Dallas, TX: ReportsandReports announce Japanese UK Private Medical Insurance 2010 Market Research Report in its Store. Browse complete UK Medical Insurance Market Report This report gives a comprehensive analysis of the UK private medical insurance sector. An exclusive survey provides insight into customer trends and attitudes towards private medical insurance. The report also assesses the current market issues including a detailed look into innovations taking place and how insurers are responding to the changing customer needs throughout these testing times. Scope Highlights As with previous recessions, the most recent downturn appears to have taken its toll on the PMI market. The most recent recession, which began in the second half of 2008, caused a 5% fall in both individual and group subscribers during 2009. The average premium rates for both group and individual policies continued to grow, by 2.2% and 7.2%, respectively. Rising premium rates have been an important cause for the decline in subscribers in the individual PMI sector in recent years, with potential policyholders put off by these increases. Average premium rates for both individual and group policies are forecast to continue to rise. This increase will primarily be driven by claims inflation, which means that insurers need to increase their premium rates in order to maintain the same level of margin. Reasons to Purchase Table Of Contents Overview Catalyst Summary Executive Summary The group PMI market suffered significantly in 2009 Group PMI’s sensitivity to the wider economic climate was evident Price inflation is a challenge for retaining individual PMI subscribers Competition is high within the group sector, while employers are scaling back their PMI budget Individual and group subscribers are falling Individual and group PMI subscribers shrunk by 5% in 2009 The total number of people covered by PMI decreased by 4.6% Product innovation will ensure the future survival of PMI Cancer cash plans and hybrid policies are growing in popularity Chartis entered the market with a £1m advertising campaign Chartis spent £1m on marketing its new health insurance proposition Total PMI GEP will continue to grow throughout the forecasting period The PMI market is expected to grow in 2010 The group PMI market will continue to grow throughout the forecasting period Table of Contents Table of figures Table of tables Market Context Introduction PMI insurers have had a turbulent year as a result of the downturn The recession appears to have taken its toll on the PMI market The group PMI market suffered significantly in 2009 Group PMI’s sensitivity to the wider economic climate was evident Price inflation is a challenge for retaining individual PMI subscribers Competition is high within the group sector, while employers are scaling back their PMI budget Competitive but realistic pricing within the group sector is crucial UK PMI group business declined by 3% in gross earned premiums Individual and group subscribers are falling Individual and group PMI subscribers shrunk by 5% in 2009 The total number of people covered by PMI decreased by 4.6% Rising claims costs are forcing price increases in order to maintain profits The increase in group PMI premium rates was below the rate of claims inflation Insurers are focusing on controlling medical cost inflation Medical costs are shooting up every year Insurers have adopted many ways to manage medical inflation There are three main ways to lower claims costs Insurers can also try to get a better deal by using hospital networks and managed care Shared responsibility for claims bills could help manage costs Attracting new customers via lower premium prices can be achieved by a variety of means Healthy lifestyle options and targeted benefits can lower PMI rates Modular policies are designed for customers seeking different levels of cover Most of the big insurers offer online discounts to entice new customers Market sentiment is that the NHS funding gap may prompt interest in alternative healthcare options Market sentiment is that the 1% increase in IPT will not significantly affect PMI uptake Only 15% of the adult population have a PMI policy Providers should look to tap all age groups High earners are the core market for PMI providers PMI penetration is highest among customers in the A and B socioeconomic bands 25-35 year olds account for the majority of group PMI business Product innovation will ensure the future survival of PMI Cancer cash plans and hybrid policies are growing in popularity Cash plans are becoming an appealing alternative to PMI Marketing and Distribution Introduction Chartis entered the market with a £1m advertising campaign Chartis spent £1m on marketing its new health insurance proposition Most providers are using one of two clear media strategies Simplyhealth is making a big push through advertising in 2010 Simplyhealth now includes the HSA, BCWA, LHF, HealthSure and Totally Active brands Simplyhealth is successfully building brand awareness in the market Aggregators are increasing their presence in the PMI market PMIPartners introduced is new individual PMI aggregator website MoneySupermarket.com also began comparing PMI policies over the past year Most individual PMI policies are sold direct PMI policies are predominantly arranged via an employer or direct with an insurer A direct strategy is key to winning customers aged over 60 Interest in buying PMI declines with age Consumers in the mid and upper income bands are the core market for PMI Competitive Dynamics Introduction Bupa, PruHealth and Munich Re gained market share in 2009 Bupa’s market share increased by 0.3 percentage points to 44.7% in 