Beyond Price: What Really Drives Commercial Motor Placement Decisions

When it comes to commercial motor insurance, price will always matter. But our latest broker research suggests that claims service and ongoing support are becoming just as important, if not more so, when brokers decide commercial motor placement . 

We recently surveyed commercial motor brokers to understand their views on the wider market and the challenges facing fleet insurance today. The results paint an interesting picture of a market that appears to be stabilising, while placing greater emphasis on service quality and operational performance. 

Signs of a More Balanced Market 

Broker feedback suggests the period of significant pricing volatility may be starting to ease. 

Over the past three months: 

• 33% of brokers reported fleet premiums reducing at renewal 

• 33% said rates had remained flat 

• The remainder experienced premium increases 

Looking ahead, expectations are mixed. Similar numbers of brokers expect rates to either soften or increase during the next six months, while almost a quarter anticipate little change. 

This suggests the market is moving towards a more balanced rating environment, where factors beyond price are playing a larger role in decision-making. 

What Influences Placement Decisions? 

One of the clearest findings from the research was what brokers prioritise when premiums are broadly comparable. 

More than two-thirds (67%) said claims handling quality and risk management support are the factors most likely to influence where they place business. These ranked ahead of policy wording, underwriting turnaround times and digital trading functionality. 

This highlights a shift in focus from simply securing the lowest premium to ensuring customers receive the support they need when issues arise. 

Claims Service Is Now Business Critical 

The importance of claims handling became even more apparent when brokers were asked about selecting insurer and MGA partners. 

Nearly three-quarters (72%) described claims service as "business critical" when choosing commercial motor markets. 

For fleet operators, vehicle downtime can have a significant impact on day-to-day operations. As a result, brokers increasingly value insurers and MGAs that can provide clear communication, efficient claims handling and a dependable service experience. 

Strong claims support doesn't just benefit customers at the point of claim, it helps brokers build long-term relationships with clients and maintain confidence in the products they recommend. 

Where Brokers Want to See Improvement 

The survey also explored what brokers believe insurers and MGAs could do better to help them win and retain fleet business. 

The two most common responses were: 

• Faster and clearer claims updates 

• Greater flexibility around mid-term adjustments (MTAs) 

Both were selected by 28% of respondents. 

These findings reflect a growing demand for simplicity, transparency and ease of trading. As fleet customers continue to face operational pressures, brokers are looking for partners that can minimise disruption and provide greater certainty throughout the customer journey. 

Our View 

Our Claims Director, Carl Cripps, commented: 

“The findings demonstrate that brokers are becoming increasingly pragmatic about pricing conditions, but far less tolerant of poor service delivery. When premiums are broadly comparable, the differentiator increasingly comes down to how well insurers and MGAs support brokers and customers when it counts - particularly during the claims process. 

Brokers want responsiveness, transparency and confidence that issues will be handled quickly and properly. That is especially important in haulage, where delays, downtime and poor communication can have a direct operational impact on customers’ businesses. 

Brokers are thinking more about long-term trading relationships, consistency of service and how easy a market is to deal with day-to-day. For MGAs and insurers alike, there is a real opportunity to differentiate through service delivery rather than simply competing on price alone.” 

Looking Ahead 

As the commercial motor market continues to evolve, the message from brokers is clear: competitive pricing remains important, but service quality is increasingly becoming the deciding factor. 

For insurers and MGAs, the opportunity lies in delivering a responsive, transparent and reliable experience - particularly at claims stage. In a more balanced market, it's often the quality of service, not just the cost of cover, that determines who wins and retains business.