Latest survey of UK insurance brokers unveils a complex picture of the non-standard insurance market

While MGAs remain pivotal in non-standard, there are “mixed signals” in broker confidence.

Prestige Underwriting’s latest survey of UK insurance brokers unveils a complex picture of the non-standard insurance market, with a strong growth in enquiries but waning confidence of the market’s solutions for non-standard risks. 

The survey found that 79% of brokers experienced an increase in non-standard insurance enquiries over the past year, maintaining the same level as the summer 2024 survey (79%). However, despite this consistent demand, broker confidence in the overall non-standard market has notably decreased, with only 38% of respondents expressing strong confidence - a sharp drop from 65% in the previous survey.

Despite this dip in confidence, optimism about future growth remains high, with 76% of brokers expecting growth in non-standard insurance for their brokerage over the next 12 months, up from 65% last summer. This apparent contradiction suggests a market where brokers recognise growth opportunities but remain cautious amid potential challenges.

Alison Williams, Managing Director at Prestige Underwriting, commented:

“The survey presents mixed signals for the non-standard market. While it is encouraging to see strong enquiry levels and optimism for future growth, the drop in broker confidence cannot be ignored. 

“We suspect that the core reason for this drop is concern around a contraction in capacity. While the capacity of Prestige Underwriting remains strong and long-term, in our next survey we will look into whether brokers are experiencing more restricted capacity elsewhere.”

Nevertheless, the survey also emphasised the pivotal role of MGAs, with 46% as 'very important'  and 53% of brokers rating them as 'somewhat important' to their business operations. Additionally, 89% of brokers reported feeling supported by MGAs when placing non-standard risks, demonstrating the sector’s reliance on MGA expertise."

Williams added: 

“At Prestige Underwriting, we remain committed to strengthening our partnerships with brokers, delivering tailored solutions, and adapting to market needs. The non-standard insurance market offers substantial potential, and our focus is on empowering brokers to capitalise on these opportunities with confidence.”

The survey results paint a picture of a dynamic but cautious market, where sustained growth potential exists alongside a call for greater stability and support. As the non-standard insurance sector evolves, MGAs like Prestige Underwriting will play a critical role in bridging the gap between opportunity and assurance for brokers.