2009 PruHealth’s business grew by over 18% Munich Re’s market share grew by one percentage point BUPA, AXA, Aviva, Standard Life and WPA remain the top five competitors BUPA, AXA and Aviva controlled 81.2% of the market in 2009 Standard Life is the fourth largest PMI provider in the UK All of the top 10 PMI insurers have a presence in the individual market National Friendly and Chartis have a different PMI proposition from the mainstream National Friendly’s PMI proposition combines PMI with cash plan benefits and a deposit account Individual comprehensive medical cover for adults starts from just £40 per person The business proposition also includes dental and optical treatments Chartis Direct’s Health Choice offers a competitive premium rate Aviva has led the way for innovation through its cheaper and more flexible product range Aviva’s Healthier Solutions offers higher flexibility Speedy Diagnostics is another example of a new low-cost PMI policy Future Decoded Introduction Recovery in the PMI market will depend on the health of the economy The base scenario assumes a slow but steady recovery in the UK economy Total PMI GEP will continue to grow throughout the forecasting period The PMI market is expected to grow in 2010 The group sector is expected to see higher growth than the individual market The group PMI market will continue to grow throughout the forecasting period The growth of the individual PMI market will still depend on premium prices Subscriber numbers will fall for individual but increase for group Premium rates are expected to increase throughout the forecast period The number of individual subscribers is expected to fall throughout the forecast period The number of group subscribers is expected to remain static in 2010 and resume growth from 2011 Appendix Definitions Further reading Ask the analyst Datamonitor consulting Disclaimer Browse complete UK Medical Insurance Market Report Browse all Banking and Financial Market Browse all Datamonitor Market Research Reports Browse all Latest Reports Related Reports: UK Private Motor Insurance 2010 UK Private Medical Insurance 2009 UK Commercial Insurance Distribution 2010 About Us: Contact:
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Dallas, TX: ReportsandReports announce Japanese UK Personal Insurance Distribution 2010 Market Research Report in its Store. Browse complete UK Insurance Market Report This report provides an analysis of the distribution of personal insurance in the UK. It includes information on the advertising spend and market share of the key players and analyzes the effect of online aggregators in the personal lines sector. It also details notable deals made over the past year and explores the evolving balance between the various distribution channels. Scope Highlights As of March 2010, the internet was the most popular platform for arranging motor insurance overall, with more than half of all respondents stating that they had used the platform. This highlights consumers’ confidence in arranging the policies and other financial transactions online without assistance. Overall, the top 10 insurance advertisers spent 1.1% less on advertising in 2008 compared to 2007, dipping from £216.4m overall to £214.0m. This was perhaps indicative of the effect the economic recession had on the insurance sector as a whole, rather than due to a specific trend. Carole Nash insures 300,000 motorcycles, which equates to about a quarter of all licensed bikes in the UK. Since acquiring more than 17,000 policies from the AA in 2004, Carole Nash has been purchasing motorcycle books from those who do not consider them a core product. Reasons to Purchase Table of Contents Overview Catalyst Summary Executive Summary The direct channel gained market share, while brokers saw their share decline The direct channel remains the dominant provider of private motor insurance Banks and building societies hold the largest share of the UK home insurance market The top 10 advertisers increased their expenditure compared to 2008 The vast majority of consumers use the internet or telephone to arrange their motor insurance cover Half of all consumers arrange their motor insurance over the internet Consumers aged between 25 and 34 are more likely to arrange their motor insurance online The broker channel has been gradually growing its household insurance market share Brokers distributed an estimated 28% of the private motor insurance GWP in 2009 Brokers hold a growing share of the home insurance market Banks and building societies lost personal insurance market share in 2009 Bancassurers hold the largest share of the UK household insurance market The presence of affinities has decreased in the UK home and motor insurance markets Affinity groups and retailers saw a slight dip in their private motor market share from 2008 Fortis procures significant partnerships to provide Tesco and Toyota with home and motor insurance Over 60% of consumers use an aggregator when purchasing motor insurance A sizeable proportion of aggregator visitors use them for research purposes only Table of Contents Table of figures Table of tables Personal Insurance Distribution Dynamics Introduction The direct channel gained market share, while brokers saw their share decline The direct channel remains the dominant provider of private motor insurance The broker channel is the second largest distributor of private motor insurance Corporate partnerships witnessed their share contract in the private motor market The banks and building societies market share is diminishing Banks and building societies hold the largest share of the UK home insurance market The majority of home cover sales can be