Insurance premiums are based on the insurer’s assessment of the risk being insured.

The factors used vary between insurance products.

What can affect the premium? #

Depending on the policy, insurers can consider:

• Occupation or industry
• Business activities
• Turnover or professional fees
• Number of employees
• Locations
• Project types and values
• Property or equipment values
• Claims history
• Insurance history
• Required limits
• Excesses
• Geographic exposure

Different types of insurance place more weight on different factors.

For example, Professional Indemnity Insurance may focus heavily on:

• Professional services
• Fee income
• Project types
• Qualifications
• Claims
• Required limit

Property insurance may instead focus on:

• Location
• Construction
• Occupancy
• Replacement values
• Security

Can broader market conditions affect premiums? #

Yes.

Pricing can also be affected by:

• Industry claims trends
• Reinsurance costs
• Inflation
• Natural catastrophe losses
• Insurer appetite
• Market competition
• Repair costs
• Legal and professional costs

The total amount payable can also include applicable taxes, government charges and broker fees.

Contact our team if you would like help understanding the pricing of your insurance.