Is Your Insurance Strategy Still Fit For Purpose? Why Now Is The Time To Reassess

The market has decisively shifted, key classes of business are now operating in a soft market after enduring years of hard conditions marked by rising premiums, stricter underwriting, and constrained capacity.

Whilst this presents a moment of risk and uncertainty, it also offers an opportunity. Insurers must now grapple with steeper competition, lower premiums, and broader coverage options – meaning they need to show what additional services they provide outside their policies.

Competitive pricing matters, but it’s also important to ensure you’re on the right programme – with comprehensive coverage and expert guidance. Here’s why now is the perfect time to reassess your insurance strategy.

What is a soft market, and why does it matter?

A soft market is a period of aggressive competition among insurers. As premiums fall, underwriting becomes more flexible and coverage terms improve. That means businesses can take advantage of:

1. Lower costs for the same (or better) protection
2. Access to broader coverage and fewer exclusions
3. Opportunities to lock in long-term agreements at better rates

But while it’s easy to feel spoiled for choice, not all insurers are made equal. So if you prioritise chasing the lowest premium without considering the long-term value or reliability of your provider, you could be left exposed.

Insurance brokers – more than just middlemen

In a soft market, the role of the broker becomes even more critical. They’re the ones who drive the best results – not just the market conditions. A good broker should help you

1. Make strategic decisions by identifying insurers who offer real value beyond low prices
2. Tailor coverage to your actual risks, avoiding generic or cookie-cutter solutions
3. Identify additional services that might be available with your policies, like in-house cyber services or survey reports for property and contents
4. Engage early and proactively to secure the best terms before renewal deadlines
5. Fight your corner in claims scenarios, making sure you get the support you need when it matters  most
   

What’s more, they keep tabs on your business as it grows – ensuring your insurance not only keeps pace but actively supports your next moves.

What your business should be doing now

Even if you have a policy in place, you can still take advantage of the soft market conditions. Here’s how:

1. Review your current coverage: Are there gaps, overlaps, or outdated terms?
2. Benchmark your premiums: Are you paying more than the market average?
3. Assess your broker’s performance: Are they proactive, strategic and aligned with your business goals?
4. Explore long-term agreements: Locking in favourable terms now can protect you when the market hardens again.
5. Consider insurer quality: Price is important, but so is claims support, risk management tools and responsiveness.

Don’t wait for the market to harden

Soft markets don’t last forever. Economic shifts, claims trends and regulatory changes can quickly reverse the cycle. The businesses that act now – reassessing their coverage, strengthening broker relationships and locking in value – will be better positioned for whatever comes next.

And the best way to take advantage of today’s market conditions? With Capsule by your side.

Why Capsule? Why now?

Capsule was built to challenge the status quo in commercial insurance. Combining deep market insight with a client-first approach, we help businesses make smarter decisions – not just cheaper ones.

We’ll work closely with you to understand your business’ risk landscape, design a bespoke insurance programme, connect you with insurers who offer real value, and provide support beyond renewal season.

For us, insurance is a strategic asset. And in a soft market, the businesses that treat it that way will come out ahead. Get in touch today to be proactive about your cover.