Insurance brokers predict annual increase in policy sales

That is the view of Mapfre Assistance following a recent survey in which 40% of insurance brokers polled said they expected motor insurance to lead growth towards a revival in the insurance broker business.

Industry experts believe that, while traditional insurance products are likely to see the strongest growth, a sharp sales increase is also expected among a wide range of protection and alternative insurance policies.

Charles Coburn, head of sales (finance and insurance) at Mapfre Assistance, said: "Given the continuing squeeze on consumer incomes and concerns about job security it is perhaps unsurprising that consumers are looking to safeguard their incomes and protect themselves from unexpected expenditure by taking out a wider range of insurance policies."

Other substantial rises in the market have been identified as coming in the form of home and contents insurance, with 34% of brokers expecting such policies to produce growth, and travel insurance, which was earmarked as a significant mover by 12% of brokers.

Elsewhere, around 12% of insurance brokers expected to see growth in income protection product sale over the coming 12 months, with 5% expecting to see mortgage payment protection leading sales growth, while a further 5% tipped GAP insurance to see a sales increase.

Mr Coburn added: "It is encouraging news that after the difficulties of the past 18 months, insurance brokers are now confident that they will see business growth from a wide range of different policies. The challenge now is to ensure that consumers get the policy that best suits their needs and their budgets and to ensure they feel they are getting real value for their money. Clearly the role of the insurance broker can be critical in ensuring this happens."