Charity insurance is the biggest specialist area for brokers, says survey

A new report by specialist insurance group Ecclesiastical, examining the size of the specialist broker market in the UK has indicated almost three quarters of brokers place business in specialist niches such as charity, heritage or education, with charity insurance the biggest specialist area of business for brokers.

The Ecclesiastical Specialist Broker Barometer, aimed at becoming an annual temperature check of the UK specialist broker market has indicated that 71% of brokers in the UK place business in specialist areas.

The Barometer, undertaken by 250 brokers across the UK however also indicated that just under a third of brokers (29%) actually class themselves as specialist brokers.

However, this number could be on the rise: the Barometer further indicated that six in ten brokers across the UK (60%) think there is an increased trend towards specialising.

Almost half of these brokers (45%) believe it is the way the market is going.

Of the third that class themselves as specialists, 48% do the most business in the charity sector.

At the same time, of the 72% of brokers who don’t necessarily class themselves as specialists, but do place business in specialist niches, the charity niche is also the biggest for these brokers: with 51% of business being conducted in the charity area, following 20% in the heritage niche.

Jonathan Harker, broker sales director of Ecclesiastical, said: “It is very interesting to see that the charity sector is the one with the most specialist brokers and seen as having the most potential growth, though perhaps not surprising considering the changes in the sector over the recent years and significant increase in the need for their services in today’s society.

“It is a sector with a wide range of insurance needs and complexities, so definitely an area that requires as much specialist knowledge from all parties involved in protecting these organisations and their employees and volunteers.”

Harker added: “The Barometer indicated that there is a growing number of brokers who undertake work in specialist niches. Whilst just under a third of brokers class themselves as specialist, six in ten have said they felt there is an increasing trend towards it.

"This is significant, and an area that I anticipate may grow over the next year as competition in the market continues to grow and suppliers seek to differentiate."