AXA Vantage. Real Estate. Your guide to. mid-market. Real Estate

Transcription

1 AXA Vantage Real Estate Your guide to mid-market Real Estate

2 Contents AXA Vantage Our refreshed mid-market proposition...3 Why choose AXA for mid-market Real Estate?...4 What trades are we keen to write?...5 Our enhanced mid-market Real Estate proposition...6 How can our Risk Management proposition enhance the service you offer?...9 Claims Excellence and Transparency Value Added Services...14 Your key Real Estate contacts

3 AXA Vantage Our refreshed mid-market proposition What is AXA Vantage? We understand that when you place your client s mid-market business, you need more from your insurer than just a good product at a competitive price. AXA Vantage is our exciting sector specific proposition for midmarket commercial business between 10k and 100k. Here we outline the key components of our proposition which we believe demonstrate our significant appetite and expertise in mid-market. Branch Network Trading Tools Risk Management Claims Excellence Value Added Services Specialist mid-market knowledge across a variety of trade sectors. Unprecedented levels of empowerment to make decisions. Desire to support mutually beneficial tripartite relationships. A commitment to having a meaningful dialogue with you within 48 hours of receiving your mid-market enquiry. Our branches are empowered to apply a number of trading tools including: Exclusives Net Rating Low Claims Rebates Tripartite Service Agreements Long Term Agreements Risk Management Fund Flexible Instalment Plans Rate Stability Agreements. 50 in-house business resilience experts. 12 chartered liability specialist surveyors. 15 in-house specialists delivering motor fleet surveys. AXA is ranked 1st amongst its peer group of large composite insurers for mid-market claims service quality by Gracechurch Consulting. Dedicated Claims Relationship Managers. Trusted external partnerships. Transparent approach to claims. Comprehensive case level support to win and retain business. Range of technical training events for supporting brokers. Access to market-leading digital tools and apps. Support from Ignition (AXA s inhouse marketing agency). 3

4 Why choose AXA for mid-market Real Estate? We have proven expertise and experience in mid-market Real Estate. According to ABI net premium analysis, AXA became the 2nd largest Commercial Property insurer in the UK in This demonstrates our knowledge of the Real Estate market and our ability to provide you with the products and services that you and your Real Estate clients demand. We work closely with a number of recognised organisations and third party suppliers to broaden our knowledge and provide you and your clients with access to the best services and industry experts. Our aim is to provide support to you and your Real Estate clients by sharing valuable expertise and insight to achieve and maintain a successful partnership. Why should you place mid-market Real Estate business with AXA? Winner of Brokers Insurer of the Year 2017 at the UK Broker Awards. Real Estate specific underwriting expertise and knowledge. A desire to trade, with increased local empowerment to write, trade and provide tailored customer service. Valuable broker support and tailored Real Estate training available. Award-winning Claims service delivering award-winning initiatives. Ranked the largest insurer in the world by gross written premium by global ratings agency AM Best. AXA was one of the first insurers to achieve Chartered Insurer status from the Chartered Insurance Institute (CII) in AXA, ranked the No.1 global insurance brand by Interbrand from 2009 to

5 What trades are we keen to write? AXA Vantage / Your guide Guide to Our core mid-market Real Estate product, Property Investors Protection Plan, accommodates larger Real Estate risks with premiums of 10k and above. Here we give you an insight into our appetite to trade. When assessing risk attractiveness and risk selection, in addition to looking at your clients portfolio mix and type, we ll also consider other factors such as claims experience,construction details, risk management approach and geographical location. To help you place more mid-market business, we re being specific about what we want to write and how our decisions can be influenced. We have been really successful at finding solutions for most risks and recognise the benefit of sharing the factors that help us to do this. We re very keen to write more of these trades/processes Offices Retail Unoccupied Offices & Retail Residential Manufacturing involving: Wood, Plastics, Metal, Clothing & Textiles, Printing & Publishing Sprinkler protected risks We re interested but need more underwriting information from you All other Unoccupied risks Leisure Warehouses Manufacturing involving: Chemicals, Food & Drink Night clubs Casinos Purpose built student accommodation We would decline these trades/processes Recycling activities Commercial Laundries 100% Housing Association Holiday lets Non purpose built student accommodation Portfolios with a bias towards standard construction will always be favoured by us and our definition is as follows: For Properties built of brick, stone or concrete and roofed with slates, tiles, metal, concrete, asphalt or sheets or slabs composed entirely of incombustible mineral ingredients and plastic roof lights. We treat buildings constructed of metal panels and composite panels insulated with materials other than polystyrene as standard construction. That doesn t mean we will only write standard construction risks. We will need more information from you on risks of the following nature: Multi tenure risks (our preference is toward lightindustrial and office-type tenants) Mill type premises (our preference here is to write those that have been converted into residential) Modern Methods of Construction Listed properties We would decline this risk: Substantially timber construction For portfolios, we will take into account the mix of construction whereas you can expect us to be less keen to write stand-alone risks that fall into the above categories. For more information on our trading appetite or to discuss Real Estate risks, please contact your local AXA branch. 5

