PROFESSIONAL INDEMNITY INSURANCE S T A T E
O F
T H E
M A R K E T
Karl Jones, Account Director, OAMPS Hazardous Industries
Many of you buying Professional Indemnity (PI) insurance will have found that premiums have increased over the past 2-3 years, and that many insurers have reduced the primary limit of indemnity on offer, while reducing deductibles – quite the triple whammy! This situation follows well over a decade where the UK PI market has been a ‘soft’ market, where capacity for PI cover far outweighed demand, with some providers believing there were profitable opportunities in the PI insurance sector. As more insurers entered the PI market, competition inevitably increased; great news for policyholders, as insurers cut premiums and broadened cover to retain existing clients and win new business. This approach began reversing when a reappraisal of underwriting strategies by Lloyd’s of London led to a shift in underwriting attitudes. As the market got to grips with these changes, the Grenfell Tower disaster struck in June 2017, leading many UK insurers to have concerns about their exposure to large PI claims, and deciding they would no longer write cover, while the remainder are restricting cover – meaning less capacity in the market. So for the first time since 2001, premiums are going up while cover on certain types of business is contracting in terms of what is offered. OAMPS can offer access to PI terms, and are happy to talk to any UK and Ireland Spill Association members who has had challenges with their PI insurance to see if we’re able to help..
FOR MORE DETAILS CONTACT KARL AS FOLLOWS:
E: Karl.Jones@oamps.co.uk T: 01372 869754 M: 07729 442 461
This information is not intended to constitute any form of opinion and recipients should not infer any opinion from its content. Recipients should not rely exclusively on the information contained in the bulletin and should make decisions based on a full consideration of all available information. If you have any concerns at all about property maintenance, you should seek advice from a trusted local tradesman. We make no warranties, express or implied, as to the accuracy, reliability or correctness of the information provided. We and our officers, employees or agents shall not be responsible for any loss whatsoever arising from the recipient’s reliance upon any information we provide and exclude liability for the statistical content to fullest extent permitted by law. OAMPS is part of Pen Underwriting Limited which is authorised and regulated by the Financial Conduct Authority (FCA number 314493). Registered Office: The Walbrook Building, 25 Walbrook, London EC4N SAW. Registered in England and Wales. Company Number: 5172311.
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