Policyholders, brokers and insurers are well prepared for the Insurance Act as the new law comes into force today, according to Airmic, the association that represents corporate risk managers and insurance buyers.
A survey of its membership, conducted in the two weeks prior to the implementation date, revealed that over 90% of respondents feel fully prepared or relatively prepared for the law change. Satisfaction with the preparedness of the wider market was similarly high: 90% feel their brokers are at least relatively prepared, and 85% feel the same about their insurers.
When asked about the Insurance Act in September last year, only half of a sample of Airmic members said they felt prepared for the new law.
John Hurrell, Airmic CEO, welcomed the official implementation of the Act and praised the market for its efforts. “The new law represents a fundamental change in how insurers and buyers do business and the amount of work and cooperation required cannot be understated. Our survey results are therefore extremely encouraging: the whole market should be congratulated on coming this far.”
He added that there is more work to be done by all in the market: “The Insurance Act is about more than changing procedures, it’s a change in culture and this can only develop over time. It will be a while before we see the effects of the Act filter through and we therefore urge insurers, policyholders and buyers to continue to work together and to communicate feedback as openly as possible.”
The Insurance Act will update the Marine Insurance Act, a measure that has provided the framework for all commercial insurance purchased in the UK for over a century. Airmic has regarded it as out of touch with modern business and has been urging reform for several years.
Note to editors:
Airmic is the UK association for risk managers and insurance buyers. Its membership includes 75% of FTSE 100 companies. For more information visit www.airmic.com
For further information contact Jessica Titherington (firstname.lastname@example.org, 07733 261445).