Image
Icon

Directory

IconAccounting & Tax
IconActuaries
IconAdministrators
IconAppraisers & Valuers
IconArbitration Services
IconASIB
IconAssessors & Loss Adjusters
IconAssist and Lifestyle Benefits
IconAssociations & Institutes
IconAuditors
IconBBBEE Consulting and Verification Agencies
IconBroker Acquisition Financing
IconBrokers for Brokers
IconBusiness Process Management
IconBusiness Process Outsourcing
IconCall Centre Outsourcing & Sales
IconCompany Secretarial Services
IconCompliance
IconConsumer Protection
IconCorporate Governance
IconCredit Bureaus
IconDebit Order Collection Facilities
IconDefensive Driver Training
IconEducation and Training
IconEmergency Medical Rescue
IconFAIS
IconFire, Storm, Flood Damage Specialists
IconForensic Investigation Services
IconHuman Resources
IconIndustrial Cleaners
IconInformation Technology and Software Partners
IconInsurance Companies
IconLegal
IconLightning Damage & Surge Protection Specialists
IconNiche Insurance Products
IconOmbud
IconOutbound Sales
IconOutsourcing Companies
IconPolicy Administration
IconPremium Financing
IconPublic Loss Adjustors
IconPublications
IconRating Agencies
IconReference Books & Material
IconRegulatory Authorities
IconRisk Finance
IconRisk Management
IconRisk Surveyors
IconSalvage Operators
IconSpecialized Claims Investigations & Assessing
IconSurveys and Research
IconTraining Courses & Workshops
IconUnderwriting Managers
IconVehicle Accident Management
IconVehicle and Household Risk Inspection Services
IconVehicle Tracking
IconWellness Programs
IconWholesale Brokers
IconZZZZZZ
Image
  Subscribe To »

Whither the UMA?

Published

2015

Mon

10

Aug

 

 

 

 

 

Paul Hancock, Divisional Head
Infiniti Specialist Solutions

 

 

 

 

 

The UMA business model in South Africa has of late been characterised by a significant shift from independent UMA, to one of becoming a division of the Principal. At the same time, new UMAs are still coming to market. Paul Hancock, Divisional Head of Infiniti Insurance Ltd Specialist Solutions answers some questions on current issues, in the vibrant UMA Sector.

What characterises successful UMA's? What would you say they are doing differently?

A successful UMA is one which can differentiate its product offering from the market, has a unsurpassed skills set as well as the ability to price risks correctly. The level of expertise is fundamental in that this differentiates the UMA from a traditional carrier. Furthermore, a UMA usually has outstanding relationships with its brokers due to its service levels. These relationships are sacrosanct to the UMA model. General UMA’s need to differentiate themselves via service or focussing on niche aspects of general commercial and personal lines business.  

What are brokers looking for in a UMA and how are UMA's responding to this?

Brokers want a product that meets all the expectations of the policyholder. Brokers will thus look for the most effective and efficient manner in which to achieve this result. That is where a UMA with specialist skills and expertise can render such a product.

Do you foresee UMA numbers growing or shrinking in the near future? What would the reasons be for this?

My personal view is that, substance over form, the number of UMA’s will decline as many will be divisionalised into existing carrier partnerships. The main reason will be for reasons such as cost savings, not duplicating governance requirements and for the carrier to preserve the business.

Do you think divisionalising of UMA's will become a trend?

Most definitely.

Have you seen a change in broker/UMA dynamics since the Binder Regulations?

Not really. As stated above, the relationships held between UMA and broker are sacrosanct and are based on more than just remuneration factors. However, no one can deny that some UMA’s and brokers get attracted by insurers who are prepared to pay higher binder fees. The Retail Distribution Review (RDR) should begin levelling the playing field with regards these types of matters.

How do you think this will be impacted by the RDR?

Very positively if the objectives of the RDR are realised. One of the RDR objectives is to ensure fair remuneration for sound advice and service. Again this is to try and maintain reasonable parameters, yet still promoting the principles of free-enterprise. However, there is still a long way to go in finalising the RDR and one size does not fit all. 

Is the competition between underwriters to attract UMA's a good thing or not and do you think UMA's switch underwriters too easily?

I believe in the principles of free-enterprise and the freedom of choice. In essence, if the carrier does not display client centricity towards its business partners then its business partners will seek alternative relationships that do display such characteristics.

How do you compete as an underwriter in attracting UMA's

This is through relationships, offering flexibility as opposed to rigidity and a brand that offers and rewards innovative thinkers.

To find out more about Infiniti’s wide range of coverages available through its specialist UMAs, visit us at www.infinitiafrica.com.

 
Source: Infiniti Insurance Ltd
 
« Back to previous page Print this page » |
 

Breaking News »

The Implications Of Overloaded Vehicles On Your Insurance Policy

Overloading – it’s a common occurrence on our roads. If we don’t drive past an overloaded bus, taxi or truck, then we read about another horrific accident caused by one. Hundreds of passengers ...
Read More »

  

Supporting Brokers In Optimising The Claims Experience Of Their Clients.

TANSA is a team of dedicated professional Attorneys, Forensic accountants, Disaster Claims Experts and Insurance Specialists focused on Insurance Claims & Dispute Resolution. Their mission is to support ...
Read More »

  

Redefining the role of the broker in a digital age

Technology, data, cultural and behavioural change of the consumer is transforming the role of the broker – and the importance of advice – in South Africa’s intermediary insurance market. Soul ...
Read More »

  

Premium collections now available through Brolink

Brolink has entered the premium collection market. Says the company’s CEO, Howard John, “After a very successful pilot programme, and working through a number of legislative issues that ...
Read More »

 

More News »

Image

Healthcare »

Image

Investment »

Image

Life »

Image

Retirement »

Image
Image
Image
Image
Image
Image
Image
Image
Image
Image
Image
Image

From The Glossary »

Icon

Terminal Bonus:

A bonus declared in respect of policies on which a claim has been made or which are approaching maturity. The bonus, in fact, represents a distribution to policyholders, who will be making a claim on their policies, of part of the unrealised capital appreciation of the company’s property and investment portfolios.
More Definitions »

 

Advertise

 

eZine

 

Contact IG

 

Media Pack

 

RSS Feeds

By using this website you agree to the Terms of Use.
Copyright © Insurance Gateway (Pty) Ltd 2004 - 2021. All Rights Reserved.