Gracechurch Consulting’s recent London Insurance Technology Monitor report makes for interesting reading for those in the market who use technology – not just those who sell it.
The report reveals that expectations across the market are high: more than eight in ten brokers and underwriters expect e-trading to be the norm within 18 months – in effect by the end of 2023. And yet, there is a lot of work to be done.
Adoption since the pandemic is high with more than five in ten using Whitespace, which is hugely encouraging. However, complaints abound about other platforms being far too expensive to justify, or out of date and limited in their capabilities, as recently reported. What is more, the market remains fragmented, with many London market firms using different technology providers or e-trading platforms, raising questions about how realistic those 80% of market participants’ expectations actually are.
Whitespace, the fully digital e-trading platform, fares extremely well in the report, which interviewed London market insurers and brokers. The figure of 27% top-of-mind brand awareness of Whitespace exceeds many larger organisations (dwarfing PPL at 8%) and shows the significant goodwill it has accumulated through offering a modern, user-friendly product and delivering on its promises. Meanwhile participants had high opinions of chief platform officer Marcus Broome, with one commenting that he has the “understanding of London Market and where technology needs to be deployed in the right circumstances to align people and technology harmoniously.”
Marcus commented: “Effective electronic trading systems are critical for any financial service and insurance is no different. Being able to do your job efficiently and enjoyably, using technology readily available in your daily life outside work, should be a given, and has always been the Whitespace approach. This report is hugely encouraging in that it shows the London market wants to adopt this way of working. But there is work to do before underwriters and brokers are able to enjoy all the benefits of e-trading.”