Biba TV: Too much risk, not enough insurers, says Blackham

Brokers are enduring the toughest business conditions in memory, according to Layton Blackham chief executive Chris Blackham.

Speaking on Biba TV yesterday, he said: "All brokers feel they are doing three times the work for the same amount of money.

"There's too much risk and not enough insurers.

"Insurers aren't there to take risk at the moment. If you talk to the managing directors now they will say they're looking for non-risk premium."

The lack of capacity and soaring rates being encountered daily were exacerbated by increasing regulation in which the voice of insurance brokers could be drowned out by more powerful lobbies.

"The banks and the retailers have much more influence over the FSA than a nation of insurance brokers and shopkeepers.

"It's already happened on the financial services side and there's no reason to suppose it won't happen for us aswell."

He accused the government of undertaking a largely "cosmetic exercise" in its current consultation over the future of regulation under the Financial Services Authority.

Meanwhile, many brokers would be taking the chance to use the Biba conference to lay the groundwork for future merger or acquisition deals.

Blackham predicted the Towergate Initiative would lead the way.

"There's going to be a flurry of activity," he said.