Dublin, April 08, 2024 (GLOBE NEWSWIRE) -- The "Impact of Inflation on United Kingdom (UK) Insurance Market" report has been added to ResearchAndMarkets.com's offering.
This report presents an analysis of the UK's economic situation and how it has affected consumer and business confidence. It then examines how this has changed the behavior of insurance consumers, identifying key opportunities for insurance companies going forward. Finally, it discusses how the dynamics of several major insurance markets have been affected by the myriad of economic and political challenges thrown at them in the post-pandemic era.
Insurance policies have been canceled frequently over 2023, notably pet and travel of the key personal lines. According to the publisher's 2023 UK SME Insurance Survey, over a quarter of UK SMEs considered making a change to their policy (canceling or switching provider) in 2023 for 15 of the 16 products surveyed. Over 80% of these considerations have been driven, at least in part, by the cost-of-living crisis. The crisis is driving consumers and businesses to seek better value from their insurance products. Over 60% of consumers switched provider in 2023 for a lower premium. For SMEs, pricing consideration, cover levels, and risk management services all played a role in the decision to switch provider.
Report Scope
- In 2023, UK inflation dropped from 10.4% in January to 4% in December. Economic growth flatlined in the year, with the economy falling into recession in Q4 after two consecutive quarters of negative GDP growth.
- The top three financial concerns for UK insurance consumers are paying monthly bills, the overall impact of the cost-of-living crisis, and saving for a comfortable retirement.
- Almost 10% of pet and travel insurance policies were canceled by UK customers in 2023 due to the cost-of-living crisis. Over 80% of UK SMEs' considerations for making a change to a policy were driven by the cost-of-living crisis.
Key Benefits
- Understand the challenges faced in the UK due to slow economic growth and disinflation in 2023.
- Discover why consumers are canceling their insurance policies and how to reduce these actions.
- Determine the effects of inflation on market dynamics across key personal and commercial lines.
- Ascertain the impact on claims and expenses across major lines of business.
Key Topics Covered:
1. Executive Summary
1.1 Market overview
1.2 Key findings
1.3 Critical success factors
2. UK Macroeconomic Trends
2.1 Debt, disinflation, and deterioration: 2023 in the UK
2.2 Deep recession fears allayed, but many costs will stay high
2.3 Concerns among consumers and businesses are high
3. Changing Customer and SME Behavior
3.1 Cancellations have been regular in 2023
3.2 Finding cheaper providers is a key priority for many
3.3 Consumers and business are relying on credit to pay for cover
4. Market Dynamics
4.1 The motor market is facing a major challenge as costs spiral
4.2 Property premiums are rising to help cover escalating losses
4.3 Travel premiums rose due to higher demand and claim costs
4.4 Pet insurance subscribers and premiums are growing
4.5 Cyber premiums may be cooling, but risk is sky high
4.6 Liability premiums have risen, but demand has been fairly flat
For more information about this report visit https://www.researchandmarkets.com/r/l2ljmi
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