Will Brexit Have an Effect on Your Insurance and Gap Insurance Quotes?
Brexit means you need to sit up and reassess insurance that will matter to you now and the future. You should be aware of the implications that your insurance and gap insurance quotes will carry for you. This may seem to be a daunting task however, it is not impossible!
Table of Contents
The impact of Brexit on the insurance industry
Great Britain has been with the EU for 43 years. This means that businesses based in UK were allowed to trade across the whole EU market. Insurers in the UK could enter into business and insurance agreements with the member states of the EU.
Prior to Brexit, the UK insurance companies had access to one insurance market that covered 28 nations. This was roughly half a billion insurers. The insurers were allowed to conduct business across borders without the need to pay for additional costs. Now, insurance firms in the UK have to open branches in the EU to underwrite their businesses in these territories. This means they need to invest in resources and spend a lot of money as well. There is a possible likelihood that insurers will move to the member states of the EU to conduct business effectively.
Factors to be taken into consideration while considering insurance quotes
Brexit definitely has created chaos in the region however you should not panic. Article 50 is yet to be set into motion and it will take an estimated time of two years before any changes can actually be implemented. If you are a business, it is important for you to evaluate the risks and the opportunities that Brexit has presented to you. The exit of Britain means that UK financial groups no longer have to conform to the rules and the regulations of the European Union.
The need to keep track of developments
It is important for insurers and businesses to constantly keep update of the developments and changes that are taking place in the insurance sector in order to take informed steps. Groups and people are required to have a clear understanding of their supply chain and business. This is the key for you to understand the impact not just of Brexit but for the other political and economical situation of the nation. The pressure points that you should keep track of are operations, work force and finance.
Prioritise, take time to research and consult experts
It is crucial for you to prioritise both the risks and the benefits that you face when you are looking for the ideal insurance and gap insurance quotes for your individual needs. Getting the clear picture is important and understanding their impact on you. You should also keep note of the external pressure points that affect your insurance like domestic and international changes, suppliers, competitors and customers.
Therefore, Brexit will impact your insurance and gap insurance quotes. Before taking any decision, it is crucial for you to consult a financial advisor who will explain to you, the impact of any insurance plan that you might be interested in.