Description: Explore the importance of offering claims inflation advice to clients during this period.
Summary: As Claims Director at Ecclesiastical, Jeremy Trott is particularly well-placed to comment on the rising phenomenon of claims inflation. In conversation with Adrian Saunders, he discusses how claims inflation can be defined, and its potential global and local causes. He explores the potential dangers of relying on indices when tracking claims inflation, and emphasises the importance of brokers offering advice to their clients during this period which is particularly fraught with risks of underinsurance and indemnity periods.
Quote: “Claims inflation is the increased pressure over and above the normal inflation that drives up costs in terms of the settlement of claims. Traditionally, inflation has been pretty low; the Bank of England targets 2%, and it’s kind of been somewhere between 1 and 3%. Global factors and some local factors have been really influencing that, and we expect costs are now somewhere between 7 and 15%. That’s generally on the property inflation, and then casualty inflation, often can be linked back to things like how earnings are driving through, and potentially care costs as well.”
Resources: Risk Management guidance
References: Bank of England Monetary report
Run time: 10.37
About the guest:
Jeremy Trott, Claims Director at Ecclesiastical, has worked in insurance for over 25 years – holding various roles across underwriting, sales, innovation and claims. Starting as an underwriter at Commercial Union, Jeremy progressed through a variety of underwriting and account management roles before taking over running the Aviva sales and underwriting team in Maidstone in 2003.
He moved across to Allianz in 2006 to run both the local Sales and underwriting and Small business team before on the role in Innovation and Strategy in 2009. He did this for 3 years before becoming Claims Operations manager. After 8 years in this role and nearly 15 years at Allianz, he recently joined Ecclesiastical as Claims Director.
Jeremy is heavily involved at the CII – having sat on the Claims Faculty for 6 years before taking on the Chair in 2017. In 2019, as the faculty moved into the Society of Claims Professionals, he became its first Non-Executive Director.
About the host:
Adrian Saunders, Commercial Director at Ecclesiastical is responsible for delivering Ecclesiastical’s UK intermediated business. Before joining Ecclesiastical, Adrian held senior roles at Marsh, Zurich and Hiscox. Away from insurance, Adrian is a self-confessed cycling addict. Combining his passions for charity giving and cycling, he previously raised funds for charity by completing London Ride 100 three times and cycling across Vietnam and Cambodia.
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