United Kingdom (UK) Household Insurance - Market Dynamics and Opportunities 2020

Publisher Name :
Date: 12-Nov-2020
No. of pages: 33

United Kingdom (UK) Household Insurance - Market Dynamics and Opportunities 2020

Summary

This report provides an in-depth analysis of the UK household insurance market. It looks at market size and performance ratios as well as changes in premiums, claims, contextual and economic factors, regulations, and opportunities. It provides a thorough overview of the market along with future forecasts and analysis of emerging technologies and products.

Following a sharp decline in 2018, gross written premiums (GWP) increased in the household insurance market by 3.2% in 2019. Weather claims dropped significantly in 2019 relative to the previous year, lifting some of the burden on insurance providers. Premium rates rose modestly in 2019 before rising steeply in the second quarter of 2020, possibly linked to unexpected challenges caused by the COVID-19 pandemic. Due to the sharp decrease in mortgage approval rates for 2020, a surge in house rebuilding costs, and macroeconomic contraction, the household insurance market looks set for a very turbulent second half of 2020 and beyond.

Scope

- Premium rates rose slightly in 2019 and Q1 2020, before shooting up massively in Q2.

- Total claims were down significantly in 2019, primarily due to a reduction in weather-related claims.

- Penetration rates remain low for renters, with less than half of all tenants holding some form of home insurance.

- Market GWP is expected to decline steeply in 2020 and is projected to be around 7% smaller by 2024 when compared to 2019.

Reasons to Buy

- Benchmark yourself against the rest of the market.

- Ensure you remain competitive as new innovations and insurance models begin to enter the market.

- Be prepared for how regulation will impact the household insurance market over the next few years.

United Kingdom (UK) Household Insurance - Market Dynamics and Opportunities 2020

Table of Contents
1. EXECUTIVE SUMMARY
1.1. In 2019, the UK household market recorded its largest rise of the review period
1.2. Key findings
1.3. Critical success factors
2. MARKET DYNAMICS
2.1. Introduction
2.2. The market experienced growth in 2019
2.2.1. UK household GWP rose by 3.2% in 2019 - the largest rise in the last five years
2.2.2. Average premiums increased in 2019
2.2.3. Combined cover increased its share of the total market in 2019
2.2.4. The proportion of households renting decreased in 2019
2.3. Total claims dropped by 9% in 2019
2.3.1. Weather-related claims fell by more than half in 2019
2.3.2. Claims inflation is set to challenge profitability in the market in 2020
2.3.3. Flood Re remains a requirement
2.3.4. Reinsurance rate rises will increase pressure on premiums
2.4. The home insurance market has benefitted from an increase in underlying supply
2.4.1. New home registrations and completions were up in 2019
2.4.2. Mortgage approval rates were hit by COVID-19 in Q2 2020
2.4.3. There is considerable potential for growth from the rental market
3. COMPETITOR DYNAMICS
3.1. The top 10 providers increased their hold on the market
3.2. Aviva has continued to innovate
3.3. Direct Line expanded its digital initiatives
3.4. Insurtechs Hippo and Lemonade highlight new opportunities
4. THE MARKET GOING FORWARD
4.1. The market is expected to contract dramatically due to COVID-19
4.1.1. The economic impact of COVID-19 is forecast to negatively impact GWP
4.1.2. Government response measures could create a mini-boom for the market
4.1.3. The cost of claims will be volatile in the coming years
5. APPENDIX
5.1. Abbreviations and acronyms
5.2. Methodology
5.2.1. GlobalData's UK Insurance Consumer Surveys
5.2.2. UK Top 20 General Insurance Competitor Analytics
5.2.3. Forecasting methodology
5.3. Secondary sources
5.4. Further reading

List of Tables
Table 1: Household insurance GWP and annual growth rate, 2014-19
Table 2: Quarterly average premium rate movements, Q1 2014-Q1 2020
Table 3: Household gross claims incurred by type and number of claims notified, 2014-19
Table 4: New home registrations and completions, 2014-19
Table 5: Top 10 UK household insurers by market share, 2017-19