6 Our enhanced mid-market Real Estate proposition Our priority is to understand what you and your clients need. We recognise that each Real Estate client is different and we tailor our approach accordingly. That s why we ve shaped our mid-market Real Estate proposition to use our expertise to provide flexible solutions. This means that you ll get the right cover at a competitive price, all serviced to a high standard. Underwriting Approach Clear and stable underwriting philosophy which is aligned between Underwriters and Risk Control Surveyors. Significant capacity available to accommodate 100% placements (no need for coinsurance support but we can write on this basis if required). To customise our offering (where appropriate) to incorporate rate stability agreements, profit share, risk management funds and a provision for tenant challenges. Flexibility around allocation of tenant premiums. Policy Wording Clear, warranty and jargon-free policy wording, designed to transfer balance sheet exposure from Real Estate clients to AXA. We have structured our Automatic Cover (newly acquired properties) limit to provide a first loss limit of 5m irrespective of occupation type this means that when a new acquisition is notified, your clients have the comfort of knowing they are protected up to this limit in the event you cannot contact us Similarly, we provide a 5m limit for Inadvertent Omission to Insure to protect you in the event that an asset has been uninsured. Flexibility to adapt to changing market needs (e.g. legislation and emerging risks). 6

7 Our mid-market Real Estate proposition Our core mid-market Real Estate product, Property Investors Protection Plan, has been designed with your mid-market clients in mind and accommodates larger risks with premiums of 10k and above. Property Investors Protection Plan Our Real Estate product is tailored to satisfy the needs of your mid-market clients. We have the ability to underwrite a number of properties and risk types, ranging from pure commercial risks to mixed portfolios and residential risks. Underwriting terms are bespoke to the client needs and can incorporate rate stability agreements and flexible commission rates. Flats This product is designed for blocks of flats, whether stand-alone or portfolios. It is average-free and provides All Risks cover as standard and is aimed at Residents Associations and Residential Management Companies. Landlords Our etraded product is designed for Real Estate clients who own small residential, commercial or mixed portfolios of up to 10 properties, with a maximum rebuild Sum Insured of 5m Declared Value for any one property. To give you the flexibility you need, you can amend your commission rates between 0% and 40% to help you compete on price. Variable excesses are also available. 7