attributed to banks and building societies Brokers closed the market share gap with the bancassurers in 2008 and 2009 The direct channel retains a level share of the household insurance market Partnerships share of the UK home insurance market has declined The vast majority of home and motor insurance policies are distributed through the top 10 groups and brands Thirteen of the largest insurance groups hold the majority of both the home and motor insurance markets Direct Line is particularly popular among younger consumers for private motor insurance Older consumers are more likely to select a home insurance policy targeted at their age group Direct Line’s and Halifax’s combined contents and buildings insurance policies are particular popular among younger consumers Home contents insurance providers showed little age to market correlation, aside from RIAS and Saga Consumers aged 18-24 were most likely to arrange buildings only home insurance policies through a top ten distributor Two aggregators appeared in the top 10 advertisers in 2009 The top 10 advertisers increased their expenditure compared to 2008 RBS brands Direct Line and Churchill were two of the top three insurance advertisers in 2009 Zurich Insurance became a top 10 advertising spender after more than doubling its advertising spending in 2009 Acromas Group insurers decreased their advertising spend in 2009 Aviva resumes its high advertising spend from 2007 The top insurance advertisers spent half their budgets on television advertising in 2009 While TV advertising remains the medium eliciting the most expenditure, direct mail has increased in prominence as an advertising platform Saga and HomeServe spent the most on direct mail advertising Press, radio and the internet were used to a lesser extent in insurance advertising Personal Insurance Consumers Introduction Home and motor insurance remain the largest potential pools of customers for personal lines insurers The sizable market for private motor insurance included a larger and more even penetration spread than in 2008 Middle-aged and older consumers are more likely to have motor cover, perhaps necessitating a more universal strategic focus than before Motor insurance consumers with higher incomes have higher penetration rates The social grade of consumers has less bearing on the likelihood of arranging motor insurance Combined household insurance is the most popular type of product sold to consumers There is a healthy market for home insurance products Consumers over the age of 55 are the largest target market for combined policies Higher income households have higher penetration rates for combined home insurance and buildings only cover Consumers belonging to socio-economic groups A and B display consistently higher penetration rates for combined household products The vast majority of consumers use the internet or telephone to arrange their motor insurance cover Half of all consumers arrange their motor insurance over the internet Internet and telephone sales are becoming increasingly prevalent in the home insurance market Internet sales strategies would prove more effective than telephone sales for younger personal insurance policy buyers Consumers aged between 25 and 34 are more likely to arrange their motor insurance online The telephone surpasses the internet as the most popular platform for arranging home contents insurance Consumers aged over 64 prefer to use the phone to arrange their insurance policies, whereas other groups prefer to use the internet Internet-based sales strategies are effective at targeting higher income households To a point, higher income consumers are more comfortable purchasing their motor insurance cover online Internet selling strategies for combined home insurance should remain the core method of targeting consumers with household incomes over £30,000 Consumers are generally more likely to purchase their home contents insurance over the telephone The internet was the most popular method of motor insurance arrangement Consumers belonging to socio-economic group E displayed the lowest tendency to purchase their motor insurance online A and E consumers prefer to purchase their combined policy over the telephone The telephone is the preferred platform for arranging home contents insurance policies Insurance providers’ retention rates vary with age and type of insurance Older consumers are generally more likely to stay with their existing insurance company Consumers aged under 34 displayed the least loyalty to their insurance providers Consumers aged 45-64 are more likely to stay with the same home contents insurance provider at renewal Retention rates for combined home insurance peak with middle-aged consumers Wealthier consumers are the least loyal to their home insurance providers Motor insurance consumers displayed a similar level of switching among all income bands Consumers earning less than £15,000 are least likely to change their combined insurance provider Consumers with a household income of £75,000-99,999 are the most loyal to their home contents insurance policy providers Price should be the primary focus in insurance marketing campaigns Price was the most commonly cited reason for selecting a motor insurance provider Insurance companies should emphasize competitive prices when marketing their combined policies While price remains the dominant attraction for insurance buyers, older consumers are more likely to consider other factors Although it remains the key factor, older consumers of motor insurance are less concerned about price Older consumers increasingly value non-price factors when choosing their home insurance providers Direct Insurance Introduction