CETA Director, Adrian Waters, explains: “An analysis of our MPPI sales over the past 5 years shows that retention levels on MPPI are higher than any other form of general insurance product. Nearly 50 per cent of all MPPI cover written in 1998 is still on the books and that figure rises to over 70 per cent for policies written in 2001.
“This is a product which clients can cancel at any time and the high retention figures indicates that it is providing peace of mind at a competitive price. This is good news for brokers, who receive renewal commission every year the policy remains in force – something you don’t get with mortgage procuration fees!”
CETA’s analysis also shows that, despite insurance rates falling during the past 5 years, the average monthly premium has risen from £18.54 in 1998 to £26.31 in 2004. This is due to the increase in the average mortgage advance during the same period.
CETA writes more than 5,000 general insurance policies per month and currently provides insurance cover for over £4.25 billion worth of domestic property. CETA’s product range includes: buildings and contents, MPPI, life assurance, liability, legal protection, travel, commercial and pet insurance. Many of the insurance products have been specifically rated to ensure they provide excellent cover at competitive prices and CETA members receive both initial and renewal commission on all business.
Brokers requiring further information about the services on offer from CETA can either phone 0845 456 1447 or visit its website at www.ceta.co.uk
