SSP has been around for some time now, with over 700 clients worldwide in the financial services sector. Insurance Edge caught up with MD of SSP Broker, Martyn Mathews, (below) at the BIBA Conference recently, to find out how the UK market is doing and the latest trends in terms of broker product lines and more.
IE; What’s new with SSP here at BIBA, partnerships, new products? Tell us more.
MM; SSP has been a bit of a journey recently after an acquisition deal. That’s given us a sound financial footing to build on, including a £3m budget for R&D to develop new products. That’s a record level of investment for SSP by the way. That R&D budget is being spent on new security features, plus multi-factor authentication which is a great tool for brokers, as it allows them to better protect the assets that their clients love so much. BIBA is always a chance to discuss new potential partnerships too because SSP wants to offer brokers the very best data analytics packages on the market, so that they can get the cover options right for clients.
IE; There are quite a few online only brokers now, with a platform approach for clients so they can customise and control their cover. But that flexible approach leaves any website open to potential attack doesn’t it?
MM; Yes, absolutely no doubt about that. It’s incumbent on organisations like ours to provide platforms for brokers that are as secure as possible. A good example of that is the multi-factor authentication features I was talking about before, which is a really good, practical way for any broker to protect their site. Threats continue to evolve and the key is to try and keep as far ahead as you can.
IE; Are you seeing more personalisation in broking, so that their customers can choose exactly which type of cover they want?
MM; Absolutely. SSP loves brokers and the way they use personalisation nowadays. This whole market is being driven by convenience, people want solutions to insurance problems or needs. Our platform totally facilitates the choices that brokers want to offer to the market. Lots of the R&D we are doing this year is centred around enabling brokers to offer a much more personalised service to their clients.
IE; One of the MGAs here at BIBA told IE had some brokers are now looking to have a type of `dedicated; MGA, who stands behind them. Do you see more opportunities for long term, more in-depth partnership becoming the norm for some brokers?
MM; MGAs are very much an integral part of the insurance chain. In the same way I can see the benefits for any broker when it comes to a more in-depth partnership with their software provider, because you’re getting specialist knowledge and support – it works well for both sides actually.
IE; Some brokers are dipping a toe into new risks like crypto, currencies or assets, are you seeing any significant demand from brokers?
MM; We aren’t seeing any big demand on crypto, but anything new is a potential insurable risk.
IE; What are the latest trends generally?
MM; There is a growing demand for cyber cover. But the big increase this year has been demand for a compliant system that offers high volume insurance products, whilst still remaining compliant with the FCA regulations, plus the regulations that affect broker partnerships. Often a broker is part of a chain and you have to consider all the data moving between parties in that chain. So brokers need a system that keeps up to date on FCA regs, plus makes sure that broker partners are all on the same page too. The industry in general has embraced regulation, plus the new guidance on monthly instalment plans – this has to be embraced because it’s the right thing to do.
Everyone wants to offer fair value on something like car insurance, so that means any platform has to make sure that each component part is fully compliant with the relevant guidelines or regulations. Things like Open Banking can be a new challenge for brokers, but for me they are an
opportunity too. Regulation on payments is really just the same as regulation on policy wording, or ID checks etc. It’s all about fairness and transparency.
I’m a massive advocate of education, both for the public as well as industry. Inflation has gone up and insurance brands need to educate consumers, be more transparent on premiums and renewals. There’s lots of work to do there, to help consumers understand why insurance is so complex and why claims can cost so much. Even down to school level; students need to learn how insurance works and that inflating a claim can have consequences long term on credit access or more.
IE; Car claims, especially EV cars, obviously take far longer as you might have to train repair staff, remove and store battery packs etc – we can do better on explaining how that process works.
MM; Even driving an EV is a different experience, some have really rapid acceleration – much faster than the average petrol or diesel car – and politicians and the car industry probably need to educate drivers who are making the switch to all-electric. In the end it can only improve road safety.
IE; Agreed, once again Martyn I have gone off at a tangent. Thanks for your time and insights into SSP Broker and their plans for the year ahead.
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