Claims, Stability and Relationships: Ventis Looks at The Property Market in 2026

As with all lines, the market is cyclical. The economic conditions of recent years have driven the market through an intense cycle. High inflation, driven in part by the COVID pandemic, raised costs for insurers, resulting in an extreme hard market that lasted between 2020-22. The current condition of the market should come as no surprise, then, as the cycle comes around to a period of equal and opposite intensity.

With the property market in its current condition, there is an abundance of capacity and choice on offer for buyers of insurance. Many of the providers coming into the market at the moment are willing to write things at very competitive prices in an effort to appeal to brokers. While it is easy to assume that the broker’s duty to offer “fair” value to their clients means finding the cheapest price, no matter the policy behind it, the reality is quite different. Price is of course a consideration, but with the amount of choice currently available, and the sophistication of real estate insurance buyers, there is an opportunity to differentiate based on the quality of coverage and the service that delivers it.

Many brokers are prepared to look beyond the price – within reason – and make a decision based on the individual or organisation behind the product: Is this someone with whom they can have a long-term working relationship, and whom they can trust to look after their client? Buyers of real estate insurance can more easily take time to review the options available than buyers in other lines. For example, they can and do take more interest in policy wordings, to be sure that they are taking the right decision to purchase the best possible coverage.

Claims handling is often regarded as the acid test of the insurer-client relationship, and nowhere is this more evident than in the property market. Property insurance is fundamentally about safeguarding substantial, long-term investments – homes, buildings, and commercial assets that represent significant financial and emotional value to clients.

When a claim arises, it is typically at a moment of vulnerability, stress, or even crisis for the insured. The way an insurer responds becomes the true measure of their value. In a market where policy wordings and pricing can be similar, the claims experience is a real area where insurers can set themselves apart. First-rate claims handling, whether delivered in-house or through a trusted partner, not only resolves immediate issues but also builds lasting trust and loyalty. For brokers and clients alike, a reputation for quality claims service is a decisive factor in choosing and retaining insurance partners, making it the cornerstone of differentiation in today’s competitive property market.

At the core of it, brokers want stability for their clients. Real estate is a long-term investment so insurance partnerships are often similarly long-lived. Large pricing shifts are difficult to explain. Often, and perhaps counterintuitively, a price drop can trigger a more uncomfortable conversation than an increase as some clients seek explanations for previous higher prices. Brokers who are able to confidently navigate these conversations are able to retain business and build long-term, reliable business.

One approach many insurers use to address market volatility is the introduction of multi-year coverage agreements, designed to provide clients with greater security and peace of mind. While these arrangements are typically not legally binding on the insured, they serve as a valuable tool for brokers to retain clients and facilitate transparent conversations about pricing changes over time. Rate and stability agreements strike a crucial balance between offering predictability and maintaining flexibility; they reassure clients that their coverage and costs will remain consistent, yet allow for adjustments if circumstances change.

Ultimately, in the property insurance sector, where long-term investments and relationships are paramount, stability is highly prized. Providing clients with the confidence to plan ahead fosters trust and strengthens enduring partnerships. In the softest of markets, those that are able to prove they are delivering value that goes beyond the purely financial are most likely to survive the market cycle and build the strongest, longest-lasting client relationships.