The government’s top insurance supplier was awarded £167m in frameworks and grants in 2017, more than double that of other top competitors
Zurich was the government’s top insurance supplier in 2017, followed by Gallagher and JLT Specialty.
347 insurance awards and frameworks are due to expire over the next two years across the public sector, according to data company Tussell, which collated the data. This presents big opportunities for further procurement activity, according to Tussell founder Gus Tugendhat.
Tugendhat commented: “In 2017 the value of wider public sector procurement was £144 billion - equating to roughly 7% of UK GDP – representing a significant strategic opportunity for UK business. It is great to see how well insurers are benefitting from the commercial opportunity to work with the government. 347 Insurance awards and frameworks worth £140m are due to expire over the next two years across the wider public sector, giving the huge potential for further procurement activity.”
The government handed out public sector awards and frameworks worth £0.6bn to the insurance sector over 2017.
An estimated £167m went to Zurich, which was more than double the value of that given to any other insurance supplier. In total, it was awarded 162 frameworks and awards over the year. This was also double almost all other competitors, except for Risk Management Partners, which received 88 awards and frameworks.
A Zurich Municipal spokesman commented: ”In the vast majority of cases, Zurich Municipal deals directly with its public sector customers and as such they really value the strength of the partnership we bring throughout the whole insurance cycle. This includes risk management advice and service, sustainable underwriting and our outstanding claims handling service which helps protect the public purse from an increasing number of speculative or questionable claims. Likewise, the UK public services sector brings with it a unique set of commercial risks which we have 25 years of experience helping those organisations navigate. It is therefore very gratifying to be at the top of this ranking as it demonstrates that we are trusted to protect our public sector customers.”
In second place, Gallagher was the top broker in the list. It received 31 awards and frameworks totalling £58m. JLT Specialty placed in third. It received 14 awards and frameworks for a value of £56m.
In place order, Marsh, Aon, Risk Management Partners, Portmore Insurance Brokers, UK General Insurance, Protector Insurance and AIG also made the top 10 (see graphic below).
Graphic credit: Tussell / www.tussell.com