Opinion: Brokers’ value must be front and centre for 2022

A lot can change in a year. At the beginning of 2021, many of us were lamenting our lockdown Christmases while wading through the ramifications of the Supreme Court’s appeal decision around Covid-linked business interruption (BI) claims and attempting to get to grips with fair value ahead of the FCA’s initial implementation timetable.

Although still very much in the thick of pandemic-related consequences, it did still feel as if we were encroaching slowly towards the much-discussed ‘post-pandemic era’. Following the reintroduction of homeworking guidance this month from prime minister Boris Johnson, the longevity of the Covid-19 pandemic, however, cannot be underestimated.

Next year is set to keep the insurance industry just as busy – primarily with regulatory preparations as the FCA’s pricing review finally comes to fruition, just in time for the regulator to more fully focus its efforts on the recent Consumer Duty consultations and its work around appointed representative arrangements.

In 2022, brokers are not only going to need to ramp up their risk management work as clients navigate still coronavirus-strewn economies and workplaces, but they are also going to need to review their own practices and mission statements in response to the FCA homing in on delivering value to financial services consumers.

Brokers will need to clearly demonstrate the value and service they provide, so some internal spring cleaning to make this evident will not go amiss.

In terms of showcasing best practice, this month’s Insurance Times Awards presented excellent examples of how our industry is inventing an array of ways to support insurance customers.

Speaking to many of you on the night itself, your passion and ambition to make insurance accessible, transparent and fit for purpose is exactly the mentality that our sector needs for the new year.

I wish you all a very merry Christmas and I look forward to catching up with you in 2022.