Today started by meeting the energy team and one on one time with different underwriters. We discussed what they do, current concerns or challenges to the market and how they manage the dynamics of the accounts.
The account sizes are quite large as most of the insureds have multiple locations and the cost associated with the equipment, refinery, storage, and transportation drives premiums up. The claims also tend to be astronomical because when things go wrong, they are often dealing with explosions and oil spills. Interesting fact, they were involved in the Deep Water Horizon disaster in the Gulf of Mexico.
We learned that cyber security is a very real concern for them too. Many of their clients want cyber coverage, but struggle to evaluate what their exposure is which makes underwriting the risk and offering coverage challenging.
Something interesting we learned, Lloyds is just now starting to move to an online platform for quoting which is getting mixed reviews. They understand the need and it gives them more flexibility, but it's not always as time efficient for getting a deal done. Many of the underwriters have conveyed they rely heavily on the face to face interaction and the relationship they have with the broker in regards to writing a new piece of business.
Just like at home, relationships and trust are crucial to success. We’re off to dinner tonight with our new mates and we will likely turn in early as we have another exciting full day at Chaucer tomorrow.
Emily, Adam & Cale