8 Our mid-market Real Estate proposition product overview Our Property Investors Protection Plan product is designed with your mid-market clients in mind. The information below is not comprehensive but provides a flavour of some of the covers, limits and options available as part of our offer for mid-market clients. For further information on our Property Investors Protection Plan product, please contact your local AXA representative or visit axaconnect.co.uk to download a full summary of cover. Buildings All Risks cover subject to certain exclusions included as standard Condition of average waiver included as standard Day One average cover, up to declared value +35% Environmental cover, up to 500k for any one building Eviction of squatters expenses cover, up to 15k for any one loss Explosion of steam pressure plant cover, to 1m, in excess of 1m provided by an engineering policy Fly tipping costs, up to 5k for any one loss and 30k any one period, 1k excess Illegal cultivation of drugs cover included as standard Liability under Landlord and Tenants Covenants Act 1995 (Privity of Contract) cover, up to 2m over Buildings and Rental income in total and in aggregate Loss of investment value cover, up to 500k for any one claim Value added tax (VAT) cover included as standard Supplementary covers Automatic cover (newly acquired properties) cover, up to 5m in total for Buildings and Rental income Capital additions cover, up to 5m in total for Buildings and Rental income Failure of other insurances cover, up to 5m in total for Buildings and Rental income Inadvertent omission to insure cover, up to 5m in total for Buildings and Rental income Multiple insureds cover included as standard Reduction in freehold or leasehold value following alteration in planning consent cover, up to 500k in total for Buildings and Rental income Rental income Denial of access cover, within 5 miles of the premises, 48 hour franchise applies Loss of attraction cover, up to 250k per premises and in the aggregate Murder, suicide or disease cover, up to a 25 mile radius of the premises, 3 months indemnity period Payment of rates cover for unoccupied buildings of up to 25k for any one loss and 50k in the aggregate Public liability Property owners liability limit of indemnity, up to 2m for any one event Bodily injury as a result of the growth of biological agents in water systems (Legionella) cover, up to 1m for any one period of insurance Environmental clean up cover, up to 1m for any one period of insurance Financial loss cover, up to 250k any one period of insurance subject to 10% coinsurance, minimum 2.5k contribution, maximum 10k contribution Libel and slander cover, up to 250k any one period of insurance subject to 10% coinsurance, minimum 1k contribution Manslaughter costs cover, up to 1m for any one period of insurance Terrorism cover, up to 2m for any one period of insurance Employers liability Employers liability limit of indemnity, up to 10m for any one occurrence Terrorism Damage caused by terrorism, sums insured shown under the individual section 8

9 How can our Risk Management proposition enhance the service you offer? Our Risk Management team is highly experienced in all aspects of Real Estate Risk Management. What we can offer you Specialist People 50 Business Resilience experts located throughout the UK supporting single, multi-site or European location programmes. 12 chartered liability specialist surveyors with Level 3 food safety qualifications, 90% of the total survey team hold formal Health & Safety qualifications. 3 fully trained and qualified sprinkler engineers that are backed up with an additional 10 team members who can also undertake annual sprinkler testing. One of the most experienced loss prevention teams of any UK insurer with more than 875 combined years of experience. Specialist Service You will have the same Business Resilience Manager expert for the duration of your policy which means that we can respond quickly to any process modifications or location changes your business may encounter. Bespoke specialist services to provide high quality risk solutions, such as electrical inspection, reinstatement valuations and protection of vacant buildings. We offer advice on areas such as fire, business interruption, weather, security, motor and liability risks. Our 15 in-house motor fleet specialists make things easy for you by delivering standalone or combined surveys. Clients can access a multitude of online assessments and training courses as well as a legal helpline where all advice is provided under privilege. 9

10 Risk Management in action Unauthorised festive rave case study On Friday 30 December a VPS Alarm was triggered at approximately 9pm when a group entered the insured property through a fire door. In response to this incident, the following actions occurred which helped protect the property and avoid a large claim: The police were alerted and a VPS response team was sent to inspect VPS were on-site 42 minutes later. They encountered a highly organised group setting up equipment for an illegal rave whilst claiming squatters rights under Section 6 of Criminal Law Act of 1977 Over 2,500 tickets had been sold for the rave at 25 each and the group had wired their sound equipment into electrical system VPS installed four guards to monitor the situation throughout the night of 30 December On New Year s Eve, VPS managed to coax the organiser from the building enabling the police to make an arrest VPS stepped up security to eight security guards and revellers arriving for party dispersed peacefully The guards remained on site until 4 January to ensure the property was fully protected. 10

11 Risk Management in action Large escape of water case study The following case study demonstrates our ability to work with the broker and the client to tackle the market issue of escape of water and to put in place tailored risk management solutions to protect valuable blocks of flats. The property in question was a modern block of flats in Westminster each having a sale price of in excess of 1,200,000 Two large escape of water claims were submitted, each in excess of 300,000 Deductible of 250,000 to be added to the policy from renewal During the installation process the system was activated on three occasions proving its reliability and worth with no claims intimated AXA agreed to reduce the deductible on completion of the installation and commissioning works. AXA s Risk Management team worked with the broker and the building owner to identify and suggest remedial actions AXA introduced their specialist partner, LeakSafe Solutions, to design a bespoke escape of water protection system including water cutoff valves and remote warning messages An automatic solution was agreed with a cost estimate of 1,000 per flat 11

