Distribution in UK Commercial General Insurance 2008

This brief provides an analysis of the distribution dynamics taking place within the commercial general insurance market. The brief also examines the attitudes and purchasing behavior SMEs exhibit in regards to their insurance products, and includes a discussion on current and future purchasing patterns.

Report Highlights
Online insurance provider Coverzones, which allows SMEs to compare, choose and buy small business insurance directly from a range of 13 insurance providers, launched in June 2008.
[Studien Infos ausblenden]

DATAMONITOR VIEW 1
CATALYST 1
SUMMARY 1
EXCHANGE TRADED FUNDS: OFFERING INVESTORS SUNSHINE ON A CLOUDY DAY? 2
Five key characteristics of ETFs appeal to investors 2
The broadness of exposure is an issue in the ETF market, with distinctions in investor preferences 2
The US is the world's largest market for ETFs 3
ETFs are gaining in popularity in Europe 4
Germany's Xetra is Europe's largest ETF exchange 5
France is Europe's second largest ETF market 5
The UK remained behind Germany and France in part because of the imposition of stamp duty 6
ETF growth across Europe will be slow but positive, except in the UK where ETFs will see a slight decline in 2009 7
Hong Kong's ETF market is growing rapidly 9
The range of ETFs is diverse but asset managers should promote appropriate funds 10
The recent proliferation in ETFs has been in the more narrow funds and broadness of exposure is an issue 10
Some wealth managers are not keen to promote ETFs but they will still forge ahead 11
'Accentuate the positive, eliminate the negative': wealth managers should assist clients to prepare for the eventual recovery 12
THE LARGEST GLOBAL PROVIDERS ARE EXPANDING THEIR RANGE OF ETFS AND ACTIVELY SEEKING INVESTORS 12
iShares was the first provider to launch ETFs and now has over $300 billion in AUM 12
iShares has reported investors seeking refuge in ETFs 12
ETFs are well explained on Barclay's Global Investors' website 13
State Street Global Advisors is the second largest ETF provider with $130 billion in AUM 15
Vanguard is ranked third by AUM, but is far smaller than the two largest players 18
Lyxor Asset Management, owned by Société Générale, is the fourth largest ETF company 20
Lyxor has launched the first ever ETF focusing on the Gulf region 22
Lyxor also launched commodity ETFs in 2008 22
PowerShares is owned by Invesco and is the fifth largest provider of ETFs globally 23
ProShares has a range of 76 ETFs, offering investors 'short' and 'ultra' Proshares 24
db x-trackers 25
Nomura Asset Management 25
Bank of New York 26
Nikko Asset Management 26
Daiwa Asset Management 27
Daiwa has launched a Shariah compliant Japanese ETF listed in Singapore 27
Credit Suisse Asset Management 27
BNP Paribas managed both ETF products and marketing innovations simultaneously 27
NYSE Euronext and EasyETF launch European low-carbon index and ETF managed by BNP Paribas 27
APPENDIX 29
Bibliography 29
Methodology 29
Further reading 29
Ask the analyst 29
Datamonitor consulting 29
Disclaimer 29
[Inhaltsverzeichnis ausblenden]

Table 1: Market share of distribution channels in the commercial general insurance market, 2004-08e 4
Table 2: Q: ""How important is it to receive advice on an ongoing basis from your insurance provider?"" 9
Table 3: Q: ""What business sector are you involved in?"" 16
Table 4: Q: ""How large is your company in terms of number of employees?"" 16
Table 5: Q: ""How large is your company in terms of turnover?"" 17
Figure 1: Brokers are the dominant route to market for commercial insurers in the UK 4
Figure 2: Most SMEs purchase their commercial insurance through the broker channel 5
Figure 3: Most SMEs purchase their insurance through face to face contact with their insurance provider 6
Figure 4: Most SMEs are satisfied with the service they have received from their insurance providers 7
Figure 5: A large proportion of SMEs have been with their insurance provider for more than 10 years 8
Figure 6: Receiving ongoing advice from their insurance provider is important to most SMEs 9
Figure 7: Many SMEs consider the price of an insurance premium to be an important factor when choosing a commercial insurance provider 10
Figure 8: The convenience factor appeals to many SMEs prepared to purchase insurance over the phone 11
Figure 9: A significant proportion of SMEs would not consider a telephone purchase because they simply prefer face to face 12
Figure 10: A significant proportion of SMEs would consider a purchase online in a bid to save money 13
Figure 11: SMEs show a greater inclination to purchase employers' liability and public liability via the telephone and internet 14
[Tabellenverzeichnis ausblenden]