Direct insurers have a growing share of the private motor market Direct insurers have experienced an increase in their market share in private motor cover since 2006 Direct insurers hold a level share of the household market The top direct insurers significantly increased their overall advertising budget Advertising spend on motor and travel insurance decreased, while expenditure on other forms of general insurance increased by varying amounts All forms of media advertising saw increased direct insurer funding, apart from cinema campaigns Direct Line remained the top direct insurance advertiser in 2009, albeit by a smaller margin Direct Line still dominates most areas of motor and home insurance The top five direct insurers comprised over a quarter of the motor insurance market Direct insurers consistently form the top five players in the home insurance market Direct insurers continued to launch new products in a bid to their grow market share AXA launched a new direct motor cover product Zurich launched its new Zurich Connect product Fortis will rebrand itself to Ageas RBS Insurance is to sell Direct Line and Churchill within a few years esure has undergone a management buy-out from the Lloyds Banking Group Brokers and Intermediaries Introduction The broker channel has been gradually growing its household insurance market share Brokers distributed an estimated 28% of the private motor insurance GWP in 2009 Brokers hold a growing share of the home insurance market The main focus of broker insurance advertising was via direct mail The top 10 brokers allocated most of their advertising budget on private motor and home insurance marketing Brokers continue to display a marketing strategy that is primarily focused around the direct mail platform The AA cut its advertising spend, while RIAS significantly increased its budget The AA dominated over other insurance brokers in both home and motor insurance The AA was the market leader for broker-distributed private motor insurance The broker household insurance market is dominated by AA, RIAS and Swinton The broker sector has seen a number of big structural changes over the last year LV Broker makes full use of its broking relationships Brightside purchased eCar and eBike for up to £34.6m Allianz Clear launches and incorporates a home insurance aggregator Swinton increased its online sales effort Castle Cover adds Zenith insurance to its panel Carole Nash wins the Co-operative motorcycle book Banks and Building Societies Introduction Banks and building societies lost personal insurance market share in 2009 Bancassurers held an estimated 5% share in the private motor market in 2009 Bancassurers hold the largest share of the UK household insurance market Spending by the leading bancassurance advertisers decreased in 2009 Bank insurers more than tripled their spend on marketing their general/combined range, despite overall cuts to their budgets In 2009, banks showed a slight swing toward a more contemporary mass-market advertising strategy Half the top 10 bancassurers showed an increase in advertising budget in 2009 Banks hold a significant proportion of the home insurance market, but only have a small presence in motor insurance Bancassurers have a diminished and negligible market presence in motor insurance Lloyds Banking Group controls a significant share of the UK home insurance market Barclays will continue to distribute Aviva home insurance Despite decreased consumer confidence, bancassurers are still targeted by insurers as a means to growth Barclays will continue to distribute Aviva home insurance RSA will provide West Bromwich BS with household insurance policies Affinity Groups and Retailers Introduction The presence of affinities has decreased in the UK home and motor insurance markets Affinity groups and retailers saw a slight dip in their private motor market share from 2008 Affinities make up an estimated 15% of total UK household insurance GWP The top affinity insurance advertisers increased their budget in 2009 A third of the insurance products advertised by the top 10 affinity insurance advertisers are niche lines The top 10 affinity insurance advertisers use direct mail campaigns to effectively leverage their customer databases While most of the top 10 affinity insurance advertisers decreased their advertising spend in 2009, their overall expenditure increased Affinity partnerships comprise almost 10% of the general insurance market The top five brandassurers hold a lower market share than in 2008 Affinity partnerships have the largest share in the combined policy market A number of influential affinity partnerships were formed in the last year Fortis procures significant partnerships to provide Tesco and Toyota with home and motor insurance Kwik-Fit has sold off its insurance wing to Fortis Carole Nash wins an insurance deal with Harley Davidson Thornside to provide Sainsbury’s pet insurance Heath Lambert wins Debenhams deal Aggregators and Price Comparison Sites Introduction Over 60% of consumers use an aggregator when purchasing motor insurance A sizeable proportion of aggregator visitors use them for research purposes only Insurance aggregator advertising has become a four-horse race Only negligible amounts were spent on aggregator advertising outside of the top four More than three-quarters of the top four aggregators’ advertising budget was spent on motor insurance cover The leading four aggregators are highly dependant on TV advertising The aggregator market is innovative and highly competitive MoneySupermarket.com’s revenue declined in 2009 MSN and BeatThatQuote.com have launched a new comparison site Future Decoded Introduction The direct