk (UK) appoints Mike Lobb as its managing director. Joining from Howden Broking Group where he was chief of staff, he was previously a business development manager at Howden Risk partners and managing director of Howden Retail.
Xchanging appoints Kevin Ahern as fiduciary lead for its broker services business XBS. He was previously managing director of accounting & settlement services at Willis and head of insurance broking accounting at JLT.
by Andrew Newman
I’m here. Where are you? ow long would you hang around when your lunch meeting host – who you’ve never met before - fails to appear on time? Broke my own record in September – one hundred and five minutes! For the first half-hour, no phone call, no word, no message to the restaurant. Nothing. The wait could have been longer – a whole two hours - because that was the time of my next appointment. So no point in fretting. Just stay put, order a drink and some nibbles, and relax. In fact, I was sitting pretty. A cool and airy restaurant in the September heat wave, nice table, comfy seat, and a gin & tonic and a plate of olives slipping down nicely. And some tasty canapés on the menu to ward off any subsequent hunger pangs if I was going to be stood up. But could it be my fault? Was I there on the right day? Was I in the right restaurant? (Jamies in the City’s Creechurch Lane, a stone’s throw from my old stamping ground when I worked in London). I sipped at my G&T, enjoying a cosy, smug glow. I was in the clear. The table was booked in my host’s name, and there was the wooden reservation tag on
the table with her name on it! Perfect! And she did eventually turn up, with profuse apologies, but I’ll withhold the excuse for a moment. And no, I don’t intend naming any names.
las, that smug, stress less confidence of being in the right place at the right time hasn’t always applied in this situation. Particularly in this location, as I recalled glancing out of the window at the Adriatico restaurant on the other side of Mitre Street. That was the venue where I once turned up for a press party to blank looks from the bar staff. I was in the right place, but 24 hours too soon. Still, they kindly gave me a free drink to help me get over the shock, and didn’t blab about my crass error to the party when I turned up the following evening at the right time. The Balls Bros wine bar franchise has always caused logistical problems in the City. Each emporium operates under separate stewardship, so nothing but more blank stares when you turn up at the wrong one. The two within the gothic edifice at Minster Court (one on the Mark Lane side, the other being described as being “off-Mincing Lane”) must have caused more
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grief than most, even to the point when on one occasion the host himself turned up at the wrong one. (I did too, but then I was only a guest). ●
Whatever you think about the banality of today’s mobile phone-driven society, the device has to a great extent eased the “I’m here. Where are you?” situation. So why no early call to
Alarm ! “Gra b The
me waiting at Jamies? It seems you can’t get a signal when down the Tube. An accident not only caused my host’s delay, but also prevented any warning reaching the surface from the depths under Tottenham Court Road. The happy ending was that my host turned up at 2.30pm having previously got a signal to tell me she was on her way.
by Br Refere ian Su nce to sman June issue fire alarms in as set du I have socia tion wit over th the memor ring confer h: ences tell. I do. Tw e journalis y juices flo in the tic ye wing. o will ar When Editor's “O be en ough s, you are n the you've Alarm boun d to ha been to as Road” colu m This wa 1: ve on s confe e or tw many conf n in the tempta rence at a er o fire tion to based confe over an turn alarm ences as rence s were - as time storie sleep d go back at the in one s to , I cra to treas of tho wle of
ure d out bed, se Harro d classic dress donned ho ga ing relative te. I retire tels in and ha gown d to be ly early, stene wont. d as wa down d It stairs into be was only wh s my and, d that my that I dis en I got ins as co tructe over the room was vered d, out of situated bar, so the rauco plenty front us do of convers overheard was on or. It ly insura ations inv that mo at olv nc but wo e folk I kn ing that mo ment ew we uld no ll, menti us rem st of oning t dream of by na embe Wh me that, red du merci en the jollifi now. evening ring the ful ca one of ly came to tion we ha dinner pa an en the lat rty d d
Sport ing Lif e !”
Peebles confe In due ren co engin Scotlan ce of BIBA es arr urse, the ﬁre d– ived an soon es d event always an to be alarm tablished tha it was s had t the anticipa be by so ted wit me ov en triggered relish h erc in . Th ooked the kit toast welco e restor chens. All me ed wa was alw light in to sweetne s ay ss no s warm and time. , the At bre hotel akfas one pri its t there nc perfect elf a was convers ipal topic of locati on for do wh ation. “Wha confe a en the t did re ﬁ
“What priceless item did you grab when the alarm sounded?” For conference regular Terry Wellard, it was his copy of The Sporting Life that Brian Susman quoted in his fire alarm adventure at a BIBA Scotland Peebles conference in last month’s On the Road. That exploit has stirred others’ memories of that particular hotel evacuation scramble. Ignoring reports of the ‘who came down with whom’ kind, we find Colin White, Underwriter of KGM for 21 years. For him it was something arguably even more precious. “Our three-year old daughter was with us at Peebles and we hastily picked her up. I suppose it was a good job we had no Sporting Life to worry about!” OCTOBER 2013 insurancepeople 29
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