Face-to-face business will remain key after lockdown say MGAs: survey

A new survey of MGAA members has found that despite an increasing use of social media and video conferencing services such as Zoom during the COVID-19 lockdown period, four out of five (80%) expected a return to face-to-face client and broker meetings. Only 15% said that social media would remain their preferred method of communicating post-lockdown.

The wide-ranging survey of MGAs also revealed that nearly three quarters (73%) have taken some form of action to help brokers and policy holders during the pandemic. These ranged from extending renewal dates (43% of respondents) and offering premium holidays (33%), to offering either free cover or free extended cover (28%). Other measures taken to help included waiving policy exclusions (15%) and cancellation fees (13%).

The findings also revealed the financial impact of COVID-19. When asked whether the pandemic and Government lockdown had negatively impacted their business financially, just over half (58%) said that it had. One quarter (25%) said their finances had not been negatively affected and the remainder not committing either way.

On the subject of social media, specifically LinkedIn and Twitter, 38% said they were using it more during lockdown, and 43% said their use was unchanged. Despite the increasing use of social media, it still ranked behind video conferencing, telephone and email as the preferred method of communicating.

The survey of MGAA members was conducted by insurance communications agency Full Circle. Alex Wise, Executive Director at the agency said:

“The UK Government lockdown has called for significant changes in the way both the insurance industry operates and how it communicates. For an industry that is often seen as change-resistant, the transition and flexibility it has shown is all the more impressive. And yet, as the survey shows, there is clearly a hankering for a return to the traditional face-to-face way of doing business.”

“Whilst no one doubts the importance of relationships and networks in the insurance market, turning our backs on what necessity has shown can be done, would be a mistake.”

Reflecting on the fact that almost three quarters of MGAs surveyed said they had introduced new measures to help alleviate the economic shock that lockdown had brought, Wise added:

“Given the negative headlines circling insurers recently, it’s perhaps a little surprising to find so many have actively being trying to help brokers and their clients. More needs to and can be done to help balance this equation and with it the reputation of the industry.”

ENDS