12 Claims Excellence and Transparency Our award-winning Claims service Our dedicated Claims Relationship Management team truly understand your clients needs in the event of a claim. This is the service you can expect from AXA if one of your Real Estate clients needs to make a claim: Services We give you 24hr/365 days a year access to claims assistance with an easy and flexible notification process. You will have access to our trusted external (local and international) partnerships including solicitors, loss adjusters and mediation specialists. By teaming up with Feefo, your customers can publicly post their rating and comments online about the service and experience they received from AXA when making a claim. Making Claims Clear is our award-winning transparency initiative. We ve developed a library of documents to help your customers understand what is and isn t covered by our policies. People We have an award-winning Large Loss team as well as dedicated Claims Handlers who deal with specialist Real Estate schemes. Your dedicated Claims Relationship Manager will ensure the smooth-running of the account. Universally accredited fraud technical experts with recognised qualifications within the insurance and anti-fraud industries. We have a nationwide network of 36 AXA Claims Inspectors handling 90% of all liability injury claims investigations. Our Inspectors have, on average, 23 years of insurance or legal experience. Tools We ll supply you with bespoke monthly claims MI, enabling us to analyse performance and trends around an individual client s claims portfolio. eserve, our online Claims tracking tool, allows you to see how your customer s claim is going, as it s going. Faster payments pays within 2 hours when a settlement is made directly to our policyholders bank account to reduce inconvenience and enhance customer service. In 2016, we dealt with 1,500 high value complex claims with a combined value of 850m. 80% of claims handling staff have a CII professional qualification. Over 1,200 brokers have access to our eserve portal. In 2016, we settled 19% of property claims within 24 hours under our One & Done process. AXA staff who are handling large loss claims have an average of 22 years of insurance experience. Over 130,000 payments have been processed using Faster Payments Insurance Times Awards Claims Initiative of the Year 2015 CII Public Interest Awards Best Campaign in the Public Interest (Marketing or Advertising) category Claims Transparency 2015 British Insurance Awards Insurer Claims Initiative of the Year 2015 National Agile Awards Best Agile Team, eserve Claims team 12

13 Claims case study: Flood On 5 December 2013 at approximately 9.15pm the premises occupied by tenants East Coast Cinemas Ltd as a four screen cinema complex flooded. The flood waters dislodged the folding entrance doors at the front of the cinema and inundated the interior. The landlord requested the tenant representative be used as the main point of contact for the claim given the focus on the tenant s potential loss of revenue. At the outset, AXA recognised the importance of getting the cinema reopened as soon as possible to allow it to trade during the peak school holiday period. The usual background financial checks were undertaken quickly and with the assistance of underwriters and Ipswich Branch, policy liability was agreed just eight days after the flood giving the client peace of mind that he had our full support. A first interim payment of 30,000 was processed at the same time enabling the tenant to pay outstanding staff wages. A further interim payment of 40,000 was made less than a month later allowing the tenant to keep up the momentum of the reinstatement. business disruption. This included managing the reinstatement by reopening the less affected screens and projectors pending full reinstatement of the whole cinema. With three of the four screens open for business by mid- February, the tenant was just in time to catch the half term peak trade. It was agreed that the reinstatement proceed on the basis of an agreed scope of works prepared by GAB Robins Surveying Services and priced by nominated contractors. This avoided the need to put the work out to tender, saving an estimated two months for the tenant. In the immediate aftermath, and before liability was agreed, AXA instructed Davis French, a disaster response and damage management consultant, as the specialist drying expert who surveyed and supervised the drying contractors to undertake very early strip out and drying out. AXA and GAB Robins considered various options to take pragmatic measures and to reduce 13

