No doubt if you have a haulage fleet policy that has renewed in the past few months you have seen a huge increase in premium irrespective of whether your fleet has run the same or improved over the last 2-3 years.
This has happened because of several factors:
- The Ogden rate – please see our other news article about this on our news page
- Some major UK insurers have pulled out of the haulage market this year
- Some MGA’s have also left the haulage market
This has resulted in less insurers now competing for the same business as before- and less competition always brings higher prices.
How long is this expected to last?
Unfortunately at this point no one truly knows. Over the past 10 years or so we have seen a relatively “soft” market for hauliers (meaning lots of competition and therefor lower premiums) and this has lead to some insurers making big loss’s on their haulage books. This year however the above factors have all come together in such close proximity they have created the “perfect storm”, or rather for hauliers an expensive one. There is little doubt that some MGA’s (Managing General Agents) were already close to closing their doors on the haulage market, but the Ogden rate change was the familiar nail in the coffin for some of the main insurers too.
In order for this to change we need new insurers to enter the market, which will happen at some point the question is when?
So what can you do now to protect you and your business at this point in time?- its really quite simple, speak to a haulage insurance specialist. I am sure some specialist brokers could see this coming a year ago, thus giving time to forge strong relationships with current insurers, this ultimately means a smooth transition to a different insurer at renewal with a minimum increase in renewal premiums. However, some brokers would not of seen this coming and are scrambling like crazy to now build these relationships, this can result in massive renewal terms being offered or not being able to place business at all.
This is where UK HAULIER and our partnership with Optin Insurance can help.
Optin Insurance are a haulage insurance specialist and we firmly believe can offer you a more competitive renewal price than your current insurer when considering the above factors.
Whether your policy is up for renewal or indeed you are paying levels you believe are far too high than expected, please call Optin Insurance on 01823 323235 and they will be happy to talk through the options available to you. Mention this article when calling.
