On the basis of renewals, mainly between March 2005 and March 2006, some risk managers reported modest rises in a few classes of insurance, such as public and employers' liability, but never more than 10%. Other classes were either stable or down between one and 10%, although in each class, there were more significant reductions, sometimes over 20%, in a few cases.
The response to questions about contract certainty confirms the general view that insurers have improved their performance, although some classes were weak, and there is clearly work to be done to achieve the market wide target of 85% at the end of the year. Asked if they had achieved contact certainty at their last renewal, the response from AIRMIC members ranged from 61% for directors' and officers' policies and 55% of motor policies down to only 38% for business interruption and 35% for property and employers' liability. However, most of these comments relate to renewals during 2005, and the vast majority of buyers who did not achieve contract certainty then said they have taken steps to do so this year, primarily by starting renewals earlier.
When it comes to broker remuneration, AIRMIC members are now more satisfied with the level of disclosure they receive from their brokers, although a small number are still unhappy. Eighty-four per cent responded that they had received enough or all the information they required with only 5% saying they were very dissatisfied with the level of disclosure. Seventy-eight percent felt that the remuneration was reasonable for the work done, but 11% felt it was not.
