Marsh focuses on individual risks and personalised insurance

Covid pandemic puts greater focus on individual risks and personalised insurance

Eighteen months into the global Covid pandemic, firms are still adjusting their business models to reflect new ways of working and new client expectations. 

We spoke to Kathryn Abou-Diwan, a London-based private client executive with global insurance broker, Marsh, about how her clients’ behaviours have changed during Covid, and how she and her colleagues have been responding.

Arab Banker: What changes have you been noticing in the way clients approach insurance? 

Kathryn Abou-Diwan: I’m finding that our customers are a lot more aware of risk than they used to be – risks to their families, risks to their lifestyle, passions, and risks to things that they didn’t used to focus on. When the pandemic hit, many turned to their travel insurance policies for instance, to read the fine print and to understand what cover they had in place. This has had a knock-on impact, with customers reading their insurance policies more carefully, making sure that they have a level of cover which accurately reflects the value of their possessions to them personally. However, perhaps even more importantly, they are making sure all their possessions they care about are fully insured, and not subject to ‘exceptions’ or unnecessary limits and conditions. 

To give you one example, I was speaking to a new client over the summer about the renewal of her personal possessions insurance and after a detailed review, we realised her wedding ring – which was worth tens of thousands of pounds – had previously not been covered by her insurance. Of course, nothing could compensate for the sentimental value of a wedding ring, if it is lost or stolen, but with insurance that meets our client’s needs, at least there is no financial loss. As a result, we added the wedding ring to her personal insurance cover, so if the worst does happen and she needs to make a claim, we’ll be there to support and deliver the best possible outcome.

Arab Banker: Does that mean that people are spending more on insurance than they used to?

Kathryn Abou-Diwan: Not necessarily. It is more a question of people working with their broker to make sure that the insurance they are purchasing is exactly right for them. We work really hard to get to know our clients well and understand their exact needs. This way our clients can be confident their insurance reflects the risks they need to insure, and will support them when it matters the most. People are thinking much more about what matters to them and protecting their lifestyles for the future. Our team in Marsh Private Clients specialises in providing bespoke insurance protection and risk management advice to some of the wealthiest individuals and families in the UK. As part of Marsh, we’re able to find a way to insure unusual items, large or small, that are important to the client, but might not fit easily into a standard insurance contract. 

Arab Banker: How has the Covid pandemic affected the way in which you and your colleagues work?

Kathryn Abou-Diwan: We were able to adapt quickly during the lock-downs due to Covid and we have developed a hybrid model of working which means our executives can be ‘on the road’ meeting clients, in the office or working from home. Our business model is very ‘high touch’. We know our clients very well, which is how we are able to provide an insurance service that meets their specific needs, rather than one that is based on standard contracts. 

When we couldn’t meet clients face-to-face due to lockdown rules, we did a lot of video calls, and made extra efforts to keep in regular contact. As soon as the restrictions ended, we were back meeting face-to-face with our clients, provided that they were happy to do so, and with personal protection measures in place. 

Arab Banker: Do you think that the experience of Covid will lead to permanent changes in the way Marsh works with its clients?

Kathryn Abou-Diwan: The first thing to say is that the pandemic is not over yet. We are speaking in October and, even if there are now few lockdown restrictions in the UK, and even if many of the travel restrictions have been lifted, we are still living in uncertain times. At Marsh, we are still extremely careful about personal protection when we meet clients face-to-face and I think that caution around infection will continue for many years.

I also think the increased ‘risk awareness’ of our clients, which I referred to earlier, is not going to change. That lady who realised how important it was to insure her wedding ring is not going to decide, in two years’ time, that actually it doesn’t matter anymore. And that’s a good thing – we really encourage our clients to think about what matters to them, personally, and which risks they are willing to accept, and which risks they want to insure against. Helping clients make those decisions is an important part of what we do: we’re here to arrange cover that’s exactly right for our clients and their needs

I’d add that over the last 18 months, we’ve discovered new ways of communicating with our clients. For example, we now produce a blog on lifestyle interests that we send out to clients. We recently produced one on the ‘Rise of luxury EVs’ and the ‘Best UK road trips and renowned driving routes’, and we’ve been sending that out to clients who we know are interested in cars. It’s something that our clients enjoy reading, and it shows that we understand what our clients care about. 

 

This is a marketing communication.

Marsh Private Clients is a trading name of Marsh Limited and Jelf Insurance Brokers Ltd who are both authorised and regulated by the Financial Conduct Authority (FCA) for General Insurance Distribution and Credit Broking. Not all products and services offered are regulated by the FCA (for details see https://www.marshcommercial.co.uk/info/regulation/). Marsh Ltd is registered in England and Wales number 01507274, Jelf Insurance Brokers Ltd is registered in England and Wales number 0837227. Registered Office: 1 Tower Place West, London EC3R 5BU.

 

 

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