As thousands of international students arrive in the UK for the new academic year, many will be looking for their first vehicle and, crucially, motor insurance. While these customers can present underwriting challenges, specialist schemes can help brokers access solutions for what is often an underserved market.
We spoke with Marc Watson, Schemes & Affinities Product Manager, about the opportunities for brokers and how specialist schemes are helping international customers get on the road.
Is this a particularly busy time of year for international motor insurance enquiries?
Absolutely. August to October is traditionally one of the busiest periods for international customer enquiries. While many people think of international students arriving for university, we're also seeing professionals, expats and other globally mobile workers relocating to the UK for roles in healthcare, technology and financial services.
Many need access to transport quickly, creating a seasonal increase in demand for motor insurance solutions.
Why can international customers struggle to obtain cover?
Many international customers don't fit neatly into standard motor insurance rating models.
They may have extensive driving experience internationally but little or no UK insurance history. They may also be driving on an international licence or have only recently exchanged it for a UK licence.
This can make placement more challenging through standard markets and often means brokers need access to more specialist underwriting solutions.
What about international professionals?
That's where we've seen particularly strong demand.
Many international professionals, including expats and globally mobile workers, arrive in the UK under skilled worker routes and need motor insurance shortly after arrival. Despite often having significant driving experience, they can fall outside standard underwriting models due to limited UK history.
Many are also members of professional associations, industry bodies or affinity groups that provide support and benefits to individuals relocating to or establishing themselves in the UK.
Having access to a specialist scheme can help brokers find solutions for customers who may otherwise be difficult to place. How do specialist schemes help?
Specialist schemes are designed to cater for customers who don't always meet standard market criteria.
Our International Professionals Scheme is tailored for customers who are new to the UK and may have limited UK driving or insurance history. It provides brokers with access to specialist underwriting expertise and an alternative route for risks that may not fit mainstream products.
What should brokers be doing now to make the most of the opportunity?
The key is recognising that this isn't just a seasonal student market.
Alongside the autumn influx of international students, professionals, expats and other internationally mobile individuals continue to relocate to the UK throughout the year. Brokers should look to build relationships with specialist underwriting partners that understand these customer needs and can provide consistent support as demand grows.
When placing more complex risks, certainty matters. Working with specialist underwriters who know your business, take a consistent approach to decision-making and are backed by Lloyd's can help brokers place risks with confidence and deliver better outcomes for their customers.
What trends are you expecting over the coming months?
We expect demand to remain strong as universities complete their intake periods and businesses continue recruiting internationally.
For brokers, the opportunity is making sure they have access to the right underwriting partner. As international students, professionals and other globally mobile customers continue to grow as a market segment, specialist schemes will remain an important solution for risks that fall outside standard criteria.