List of Figures
Figure 1: Household GWP experienced strong growth in 2019
Figure 2: Premium rates dropped in Q1 2020
Figure 3: Consumers continued to shift towards combined cover in 2019
Figure 4: Living arrangements remained fairly consistent in 2019 compared to 2017
Figure 5: Over half of private tenants are not covered by insurance
Figure 6: An increasing number of renters are purchasing unnecessary cover
Figure 7: A drop in weather claims contributed to a fall in the total cost of claims
Figure 8: The total number of claims fell in 2019
Figure 9: Growth in rebuild costs has spiked in 2020 due to the COVID-19 pandemic
Figure 10: The price indices became more stable in 2019
Figure 11: Registrations and completions have leveled off in recent years
Figure 12: Mortgage approval rates have continued to fluctuate
Figure 13: LV= was a new entrant to the top 10 in 2019
Figure 14: COVID-19 is expected to lead to a market contraction
Figure 15: Forecasting methodology
  • Global Life Insurance Policy Administration Systems Market Research Report with Opportunities and Strategies to Boost Growth- COVID-19 Impact and Recovery
    Published: 21-Jan-2021        Price: US 3500 Onwards        Pages: 122
    The life insurance policy management system provides end-to-end lifecycle management of collective life, personal and pension products. It helps organizations document their published policies, calculate strategy costs, and design new strategies. Based on the Life Insurance Policy Administration Systems market development status, competitive landscape and development model in different regions of the world, this report is dedicated to providing niche markets, potential risks and comprehen......
  • Global Flood Insurance Market Research Report with Opportunities and Strategies to Boost Growth- COVID-19 Impact and Recovery
    Published: 21-Jan-2021        Price: US 3500 Onwards        Pages: 104
    Flood insurance denotes the specific insurance coverage against property loss from flooding. To determine risk factors for specific properties, insurers will often refer to topographical maps that denote lowlands, floodplains and floodways that are susceptible to flooding. Based on the Flood Insurance market development status, competitive landscape and development model in different regions of the world, this report is dedicated to providing niche markets, potential risks and comprehensi......
  • IoT Insurance Market Status and Trend Analysis 2017-2026 (COVID-19 Version)
    Published: 16-Jan-2021        Price: US 3000 Onwards        Pages: 99
    Summary Further key aspects of the report indicate that: Chapter 1: Research Scope: Product Definition, Type, End-Use & Methodology Chapter 2: Global Industry Summary Chapter 3: Market Dynamics Chapter 4: Global Market Segmentation by region, type and End-Use Chapter 5: North America Market Segmentation by region, type and End-Use Chapter 6: Europe Market Segmentation by region, type and End-Use Chapter 7: Asia-Pacific Market Segmen......
  • (Post-pandemic Era) - Global Usage-Based Insurance Market Outlook-by Major Company, Regions, Type, Application and Segment Forecast, 2015-2026
    Published: 15-Jan-2021        Price: US 3100 Onwards        Pages: 97
    Summary According to XYZResearch study, over the next 5 years the Usage-Based Insurance market will register a xx% CAGR in terms of revenue, the global market size will reach xx Million USD by 2026, from xx Million USD in 2020. In particular, It should be noted that the impact of the epidemic has accelerated the trend of localization, regionalization and decentralization of the global industrial chain and supply chain, so it is inevitable to reconstruct the global industrial chain......
  • (Post-pandemic Era) - Global Medical Malpractice Insurance Market Outlook-by Major Company, Regions, Type, Application and Segment Forecast, 2015-2026
    Published: 15-Jan-2021        Price: US 3100 Onwards        Pages: 116
    Summary According to XYZResearch study, over the next 5 years the Medical Malpractice Insurance market will register a xx% CAGR in terms of revenue, the global market size will reach xx Million USD by 2026, from xx Million USD in 2020. In particular, It should be noted that the impact of the epidemic has accelerated the trend of localization, regionalization and decentralization of the global industrial chain and supply chain, so it is inevitable to reconstruct the global industri......
  • Global Medical Malpractice Insurance Market Research Report with Opportunities and Strategies to Boost Growth- COVID-19 Impact and Recovery
    Published: 07-Jan-2021        Price: US 3500 Onwards        Pages: 119
    Coverage for the acts, errors, and omissions of physicians and surgeons, encompassing physicians professional liability insurance, hospital professional liability (HPL) insurance, and allied healthcare (e.g., nurses) professional liability insurance. Based on the Medical Malpractice Insurance market development status, competitive landscape and development model in different regions of the world, this report is dedicated to providing niche markets, potential risks and comprehensive compet......
