Insurance customers must not suffer because of Brexit – that’s the message LIIBA (London & International Insurance Brokers’ Association) chair Andrew Agnew wants to get across.
Addressing the attendees of the annual BIPAR (European Federation of Insurance Intermediaries) conference in Madrid, Agnew stressed that regardless of the bigger context surrounding the UK’s departure from the European Union, policyholders must come first. Whatever happens, they must be paid claims.
“There is a very real risk that clients who bought policies in good faith may end up in limbo, uncertain as to whether those policies will be fulfilled,” said Agnew. “Insurers transferring liabilities to EU subsidiaries may not be the perfect answer because of the time and complexity involved. We believe this route could still leave clients unsure of their position.”
For the LIIBA chair, contract continuity is non-negotiable.
“Surely we can all agree – UK and EU27 – that clients with existing contracts, wherever they may be, should be paid claims and we should join in lobbying the EU negotiating team and UK government to find a way of doing that, irrespective of the wider picture,” said Agnew, who believes policyholders must be top of mind in Brexit talks.
The official is also pushing for customers to have the option to access the London-based speciality markets for what he described as risks “best dealt with there.”
“This means that unimpeded cross-border trading must be maintained,” he said. “We ask for help from those in Europe that share that same belief to ensure that financial services are not excluded from any future trade agreement.”