I was extremely surprised and alarmed that the trade association should be arguing for full commission disclosure on the retail side and the argument used was that the playing field is not level.
How is the playing field going to be level with the direct writers, etc, when the case has not yet been made for disclosure of commission on the commercial side.
It seems to me that that the argument is being driven and run by some very large players in the market place who have decided to disclose commission voluntarily and now want the rest of the market to follow suit.
The case in my opinion has not been made and it has not yet passed a cost benefit analysis and the jury must still be out.
It seems to me sometimes we not only shoot ourselves in the foot, but we are actually in danger of blowing our foot off completely.
I hope people will give this matter more consideration and that there will be a more considered debate as to the pros and cons.
M D Slack
Commercial market set to harden in flood wake (9 August)
Paul Maidments’ (Allianz Southern and London trading director) comments regarding insurers, brokers et al having to work together to ensure clients understand the price increases did bring a smile to my face. Perhaps, if insurers stopped paying ludicrous commission rates of upwards of 25-50% and underwrote risks properly in the first place there may not have been so much of a need to increase prices now and help to maintain the price stability that our clients desire.
R&SA UK profits dip 45% on back of floods (10 August)
In compelling otherwise less interested parties to look a little closer at insurers’ results, what the floods have highlighted is just how profitable their property accounts otherwise are.
Heath Lambert pre-tax profit up 19% (12 August)
Surely the appointment of Hawkpoint makes the sale of the company more likely. Could this be a move to drive up the asking price for potential bidders?
Oval makes twentieth buy (13 August)
20 acquisitions – and in this case, £7.6m of premium – is not to be taken lightly. With an established presence now in the Midlands and the North West, the question is, when will Oval look to the North East?
Erinaceous loses top two directors (13 August)
Losing two key figures in such swift succession will not sit well with potential buyers. On the other hand, with the share price so low, there has never been a better time for bidders to make their move.