Mid Term Adjustments are one aspect of insurance where AI and automated systems can really make a big difference, and add a competitive edge to pricing. Here’s the word from DCL;
Commercial motor brokers are placing growing importance on fast and accurate mid-term adjustments (MTAs) as fleet operators demand greater flexibility and responsiveness from insurers, according to new research commissioned by Direct Commercial Limited (DCL).
Over 80% of brokers described the ability to complete MTAs quickly and accurately as “business critical” when dealing with commercial motor fleet policies.
That represents a significant increase in importance compared with previous Direct Commercial Broker Barometer research conducted in late 2024, when 37% of brokers described policy flexibility as business critical.
Commercial fleet operators increasingly expect insurers to support the operational realities of modern fleet management, where vehicles, drivers and business requirements can change rapidly.
The research also suggests some progress has been made across the market in improving policy administration processes.
More than one in five brokers (21%) reported improvements in completing MTAs across the commercial motor market over the past 12 months, while the majority (60%) said processes remained broadly unchanged. Nevertheless, parts of the commercial motor market are clearly increasing investment in digital trading capability, broker platforms and operational service improvements.
The research also highlighted positive broker sentiment around DCL’s own Portal capabilities for policy administration. Compared with other commercial motor markets they use, 40% of brokers surveyed said DCL’s Portal makes MTAs either easier or much easier and quicker to complete.
Joe Hantson, Deputy CEO at Direct Commercial Limited, said:
“What this research shows is that speed, accuracy and flexibility around policy changes are now becoming major differentiators between insurers and MGAs. Fleet businesses increasingly expect insurers to respond quickly when vehicles, drivers or operational requirements change because delays can create unnecessary disruption and administrative pressure.
“At DCL, we have continued investing in our Portal and operational capabilities because brokers increasingly want trading partners that combine specialist underwriting expertise with practical, responsive service delivery.”
Operational responsiveness and digital administration capability will continue to become increasingly important across the commercial motor market as brokers and fleet operators place greater emphasis on speed, flexibility and ease of trading.
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