Over 60% of insurance industry professionals have lost faith in the EU yet still want to remain

Survey reveals disconnect between personal and corporate opinion on EU referendum

Almost two thirds of insurance professionals have admitted to a crisis of confidence over Britain’s membership of the EU, with 61% of industry employees testifying a ‘loss of faith’ in the European Union. Despite this, 62% of the same industry professionals believe that total divorce from the European Union would be too drastic a solution. What is more, 68% think leaving the EU would harm the London insurance market.

The results were gathered at a debate event entitled “Brexit: Dawn of a new era or the beginning of the end for the UK insurance sector” by Moore Stephens on 8th June. The seminar was held at Balls Brothers and attracted over 140 attendees. Snap polls of attendees offer an insight into the view of professionals across the industry – from brokers and underwriters, to other industry advisors.

The event follows a recent Brexit survey conducted by Moore Stephens, which revealed that over a third of industry professionals disagree with their employer’s corporate stance on Brexit.

According to the survey, 40% of employees in the insurance sector do not share the same view as their employers on leaving the European Union, unveiling a disconnect between personal and public opinion throughout the industry.

However, the industry appears to agree on the need to roll back the level of EU regulation. Event polls reveal that 71% of seminar attendees believe that too much regulation that remains out of their control stems from the EU.

Paul Latarche, Head of Insurance Sector Group at Moore Stephens; commented on the results: 

“The looming EU referendum has generated heated debate across the UK and in the insurance industry, which was aptly reflected throughout our Brexit seminar. The insurance industry is evidently deeply conflicted about the future of Europe; however there seems to be a strong belief that a Brexit would negatively affect the UK insurance market.

“It seems unlikely; however, that Brexit would spell regulatory bliss for insurers. A wholesale rollback of regulatory pressures originating from the EU after a ‘leave’ vote is unlikely. For instance, major European-level initiatives such as Solvency II have already been incorporated into UK law. Ultimately, though, it seems clear that whilst industry professionals may have lost faith in the EU, they are united on acknowledged the negative effects of a possible Brexit.”