channel in the private motor insurance market is predicted to contract after 2011 The direct channel has shown consistent growth since 2007 Brokers are predicted to lose market share until 2011 and thereafter regain it Affinity partnerships are forecast to gradually increase their market share over the next five years As consumer confidence in the banking sector improves, bancassurers will gain market share in private motor insurance distribution Banks and building societies are predicted to remain the dominant provider of UK household insurance The direct channel is expected to see an increase in market share during the forecast period Bancassurers are predicted to retain the largest share of the UK household insurance market Brokers are expected to see a decline in market share from around 2011 Affinity partnerships will gradually increase their market share in UK household insurance Appendix Definitions Premium income measures Earned premiums Gross premium Net premium Written premiums Distribution definitions Bancassurers Banks/building societies Brandassurers Broker Company staff Direct channel ‘Other’ company agents Partnerships Methodology Datamonitor General Insurance Consumer Survey Primary and secondary research Distribution estimates and forecast methodology Advertising and marketing spend data Further reading Ask the analyst Datamonitor consulting Disclaimer Browse complete UK Insurance Market Report Browse all Banking and Financial Market Browse all Datamonitor Market Research Reports Browse all Latest Reports Related Reports: UK Personal Insurance Distribution 2009 Distribution in UK Personal General Insurance 2008 UK Commercial Insurance Distribution 2010 About Us: Contact:
Reports and Reports comprises an online library of 10,000 reports, in-depth market research studies of over 5000 micro markets, and 25 industry specific websites. Our client list boasts almost all well-known publishers of such reports across the globe. We as a third-party reseller of market research reports employ a number of marketing tools, such as press releases, email-marketing and effective search-engine optimization techniques to drive revenues for our clients. We also provide 24/7 online and offline support service to our customers.
Ms. Sunita
7557 Rambler road,
Suite 727, Dallas, TX 75231
Tel: +1-888-989-8004
Source: Market Research
Blog: http://reportsnreports.wordpress.com/
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Dallas, TX: ReportsandReports announce Japanese UK Investment Bonds 2010 Market Research Report in its Store. Browse complete UK Investment Bonds Market Report Changes to the Capital Gains Tax regime have queried viability of the investment bond against a backdrop of financial markets emerging out of a recession. Providers are presented with a scenario for success if investors are made aware of clear circumstances where a bond is an advantageous investment. Scope Highlights Economic uncertainty is a key challenge faced by the investment bond market, although a changing regulatory and tax environment continues to bring new challenges to providers, IFAs and retail clients alike. Reasons to Purchase Table Of Contents Overview Catalyst Summary Executive Summary The UK investment bond market declined at a CAGR of 15% over the past five years Providers should make investors aware of clear circumstances in which a bond is an advantageous investment Wrap platforms will shape the distribution of investment bonds Table of Contents Table of figures Table of tables Market Context Introduction to investment bonds Unit-linked bonds offer investors policies with a value that is directly linked to investment performance Clients appreciate the flexibility and transparency of unit-linked bonds With-profits bonds offer a smoothing mechanism, a unique attribute of the product A distribution bond is recognized as a simple product that provides investors with a steady stream of income Guaranteed bonds encompass the guaranteed income, guaranteed growth and guaranteed equity bonds Guaranteed income and guaranteed growth bonds Guaranteed equity bonds Money market bonds are a new category of bonds introduced by the ABI in 2008 Sales of investment bonds in 2009 suffered at the hands of fallen stock markets Unit-linked bonds immediately felt the positive effect of stock market rallies in 2009 The smoothing factor of with-profits bonds are attracting and calming the nervous investor, to generate healthy sales in 2009 With-profits bonds became unpopular after the stock market bubble burst in 2001 Guaranteed bonds were popular in 2008 but new business in 2009 declined heavily Distribution bond sales continued to falter in 2009 Money market bonds lost favor in 2009, a year after being introduced as a new bond category Investment bonds still remain a viable investment product but discerning the suitability of a bond for any individual will be more complex Investors will still question the role of unit-linked bonds in the future as they lack elements of protection against market volatility A with-profits revival will be seen over the next five years, at the expense of distribution bonds Guaranteed bonds will continue to suffer a decline in sales in 2010 Money market bonds will lose their popularity among investors going forward The best investment product depends on individual circumstances but there are three key facts which keep a bond broadly attractive as an investment Only 5% of the population pays CGT The majority of bond holders are basic rate taxpayers at the time of encashment and the changes to CGT make bonds even more attractive for these investors An investment bond is a flexible product that can be adapted as an