August 21, 2018
Aon has advanced plans to create a new European hub outside of the UK which can contract with European clients on behalf of Aon to ensure continuity for its client’s post-Brexit, if necessary.
With the ongoing uncertainty surrounding Brexit, Aon’s plans to develop a new EU hub follows a growing number of UK insurers and reinsurers that have already, or are in the process of doing so.
Concerning Brexit, Aon has taken the stance of “prepare for the worst but hope for the best,” and states that it is working hard to ensure that in the case of a hard Brexit, disruption to its services and to its clients’ insurance programmes, is minimal.
Aon notes that the majority of the London market carriers that it works with have advanced plans to ensure their contracts are still valid post-Brexit, plans that recognise the wealth of expertise and capacity available in the London marketplace, but that also understand the need to comply with a new, post-Brexit regulatory environment.
Aon said: “We have developed our own Brexit continuity endorsement for use on programmes when we are not yet satisfied that a carrier has a robust solution, and a Brexit contingency product,”
At the same time, the broker’s market security team is paying close attention to carriers options, and is also prepared to remove carriers that it deems are not “adequately prepared” from its approved list.
Furthermore, Aon has been undertaking training of its brokers so that they do not agree carrier policy clauses that fail to offer the fullest continuity post-Brexit.