UK motor insurance: brokers being driven out

UK private motor insurance brokers continued to lose market share in 2006, meaning the broker channel's share of the market has dropped by seven percentage points since 2002. Faced with changing consumer habits, increased competition from direct insurers, a steadily shrinking broker population and increased compliance costs as a result of FSA regulation, brokers have seen their share of private motor gross written premiums shrink to less than a third in 2006.

Source: Datamonitor, "The Future Role of Brokers in UK Personal General Insurance 2007" (DMFS2081)

Source: Datamonitor, "The Future Role of Brokers in UK Personal General Insurance 2007" (DMFS2081)