AMBER PERCIVAL: So can I start by asking, as we're constantly hearing about the competition that exists in the market at present and the effect this has on premiums, have you seen any significant appetite changes as a result of this?
OLLIE JAMES: Yeah, good question. And again, this is something that I speak about regularly with our underwriting partners. Renewal books are getting squeezed. And so we need to think of new ways in which we can keep that tank topped up. And so, I mean, there are obvious ways in which you can do that-- writing bigger lines. You can drop down programs, write a primary or first access to get a bit more bang for your capacity.
I think innovation is always a great way. If you're able to write an element of cover that another market is not able to, then that's going to give you a competitive advantage. Considering new product lines that you might not have done in the past. So just thinking, a very recent working example for myself is an insurance broker client of ours who renewal time came around. And a market who ordinarily would not have considered writing primary insurance brokers decided to break the mold on this occasion, quote the primary layer to great effect.
And something that's very close to my professional role is the idea of breaking into new territories. So world's a big place, clearly. And we're very good in London at servicing UK, North America, Europe, Australia, et cetera, et cetera. But there are lots of untapped opportunities out there. So I think that that's a very obvious and great opportunity for insurers to tap into.
AMBER PERCIVAL: Great. Thank you, Ollie. So staying on that last point, what do you feel insurers need to be doing to be effective in our new or underexploited markets?
OLLIE JAMES: Yeah, again, good question. So it probably works here actually if I just explain a little bit of my function within Willis and within the PI team. So as we all should by now, Willis is a huge global broker. And we've got retail offices throughout the world. And so if any of those offices want to approach London for a quote, then it lands on my desk. And the team that I work with facilitizes that.
It's really important to us, when we're considering new territories, et cetera, and we're dealing with different markets, that they have a firm understanding of the local requirements and regulations. Clearly, as a professional, I'll do my best to know what I can in that regard. But if an underwriter or an insurer has a strong understanding of the same, then it really helps grease that wheel.
Equally, I think there needs to be an element of flexibility when dealing with new marketplaces and new territories. These territories might have very different ways of doing business. It can be difficult getting the same levels of information, or it might be presented in a slightly different way. So I think that an understanding on the part of the insurer or the underwriter to just be a little bit flexible and dynamic in that regard really, really helps.
But the one thing that I really want to hammer home here is service levels. I mean, it can be quite a convoluted distribution chain as it is. And if it comes into me on day 1 and I'm not getting a response to my client until day 4, 5, 6, then that's just not good enough. I think we need to be able to turn around to my client within 24 to 48 hours with a meaningful response.
Now, when I say that, I don't mean a full set of bindable terms and conditions. But what we do need is we do need some feedback from the market that we can then go and present to our client, be it an understanding of whether or not it's an appetite, whether or not the terms and conditions fit, and, in an ideal world, an understanding of pricing. Then, at least that gives our producing brokers the ammunition that they need to go and have the conversation with their client.
And I think that if we can continue to do that, and this being a relationship industry that it is, if we can keep servicing our client base, keep servicing our client base, then it's not just going to be the sticky, horrible accounts that come across our desk. We're going to start seeing more and more of their renewal book. And I think that we can really start to gain some momentum, and that snowball effect really takes hold.
AMBER PERCIVAL: Great. Thank you, Ollie. What do you see the outlook being for local insurance markets in the next 12 months? And where are the opportunities for London insurers?
OLLIE JAMES: So what I'd say in the first instance is that local markets are still strong. So we're still competing with them on a regular basis. I think that one thing that we can do here in London is we can be innovative on our coverage offering, providing an element of cover that they can't. In the local market, standards are in great stead.
I also think there's an opportunity in terms of capacity players. So, quite often, local markets will cap out at, say, 100, 150, 200 million capacity. And whilst it might not be the sexiest proposition at this time, if we're able to provide capacity to the top of the tower with a view of watching the risk develop, getting to know the clients, getting to know their exposures, and then, in the years to come, creating a more meaningful primary first access, then that's a great way-- that's a great segue into an account.
And finally-- and this goes back to what I was saying about forming relationships with these producing brokers-- if we're able to see more and more accounts, get them across our desk, develop more data points, have a better understanding of the claims network, the individuals, the professions that exist in these places, then we'll be able to perhaps facilitize some of this and be able to perhaps facilitate some of this business so that we could provide a more long-lasting and permanent solution to our client base, be that a line slip in the first instance or whether it be a binder or, ultimately, give away a pen to one of our local colleagues, wherever that might be in the world. But I think that's a really good opportunity going forward for underwriters, insurers in the London market to get an inroad into local exposures.
AMBER PERCIVAL: Great. Thanks, Ollie. That's really interesting. My final question is, out of all the regions you work with and look after, where would you most likely want to travel to?
OLLIE JAMES: So that's a very good question. And the [? ASH ?] is coming up in Australia. I mean, I don't do a huge amount of Australian business. But I've still got, what, six months. I think it would be a good excuse for me to get down under, watch a bit of cricket, and meet a few colleagues out there. That'd be good for me.
AMBER PERCIVAL: That sounds like a great idea. Thank you so much, Ollie. That was really interesting. And we wish you all the best of luck. That's all we've got time for today. But please make sure to join in our next session of FINMAR Presents. Thank you, and goodbye.
