North West chemicals companies could cut insurance spend by 20% 

North West chemical companies could be overspending on insurance by as much as 20 per cent.

This is one of the findings of Liverpool-based insurance lawyers O’Connors LLP and insurance consultants idRisk Advisory Limited, who have been working together to help companies who wish to select and appoint the perfect insurance broker for their needs.

The two firms have developed a set of unique performance assessment tools to help insurance buyers benchmark their current broking support against industry market leaders in a way that is capable of satisfying the most rigorous corporate governance standards.

Nigel Wallis, partner with O’Connors, said: “Companies, both public and private, as well as public sector organisations are increasingly turning to us to help them create perfect insurance broker partnerships.

“Our experience has shown that, with the right intervention, chemical companies within the North West could be saving as much as 20 per cent of their current insurance costs. This is not to be sneezed at in the current climate.”

A recent insurance broker review project handled by the team enabled NSG Group – Pilkington Group’s Japanese parent - and its existing brokers to identify significant cost efficiencies and enter into a new long-term service agreement incorporating measurable key performance indicators.

For many incumbent brokers, benchmarking exercises present a valuable and confidential opportunity to understand better their customers’ changing needs, adapt their service delivery and secure their contractual position going forward.

Stephen Mooney, of idRisk, said: “We have seen, at first hand, brokers embracing the review process and achieving greater levels of customer satisfaction. This tends to reduce the frequency with which customers look to change brokers and, over the long-term, improves profitability for all concerned.

“Worthwhile savings can be achieved by well risk managed companies of all sizes but the most astonishing results we are seeing are amongst the £30 million plus turnover businesses.”