United Kingdom (UK) Commercial Insurance Distribution Dynamics by Channels and Future Market, 2023 Update
Powered by
All the vital news, analysis, and commentary curated by our industry experts.
UK Commercial Insurance Market Overview
The UK commercial insurance distribution landscape is largely dominated by brokers. It is largely due to their ability to offer expert advice and find the appropriate cover for a wide range of businesses. As digital transformation accelerates within the industry, brokers will, need to adapt more online solutions into their service offering.
The UK commercial insurance market research report discusses the distribution landscape of UK commercial insurance. Each channel is discussed in turn, with a particular focus on the broker channel, which dominates the space. Analysis of responses to GlobalData’s 2023 UK Commercial Insurance Broker Survey offers insight into brokers’ growth and digital transformation strategies going forward. The SME market is discussed, with due consideration given to smaller businesses and their relatively simple insurance needs. The report finishes with an outlook on the future of the distribution landscape, exploring areas for brokers to develop, growth opportunities, and relevant insurtechs.
Key Distribution Channels | Brokers, Direct Channels, Affinity Channels, and Banks/Building Societies |
Key Purchasing Methods | Online (PC), Online (Smartphone/Tablet), Telephone, Face-To-Face, and Bought By Post |
The UK Commercial Insurance Market Segmentation by Distribution Channels
The key commercial insurance distribution channels in the UK are brokers, direct channels, affinity channels, and banks/building societies. Brokers remain the dominant distribution channel for commercial insurance in 2022, followed by direct channels and affinity channels.
Brokers: Brokers’ dominance in the commercial insurance market is due to their ability to offer specialist advice to their customers. This has become more relevant in 2022 due to the cost-of-living crisis. Supply chain issues and rising inflation has led to underinsurance becoming a significant concern for the UK businesses. In addition to underinsurance, businesses’ top concerns during the cost-of-living crisis include gaps in coverage and enhanced policy clarity. Brokers are best placed to help address these concerns as they can offer specialist and tailored advice to their customers.
Direct Channels: The direct channel remained an important contributor to the distribution of commercial products in 2022, with a more than 9% share of the market. Smaller firms, which have been financially strained by the cost-of-living crisis, will look to the direct channel for more affordable, simple solutions.
The UK Commercial Insurance Market Analysis by Channels, 2022(%)
For more insights on distribution channels in the UK commercial insurance market, download a free report sample
The UK Commercial Insurance Market Segmentation by Purchasing Methods
The key SME insurance purchasing methods in the UK are online (PC), online (smartphone/tablet), telephone, face-to-face, and bought by post. Online (PC) was the leading purchasing method in 2022. While purchases using a PC are most popular among SMEs, the number of SMEs purchasing insurance from a smartphone or tablet increased for every business size in 2022. Distributors should make sure they have a high quality, easy to use, mobile-friendly website, in addition to traditional platforms, to continue to engage with SMEs.
The UK Commercial Insurance Market Analysis by Purchasing Methods, 2022(%)
For more insights on purchasing methods in the UK commercial insurance market, download a free report sample
Segments Covered in the Report
UK Commercial Insurance Market Distribution Channel Outlook (2022)
- Brokers
- Direct Channels
- Affinity Channels
- Banks/Building Societies
UK Commercial Insurance Market Purchasing Method Outlook (2022)
- Online (PC)
- Online (Smartphone/Tablet)
- Telephone
- Face-to-Face
- Bought by Post
Scope
• 79.7% of commercial insurance premiums were written through brokers in 2022, an increase of 0.1 percentage points (pp) when compared to 2021.
• The SME space is more competitive, with many micro and small-sized businesses utilizing the direct channel as well as PCWs.
• Marsh remains the leading broker in the UK commercial insurance market.
Reasons to Buy
- Identify the most frequently used channels to purchase commercial insurance.
- Adapt your distribution strategy to cater to the changing needs of clients and intermediaries.
- Learn how market leaders have strategized to achieve their success.
- Understand the trends and themes set to transform the market in the future.
Willis Towers Watson
Ardonagh
Howden
Aon
HSBC
Liberty Mutual
AIG
Butterwire
Envest
The Professional Broking Group
Leons Group
Theoreme
Assiteca
Tiger Risk
Franz Gossler
Pentland Analytics
Aviva
Lloyds Bank
Barclays
Santander
NatWest
RBS
Halifax
Metro Bank
Starling
AXA
Churchill
Dinghy
Superscript
Nimbla
SO-SURE
Churchill
Allianz
Descartes
Zego
Uber
Deliveroo
RSA
Amazon
Sollers Consulting
Send Technology Solutions
Table of Contents
Table
Figures
Frequently asked questions
-
Which was the leading distribution channel in the UK commercial insurance market in 2022?
Brokers remain the dominant distribution channel for commercial insurance in 2022, followed by direct channels and affinity channels.
-
Which was the leading purchasing method in the UK SME insurance market in 2022?
Online (PC) was the leading purchasing method in the UK SME insurance market in 2022.
Get in touch to find out about multi-purchase discounts
reportstore@globaldata.com
Tel +44 20 7947 2745
Every customer’s requirement is unique. With over 220,000 construction projects tracked, we can create a tailored dataset for you based on the types of projects you are looking for. Please get in touch with your specific requirements and we can send you a quote.