Reading Insurance Times (July 22), it was worrying to see yet another article regarding credit hire.
As an independent intermediary we are just as concerned as any of the insurance companies at the rising costs of uninsured losses and that there are undoubtedly some unscrupulous self drive operators in the marketplace.
But this does not mean that all hire companies, whether credit hire or not, are in existence to destroy insurers' profits.
The fact still remains that without the hire companies many innocent victims of road traffic accidents would be unfairly inconvenienced. Is it not the case that brokers/intermediaries should see a hire company as the good Samaritan in non-fault accidents.
For without them their innocent clients would be knocking on the door demanding courtesy/hire cars which would not be available through the clients' own comp or third party fire and theft insurer.
Even if a car was available in the majority of cases, the period of loan or hire would be limited and in some cases not allowable in total loss scenarios.
Fact: If a person is involved in a non-fault accident he or she is entitled to compensation for out of pocket uninsured losses.
Fact: If they mitigate their losses the negligent party insurer must pay for those losses.
Fact: There are already well documented court cases which lay out acceptable payments for these uninsured losses whether they be personal injuries, policy excesses or alternative vehicle hire.
Fact: If third party insurers want to be slow in paying third party claims then they are responsible for any additional expenditure incurred in their inability to deal efficiently - not the innocent third party.
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Gary Bloomfield,
consultant,
Hastings Insurance Centre,
Cambridge Road,
Hastings,
East Sussex.
Zurich positive about N Ireland
I was delighted to see that Zurich's return to Northern Ireland was of interest to Insurance Times, as described in last week's edition. I am the first to accept criticism where it is due but there are a couple of points I would like to address, if I may.
The article suggested that the launch atmosphere was a "more sombre affair than the company doubtless planned".
I find this a little surprising, as the turnout was excellent, with over 120 brokers attending and in discussion afterwards the response to our presentation was most lively and encouraging.
Certainly, brokers did have questions - indeed, that was the whole purpose of organising a "Question and Answer" forum, which followed first-rate presentations by my colleagues.
To describe these as "concerns", suggesting that the brokers were not convinced, is an exaggeration. They were asking for clarification of our position. We encouraged them to share their thoughts and opinions with us and they did so. It is also said that I "dodged" a question. The question is attributed to the wrong broker and the supposed dodged answer is completely erroneous.
The question from Gordon Hamill of Dawson Whyte & Co (Lurgan), was as follows:
"Will there be a Car Solutions right across the board for all brokers, irrespective of the size of the account, or will there be two types of Car Solutions - a cheaper Car Solutions for the bigger motor broker and a dearer Car Solutions for the smaller broker who is not giving so much businessNULL This has seemed a problem in the past where there is not a level playing field."
My full response was as follows:
"The one thing about Zurich is that we do like to have a level playing field.
"Having said that, it wouldn't be unreasonable of me to say that if I have a broker who is giving me £2 million of business and a broker who is giving me £20,000 of business, then I am going to look rather more favourably on the one that gives me £2m of business as long as his loss ratio is running at a reasonable level!
"I don't think that we are any different to any insurer in that way.
"The one thing that we will not do is end up with 15 derivatives, variants depending on broker types, and whatever else, because it becomes an administrative nightmare.
"It means that we don't know what the hell's happening with our business, let alone anyone else.
"So, you can rest assured that we would not be necessarily going full pelt down that track to differentiate our products in terms of pricing based on the size of the account."
As director of sales, marketing and IT, an area of business under my complete control, I was amazed to be reported as saying, "it was a matter for my bosses to decide."
Overall, we feel extremely positive about Northern Ireland. We have a solid base of some 50,000 customers, and with the launch of our award winning Car and Home Solutions range we look forward to building a stronger presence.
Providing strong support for intermediaries is an area where I believe Zurich is unequalled and we look to provide the same support in the province under the leadership of Denis Todd, our regional manager.
--
David Roper,
director - sales, marketing and IT,
Zurich Personal Insurances.
DO YOU AGREENULL
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