individual’s circumstances change There are clear circumstances in which a bond is an advantageous investment However, investment bonds are not favorable to all scenarios Market Issues Consumers’ low risk tolerance is affecting the investment bond market Consumers are risk-averse and prefer safer or guaranteed returns Investment bonds need to attract the less affluent consumer who is unwilling to take any risks with their cash Prevailing economic conditions continue to pose a key challenge to investment bonds Recent changes to taxation will impact the investment bond market Changes to CGT announced in the June 2010 emergency budget may prove beneficial to the investment bond market Under the old regime the tax structure gave a clearer advantage to investment bonds A flat rate of 18% CGT was the prior arrangement that impacted the investment bond market The changes to CGT in April 2008 were more far-reaching than their intended target The tax treatment of investment bonds has not changed Investment bonds are taxed within the income tax regime rather than as capital gains An investment bond carries a 5% tax deferred withdrawal allowance A tax charge can arise whenever a chargeable event occurred Technological innovation centering on wraps is helping overcome the challenges of investment bonds There are eight key areas where a wrap platform will help overcome challenges The tax complexity of bonds and income-drawing options will drive growth in distributing investment bonds via wraps Advisors are looking to actively move investment bonds onto wraps over the next 12 months The full advantage of wrap platforms will be realized by placing legacy business such as with-profits bonds on platforms as well as new business Wrap platforms have evolved from the fund supermarkets of the late 1990s The Datamonitor definition of a ‘pure wrap’ has become a market standard The Retail Distribution Review has inevitably affected the way in which investment bonds are sold and distributed The RDR aims to increase consumer access to financial products and services by offering a tiered system of financial sales and advice The RDR will address concerns about poor returns and high exit fees in the investment bond market Poor returns and high exit fees in an underperforming market leave investors in an impossible situation The Treating Customers Fairly initiative has helped to increase investor understanding about investment bond products and prevents the possibility of mis-selling The TCF initiative aims to create a more efficient and effective market The TCF initiative will filter out poorly structured and poorly performing providers to make investors aware of the risks involved in investment bonds Competitor Dynamics Providers should make investors aware of clear circumstances in which a bond is an advantageous investment Investors in mutual funds pay tax on gains and on income, which gives bonds an advantage A higher rate taxpayer can receive income from a bond and defer tax Bonds can be assigned to avoid an income tax charge A bond is an efficient investment for inheritance tax planning Providers are offering product, service and technological innovations to help IFAs and clients understand the complexities of investment choices Scottish Widows and Clerical Medical, with their full suite of online investment planning tools, are forging ahead in the innovation stakes Scottish Widows and Clerical Medical offer online calculators to help IFA clients determine the appropriateness of bonds The increasing importance of the peripheral features on an investment bond offering will emerge in a post-RDR landscape Lloyds Banking Group wrote the highest investment bond new business in 2009 Distribution Dynamics The sale of investment bonds is firmly focused through the IFA channel Fluctuations have taken place in the distribution of unit-linked and non-unit-linked bonds The distribution of unit-linked bonds migrated back to IFAs and whole of market advisors in 2009 after being picked up by non-bancassurance single tie channels in 2007 Non-unit-linked bond distribution through IFAs has grown rapidly and sharply Wrap technology will be a key driver in the distribution of life products Appendix Data Product definitions Life-based savings products Life assurance Single premium life With-profits bond Unit-linked bond Income and growth bonds Guaranteed equity bonds Distribution bonds Purchased life annuities Other bonds Annual premium life Endowment policy Whole of life insurance Term assurance Income protection Critical illness Collective life ISAs Personal pensions Stakeholder pensions Group personal pensions Department for Work and Pensions (DWP) rebate Employer-sponsored stakeholder (ESS) pension Self-invested personal pensions (SIPPs) Free-standing additional voluntary contributions (FSAVCs) ABI definitions of distribution channels Independent financial advisors (IFAs) Direct sales forces Tied agents Multi-tied agents Bancassurance Direct marketing Telesales Other Further reading Ask the analyst Datamonitor consulting Disclaimer Browse complete UK Investment Bonds Market Report Browse all Banking and Financial Market Browse all Datamonitor Market Research Reports Browse all Latest Reports Related Reports: The Future of UK Investment Bonds 2009 The UK Used Car Trade Flow 2010 Alternative Energy Monthly Deal Analysis: M&A and Investments Trends – March 2010 About Us: Contact:
Despite changes to CGT, the investment bond is still a viable part of an investment portfolio. The smoothing factor of with-profits bonds offers the nervous investor the opportunity to even out the volatility of returns from the stock market and other underlying investments.
