Shares in London-listed insurance firms continued to tumble as analysts grappled with the damage that Brexit is inflicting on their customer base and investment portfolios. While suffering fewer losses than the British banks, insurance companies are exposed to the global financial markets through their investments and generate sales that are dependent on the broader UK economy.
On the lawyer.ie website, Stephen Netherway, an insurance partner with London law firm CMS, discusses the implications for the Irish insurance sector following the British vote to leave the EU. The vote has left uncertainty about what a Brexit will actually mean, nowhere more so than in the financial services industry, including insurance, where the UK and Irish markets are very closely intertwined.
Netherway says that Ireland can be justifiably proud of its recognised international financial services sector, with many global multi-nationals based in Ireland operating across a whole range of financial sub-sectors. Dublin’s IFSC already plays on its proximity to London but the ability to further assert its position internationally is definitely now a real possibility with Brexit. Specifically in the insurance field, waving goodbye to passporting rights upon a Brexit will hinder UK insurers from selling their services and insurance in Ireland without agreement and local regulatory compliance. The removal of the EU framework will remove the UK insurers’ ability to offer insurance into Ireland without most likely locally authorised branch offices and specific additional capital requirements.
If this way of doing business is frustrated or made considerably more difficult, at least for a period, simple geographical proximity and market interlinking between Dublin and London suggests a possible negative impact.
A new EU base for many UK financial institutions currently located in London or Edinburgh may become a business imperative. As to where, why not Dublin? But with becoming potentially a new base for some many new financial institutions, how does Ireland manage the arguably increased associated risk of becoming the country primarily liable for the bail-out of any who may fail?
The law of unintended consequences means that while Ireland’s insurance industry faces identifiable threats, there may well be as yet unidentifiable beneficial opportunities. The only certainty is that after Brexit, nothing may be ever quite be the same again for Ireland.
Insurance Ireland, the representative body for the Irish Insurance industry, has called for a dedicated Stakeholder Consultative Forum on Finance and Insurance to inform the Government’s approach to Britain’s negotiated exit from the European Union.
Insurance Ireland believed that Irish interests would be best served by Britain remaining in the EU, and in May the Taoiseach highlighted the importance of the insurance sector and Ireland’s trading relationship with the UK.
Insurance Ireland CEO Kevin Thompson stated “The process and outcome of the UK’s negotiated exit from the EU are of great importance to our sector and the 28,000 people employed directly and indirectly in insurance in Ireland. Our members stand ready to constructively assist the formation of a policy approach to the negotiations that ensures our interests are protected and advanced and we call on the Government to convene such a forum.
Ireland has become a major location for international insurance with ten of the top twenty largest insurance companies globally operating in Ireland serving the domestic and international markets. Currently, one in four jobs in finance in Ireland are in insurance, with a footprint right across the country. The Insurance Industry holds €200 billion in assets in Ireland of which €35 billion is invested in Irish infrastructure and government debt, generates €32bn in premium income (domestic and overseas) and employs more than 28,000 people.
Yes, it’s great to know that your home is covered by home insurance. But there are steps you take on your own to prevent your home being burgled.
- Alarms and cctv: the last thing a burglar wants is a loud noise that alerts the neighbours. Alarms and cctv work as effective deterrents, especially when you place warning notices and signs on your property.
- Radio, lights and curtains: leaving a radio station on with more talk than music can confuse burglars by making them think that people are home having a conversation. You can also now buy timers that switch on the lights in various areas of your home. And counter-intuitively, burglars regard closed curtains are a sign that someone’s home.
- Small home safes: use your imagination to think up different ways of deploying small unobtrusive safes around your home for storing valuables, passports, cash, jewellery and keys.
- Locks: even though most home insurance policies stipulate a minimum level of security, you can enhance your chances of keeping burglars at bay by installing extra security for your windows, doors and french windows.
- Ultraviolet marking: you can increase the chances of recovering stolen items by using ultraviolet marking that contains your personal identifying information.
It is so easy to change your home insurance broker or company and it can be done at any time during your insurance year. Since most house insurance policies don’t accumulate a no claims bonus, you don’t even have to wait until your home insurance policy is due for renewal.
How to change your home insurance in 123 steps:
- Call us on 0818 22 33 44 and our friendly, qualified professionals will run your details through our quotation system and give you’re the various quotes from ten different insurance companies.
- Choose the home insurance policy that suits you the best. Our professional staff will be able to give you advice on the various different policies and help you customise the best policy and cover for the lowest price.
- Buy your chosen home insurance policy from QuoteMe.ie and save yourself a bundle of cash. Instruct your previous insurer or bank to cancel your policy.
House Insurance – the different components – as easy as 123:
Buildings can be insured for fire only, fire and perils or for “all risks”. Fire only cover is generally provided if the house is vacant for 2 months or longer. Most policies are written on a fire and perils basis and the list of perils covered is quite extensive.
- Fire, explosion, lightning, earthquake
- Storm or flood
- Falling trees or branches
- Falling aerials, masts, satellite dishes or security cameras
- Impact by an aircraft, road or rail vehicle or animals
- Subsidence, heave or landslip
- Leaking or overflowing of water or oil
- Trace and access to find the source of any oil or water leak
- Loss of oil
- Riot, civil unrest, vandalism or malicious acts
- Breakage of glass
- Accidental damage to service pipe, cables and underground tanks which service your home.
Contents are also insured for all of the above perils. Some policies are written on an accidental damage basis. This means that accidents to your contents are covered. Examples would include dropping a cup of tea over your laptop or a stray ball breaking the television or a Waterford glass lamp. The most important additional peril that is added to home contents insurance is theft cover. Theft cover is an important cover but there are a couple of things to watch out for when arranging your home insurance policy.
Most Home Insurance Companies allow discounts if you have a house alarm and a larger discount if your alarm system is connected to a central station. If you do not activate your alarm system every single time you leave your house (even if you are just running down to the shop) then I would think seriously whether you should avail of the alarm discount. The reason is that some insurance companies will avoid paying a theft claim if you do not have your alarm activated.
All Risks Insurance
All risks insurance is the most expensive component of your home insurance policy. You add all risks cover to specified items and they are covered for all risks everywhere in the world. Most people insure jewellery, watches, golf clubs and cameras for all risks.
Home Insurance Policies cover public, and personal liabilities as well as liability to domestic employees.
Now you know about all of the components that make up a house insurance policy, give us a call on 0818 22 33 44. Our qualified, professional and friendly team will talk you through the various policies and help you decide which policy suits you the best and at the lowest cost.
Changing your Home Insurance – it’s as easy as 123.
For a quote on bicycle insurance please give us a call. Our advisors will be delighted to provide you with a quote.
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