View more on these topics

Analysis: Help clients to keep affording insurance

Reid

It looks very likely that our customers will have to foot the bill for the almost 59 per cent increase in insurance premium tax announced in the summer Budget. Will this affect the amount of insurance people buy?

The AA predicts an average £5 rise in home insurance. That could be enough for some consumers to downgrade their policies or cut cover altogether. A recent study by Consumer Intelligence revealed 27 per cent would cancel policies or reduce cover as a result of the increase while 56 per cent would consider switching providers.

As the people on the front line, intermediaries will have a tough job explaining why premiums have gone up if insurers pass on the increase as expected. 

Proactive communication will be key to making sure clients understand the risks if they downgrade or cancel policies. Help them to review their circumstances and identify where they could alter cover to meet their budget. Most importantly, make sure they are meeting their insurance obligations to their mortgage lender for adequate buildings insurance.

Do not forget that the general insurance providers are there to help you. Together, we can deliver the solutions your clients need and ensure they remain protected.

Recommended

Rising-House-Prices-Property-Ladder-500x320.jpg
2

House prices up 9% in the past year

House prices rose 9 per cent year-on-year in the three months to August, says Halifax. Annual growth in August was lower than June’s 9.6 per cent but higher than last month’s 7.8 per cent. On a monthly basis, the average price was up 2.7 per cent to £204,674. Halifax housing economist Martin Ellis says: “The […]

CaptionCompetition090915

Caption Competition – 9 September 2015

Can you put the boot into your nearest and dearest to win a delicious box of Hotel Chocolat milk chocolates? Submit a witty caption for the photo above and you will be automatically entered into our prize draw. Remember, the funnier it is, the more likely you are to win. What are you waiting for? […]

John-Cupis-700.jpg
1

Sesame shakes up leadership as mortgage boss John Cupis exits

Sesame Bankhall has announced the departure of its mortgages and wealth management bosses following a restructure of the networks board. Sesame revealed today that wealth management managing director Pan Andreas departed the business in July, while mortgages managing director John Cupis will also exit, although a date has yet to be finalised. Marketing director Jon […]

Carney
1

Cover story: Star turn?

Bank of England governor Mark Carney received a film star’s welcome in 2013 but does his left hand know what his right is doing? Opinion is divided

Newsletter

News and expert analysis straight to your inbox

Sign up