Reports and Reports comprises an online library of 10,000 reports, in-depth market research studies of over 5000 micro markets, and 25 industry specific websites. Our client list boasts almost all well-known publishers of such reports across the globe. We as a third-party reseller of market research reports employ a number of marketing tools, such as press releases, email-marketing and effective search-engine optimization techniques to drive revenues for our clients. We also provide 24/7 online and offline support service to our customers.
Ms. Sunita
7557 Rambler road,
Suite 727, Dallas, TX 75231
Tel: +1-888-989-8004
Source: Market Research
Blog: http://reportsnreports.wordpress.com/
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Dallas, TX: ReportsandReports announce Japanese UK Extended Warranty Insurance 2010 Market Research Report in its Store. Browse complete UK Insurance Market Report UK Extended Warranty Insurance 2010 provides a detailed overview of the extended warranty market. The report is divided into two core segments: private motor and household electricals extended warranty. Both sections examine the total market size, retail sales, profitability, claims, distribution, key competitors and forecasts. Scope Highlights The total private motor extended market grew marginally by 1.6% during 2009. Datamonitor has noticed that some dealers which sell motor EW have been more vigorous in the up-selling of this product, as they have experienced a significant fall in car sales and so need to seek other non-sales related revenue. The white goods electricals extended warranty market is the largest because penetration rates are highest in this sector, with many providers estimating penetration at around 25%. Most extended warranty policies are sold at point of sale, although post point of sale sellers are growing in size because customers are researching online for the cheapest coverage. Reasons to Purchase Table of Contents Overview Catalyst Summary Executive Summary The market is divided into private motor and household electricals extended warranty The private motor EW market grew slightly in 2009 Motor EW sales have held up well against the weak used car market The household electricals EW market is considerably larger at £1.2 billion UK consumer expenditure on electrical goods fell by 7% to £20 billion in 2009 Most extended warranty policies are sold at point-of-sale New and used car dealers account for the vast majority of motor EW policies sold Electricals EW is distributed mainly at POS by retailers However, the post-POS market is growing in importance The future of EW sales depend heavily on the state of the car and electricals markets A resurgence in used car sales will drive growth in the private motor extended warranty market The take-up of electricals EW will be low as the electrical retail market will remain weak Market Context Introduction EW insurance provides protection beyond the manufacturer’s base coverage EW insurance offers buyers peace-of-mind Motor warranty policies will pay for the costs associated with replacement parts and labor charges There are a number of similar motor EW products available on the market The private motor EW market was resilient in 2009 The total private motor EW market grew by 1.6% in 2009 to reach £534m In some cases the EW is simply included within the price of the car The market is characterized by insurers, administrators and some customer-facing providers Not all of the motor warranty products sold to customers are insurance-backed Captives represent an efficient way for manufacturers and dealers to control insurance-backed schemes Despite the collapse of the car market, used car motor EW sales have not declined Gross advances for motor finance fell by almost 10% in 2009 As a result of the fall in car sales, the total car parc for 2009 saw minimal growth compared with 2008 Interestingly, the fall in new car sales has helped increase the number of potential EW customers The majority of cars on the road are aged between seven and 10 years Market sentiment is that just over a quarter of all used car sales have an EW policy sold alongside it Improving EW awareness will help providers tap into dormant car owners Customer-facing providers Warranty Direct and Warranty Wise spent a total of £226,233 on advertising in 2009 Providers make a good margin on private motor EW products Over the past few years, claims have been static While suspension parts are the most frequent car fault, electrical related faults dominate EW claims Proposals by the Department for Transport to introduce more 20mph zones without traffic calming measures may reduce claims The recession has prompted many to undertake their own vehicle service, which invalidates EW claims Household appliance EW is sold for a variety of different electricals The electricals EW market is characterized mainly by service contracts The total electricals EW market