The Fine Art, Jewellery and Specie insurance sector has seen considerable change over the past 12 months.
A recent example of this is the merger between XL and Catlin to form a large scale offering to brokers. Both insurers are high profile markets for the Fine Art, Jewellery and Specie insurance sector, offering considerable capacity and expertise to the marketplace with experienced underwriting and claims capabilities.
In addition to the XL and Catlin merger, there is a potential merger between Mitsui and Amlin. Again, two syndicates that have sizeable capacity and Fine Art, Jewellery and Specie expertise. There is also the potential acquisition of Chubb by Ace. Although Ace are the larger Lloyd’s Syndicate out of the two, it is understood that the combined offering will be branded as Chubb. In these three cases, the Fine Art, Jewellery and Specie element only forms a small part of a larger consolidation between each of these insurers. However, it is important to consider the effect this has on our clients.
Whilst consolidation of insurers is occurring in some areas of the Fine Art, Jewellery and Specie insurance sector, other insurers are actively growing their Fine Art, Jewellery and Specie profile. There are several examples of this throughout the London insurance market, all investing in Fine Art, Jewellery and Specie underwriting expertise either as a new venture, or an expansion of a smaller portfolio.
We are also seeing established insurers enhancing their proposition by increasing their capabilities across all sub-sectors of Fine Art, Jewellery and Specie to ensure
they capture all areas of this niche market. New capacity entering the marketplace, such as AM Trust, are often recruiting experienced underwriters or brokers from the market. All of this activity forms part of the cycle which is creating an interesting dynamic across this arena.
So, the critical question is: What does this all mean for clients in an ever changing market?
The Fine Art, Jewellery and Specie marketplace is at a stage where clients have considerable choice when selecting their insurers, considering over fifty individual syndicates and company markets participate. Insurers are working hard to deliver increasingly compelling propositions to clients, and of course, brokers. It is important to understand not only who, but why your broker is working with the insurers they have selected. JLT Specialty believes that building relationships with key insurers is not only important for clients but also advantageous. Our specialist experience reveals that cultivating a strong partnership between client, broker and insurer any underwriting or claim issues can be resolved with far greater efficiency.
With all of this activity and the constantly evolving components of the Fine Art, Jewellery and Specie insurance market, it remains extremely important to work
with a broker that holds deep specialist knowledge and expertise, not only of your industry but also of each facet of this ever changing marketplace.
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For further information, please contact Barry Vickery, Senior Partner, Fine Art, Jewellery and Specie on +44 (0)20 7528 4598.