The rise of new insurance players in an incumbent market

New Zealand’s insurance market has traditionally been made up of well established, large-scale incumbents; however, it has recently seen a growing number of new, smaller players offering niche specialisms and competing against certain areas of the big companies’ businesses. Underwriters such as Ando, Delta and Cove and others have hit the market in recent years, offering a different kind of insurance service to their client base whether that be in terms of product, or in terms of its distribution method. According to Michael Vine, head of insurance research for S&P Global Ratings, the market for these smaller players is potentially very strong, though they will also face greater hurdles compared to their established counterparts when it comes to dealing with issues like regulation.