is expected to have been worth £1.2 billion in 2009 White goods EWs account for the vast share of the total electricals EW market The majority of electricals EWs are service plans, rather than insurance-backed Just over 70% of all electricals EW policies were service plan-backed in 2009 Service-backed schemes are cheaper and more tax efficient for retailers providing electricals EW policies The electricals EW market is very profitable, with many providers able to make at least a 10% margin Price competition in the electricals EW market is not as strong as in the electricals retail market Claims patterns in the electricals EW market are largely predictable UK consumer expenditure on electrical goods fell by 7% to £20 billion in 2009 The UK electricals retail market is dominated mainly by brown goods Audiovisual, IT processing and major household appliances are the largest sub-sectors The electricals market is plagued by considerable price deflation Currently, demand for electricals EW is low and this will remain the case throughout 2010 The stagnant housing market has shrunk demand for white goods The growth in the number of households should continue to benefit the UK electricals market Some electricals retailers are focusing more on non-electricals sales revenue such as EW to boost profits Distribution Introduction Car dealers are the main sellers of motor EW policies New and used car dealers account for the vast majority of motor EW policies sold Distribution of motor EW is expected to see no real changes over the upcoming years Warranty Wise provides motor warranty protection A greater emphasis on educating and training dealers will improve POS distribution of EW policies Electricals EW is distributed mainly at POS by retailers However, the post-POS market is growing in importance Since 2005, the BIS has stipulated that sellers of electricals EW must follow a set of guidelines Electricals specialists dominate the total electricals retailing market The growth of online retail distribution has reduced retailers’ POS advantage Most UK individuals spend between £21 and £50 on electrical goods Insurers should be working more with credit card providers to sell EW insurance Competitive Dynamics Introduction Domestic & General is the largest electrical EW underwriter via its non-POS strategy Allianz Schemes has partnerships with Argos, Amazon and GAME London General Insurance holds the John Lewis contract Car Care Plan is the largest provider of motor EW Cardif Pinnacle distributes car warranties through Warranty Direct Warranty Direct is a customer-facing online provider active in the EW market Mondial Assistance also offers motor manufacturer’s warranty services Insurers are underwriting less EW The insurance-backed market is shrinking The insured market is becoming more concentrated Domestic & General, QBE Europe and London General Insurance all gained market share in 2008 The total insured UK EW market is likely to have returned a COR of 90% EW providers spent £8.5m on advertising, mainly via direct mail Both Domestic & General and DSGi focus their advertising on the direct mail channel The remainder of the market is made up of service providers and administrators The Warranty Group provides motor and electricals warranty products British Gas plans to underwrite all of its household and warranty products DSGi, Argos and Comet are the largest UK electricals retailers DSGi had a total market share of 17.4% in 2009 Argos is the only remaining catalogue retailer in the market, with a share of 11.2% in 2009 Comet’s new product range helped increase its market share by 0.5 percentage points to 8.2% Future Decoded Introduction The motor EW market will grow gradually Initial penetration increases followed by a resurgence in used car sales will drive growth New car registrations are expected to grow by a yearly average of 6.1% over 2010-14 As a percentage of the total car parc, cars aged between four and 10 years will decrease The electricals EW market will shrink slightly in the short term The up-take of electricals EW will rely heavily on the state of the electricals retail market Total consumer expenditure on electrical goods will be lower in 2010 and 2011 APPENDIX Definition Captive insurance Car parc Extended warranty (EW) Franchised dealer Gross premium Independent dealer New car registrations Written premium Brown, white and grey electricals categories Methodology Datamonitor’s European Automotive Markets 2010 Database Financial Services Consumer Insight Survey 2009 Further reading Ask the analyst Datamonitor consulting Verdict research Disclaimer Browse complete UK Insurance Market Report Browse all Banking and Financial Market Browse all Datamonitor Market Research Reports Browse all Latest Reports Related Reports: UK Commercial Insurance Distribution 2010 UK Private Medical Insurance 2010 About Us: Contact:
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