14 Value Added Services We ve introduced a host of additional services for brokers who are actively committed to working with us to grow our mid-market Real Estate book of business. It s not just brokers who benefit; clients will also have access to a range of valuable services. Business Interruption Calculator Designed to simplify a BI sum insured/limit of indemnity periods. Can be used by the broker or the client/accountant. Client Value added services support for the right risk Risk bursary to support agreed risk control improvements or training needs Rate stability agreements rewarding the client risk management programme Preferential instalment plans to support cash flow planning Broker value added services support for the right risk Extensive support will be made available to all brokers to secure the right Real Estate mid-market case: AXA risk control/broker pre-quote on-site customer review Prior to the provision of underwriting and trading terms this enables your customer to meet with a local AXA Risk Control Surveyor to better understand our pragmatic approach to risk management. Involving the customer from inception has proven to increase conversion through better pricing and more certainty regarding the suitability of their current risk management programme. Unoccupied buildings/vps specialist protection services which can widen cover available and reduce on going third party security costs (average security guard costs 1,500 per week). AXA has an exclusive agreement with VPS meaning clients can protect vacant buildings from as little as 89 per week. The minimum contract period is 1 week whereas standard practice is a minimum of 8 weeks LeakSafe Solutions keeps premiums down by reducing claims frequency and severity British Gas Electrical Inspections for both legal. Riskhelp designed to assist UK businesses to gain a better understanding of their legal responsibilities, common business hazards as well standard market business insurance policy wordings. 14

15 Value Added Services Grow your people (CII accredited structured learning) Supporting mid-market brokers will have access to a range of additional benefits designed to develop your people: Mid-market Real Estate specific technical, risk management and claims training plus regular market briefings Local team skills training on topics such as price negotiation, customer segmentation and contact planning Access to leadership training events such as our popular leadership seminars in Bordeaux, Paris and the UK Funding support for CII Regional Broker Academy workshops (with top up funding if also Chartered) Invitations to mid-market specific broker events and seminars with access to the Senior AXA Leadership team. Grow your business (Delivered by Ignition NBS Ltd.) Supporting mid-market brokers will have access to a range of additional benefits designed to develop your business: Subsidised access to new AXA digital tools such as the awardwinning endcustomer.co.uk, which provides brokers with real time desktop access to a range of client data sets to help you profile and win customers Access to data and profiling services to help validate and enrich your local mid-market pipeline and undertake joint prospecting Marketing consultancy and execution across the complete range of marketing services, including; lead generation, training, web and social media design and build, video production, creative design services such as brand or campaigns/print solutions and access to the Ignition CRM bulk campaign tool AXA Real Estate specific marketing campaigns. AXA Vantage app We ve developed a new mobile app which offers you personalised news and knowledge at your fingertips. The AXA Vantage app is available to download via the App Store for free. The Vantage app offers you multiple benefits, including: Rolling news from a range of UK industry sectors including Real Estate A My news section to personalise your experience and only see the industry news that interests you The latest insurance trade news Keep up to date with the latest AXA Vantage developments Refreshed content every 15 minutes, so you ll never miss the latest stories Users can share articles by , Facebook and Twitter Favourite interesting articles to read at a time that suits you. Apple and the Apple logo are trademarks of Apple Inc., registered in the U.S. and other countries. App Store is a service mark of Apple Inc., registered in the U.S. and other countries. Download the app today via the App Store. Search AXA Vantage 15

16 Your key Real Estate contacts Our branches want to talk to you about AXA Vantage. To discuss specific midmarket Real Estate opportunities, please contact your local branch specialist. Leeds Branch Phil Sellars National Trading Centre Bolton Andrew Chamberlain Manchester Branch Victoria Leonard Birmingham Branch Jo Walker Bristol & Cardiff Branches Stuart Maker Scotland Branch Ross McNicol Newcastle Branch Sian Mullane Ipswich Branch Toby Points Reading Branch Suzi Clapshaw Maidstone Branch Stuart Daffin London Branch Lauren Shaw

17 AXA Vantage Real Estate AXA Insurance UK plc Registered in England and Wales No Registered Office: 5 Old Broad Street, London EC2N 1AD. A member of the AXA Group of companies. AXA Insurance UK plc is authorised by the Prudential Regulation Authority and regulated by the FinancialConduct Authority and the Prudential Regulation Authority. FCA number Telephone calls may be monitored and recorded.