  • Global Professional Liability Insurance Market Research Report with Opportunities and Strategies to Boost Growth- COVID-19 Impact and Recovery
    Published: 29-Dec-2020        Price: US 3500 Onwards        Pages: 119
    Professional Liability Insurance (PLI), also known as Professional Indemnity Insurance (PII) or Error and omission (E&O), is a liability insurance that is frequently used by businesses to prevent the full cost associated with negligent claims. Unlike general liability insurance, which involves various disasters such as third-party injuries, professional liability insurance is a policy of professionals who make a living from professionals. This usually includes lawyers, doctors, architects, engin......
  • (Post-pandemic Era) - Global Marine Insurance Market Outlook-by Major Company, Regions, Type, Application and Segment Forecast, 2015-2026
    Published: 18-Dec-2020        Price: US 3100 Onwards        Pages: 104
    Summary According to XYZResearch study, over the next 5 years the Marine Insurance market will register a xx% CAGR in terms of revenue, the global market size will reach xx Million USD by 2026, from xx Million USD in 2020. In particular, It should be noted that the impact of the epidemic has accelerated the trend of localization, regionalization and decentralization of the global industrial chain and supply chain, so it is inevitable to reconstruct the global industrial chain. Fac......
  • Global Satellite Insurance Market Research Report with Opportunities and Strategies to Boost Growth- COVID-19 Impact and Recovery
    Published: 17-Dec-2020        Price: US 3500 Onwards        Pages: 113
    Satellite insurance is a specialized branch of aviation insurance in which. It covers three risks: relaunching the satellite if the launch operation fails; replacing the satellite if it is destroyed, positioned in an improper orbit, or fails in orbit; and liability for damage to third parties caused by the satellite or the launch vehicle. Based on the Satellite Insurance market development status, competitive landscape and development model in different regions of the world, this report i......
  • SERVICES
    Value for Money
    We believe in "optimum utilization of available budget and resources". While servicing our clients' (your) market research requirements, we keep the same approach in focus to help you get the best value for your $$s.
    Ever Growing Inventory
    Ranging from the smallest feasible / required data (datasheets, data facts, SWOT analysis, company profiles, etc) to full research reports that help you make decisions, our inventory is updated almost on a daily basis with the latest industry reports from domain experts that track more than 5000 niche sectors.
    One Stop Solution
    Need a custom research report on medical devices market? Require all available business intelligence on 3D printing industry? Exploring F&B sector of a particular country/region? RnRMarketResearch.com is your one-stop-solution to all market intelligence needs. We not only offer custom research and consulting services, we also "bundle" reports to meet your needs and help you fetch the data analysis you require for your business.
    Dedicated Client Engagement
    Not limited to only "finding" relevant reports for you, our client engagement team dedicates its efforts to understand your "business need" and accordingly maps available research data to help you move forward. Call "your" client engagement executive any time of your day and get your questions answered in order to make the correct business decision.
    Saving Time and Efforts
    Simply share your research requirement details with us and let us do all the hard work to find required intelligence for you. When you add up our "one stop solution" and "dedicated client engagement" services mentioned above, you obviously know the time and effort saving you do by working with us.
    Payment Flexibility
    Working with Fortune 500 organizations, we understand the importance of being flexible for payments. Share your payment terms with us and we will surely match up to them to ensure you get access to required business intelligence data without having to wait for the payment to be done.
    Post-Purchase Research Support
    Have questions after reading a report / datasheet bought through us? Not sure about the methodology used for data available in the research? Talk to us / Share your questions with us and if required, we will connect you with the analyst(s)/author(s) of the report(s) and ensure you get satisfactory answers for the same. Need more data / analysis / report(s) on the topic of your research/project? The RnRMarketResearch.com team is here for you 24X7 to support you with your post-purchase requirements. Subscription Offers & Packages (Get in touch with us for more details - [email protected] / +1 888 391 5441 )
    • Ad Hoc
    • Pay - as - you - go / Bucket Subscriptions
    • Fixed Cost for #of reports
    • Customize / Personalize as per your needs