What’s on the horizon for motor?

Mark Bacon, of ERS, weighs in on the thorny issue of motor rates and the risk to brokers of providers pulling out of the market or collapsing.

Last week's announcement that Gibraltar based Horizon Insurance (which underwrote motor policies through its Octagon brand) was ceasing to renew or write new business has further laid bare the strains of trading in UK motor market.

The stated reason for the exit was uncertainty over Brexit. However, considering its net combined ratio was 169.7% in 2015 and 168.1% in 2014, and with a static 0.5% market share it would not be illogical to suggest that performance had been poor.

The liquidation of