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Procurement Market Intelligence Report

Building & Contents Insurance Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Building & Contents Insurance?

What is the average price of Building & Contents Insurance?

This procurement report includes pricing information to help you purchase Building & Contents Insurance. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Building & Contents Insurance been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Building & Contents Insurance yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Building & Contents Insurance?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Building & Contents Insurance with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase Building & Contents Insurance?

About 42,000 providers operate in the building and contents insurance market, including direct insurance carriers, agents and brokers. Market share concentration is low, with the top four providers accounting for less than 30.0% of total revenue. As a result, no single firm controls the majority of the market and competition... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Competition

Have you completed any acquisitions in the past three years? If so, how did these affect your business? Do you plan on completing any acquisitions in the next three years?

How do you differentiate your services to attract and retain buyers?

How have you developed your reputation?

What is your client turnover rate? What policies do you have in place to reduce client turnover?

What strategies do you use to take advantage of the growing number of businesses?

Value-Added Services

If I bundle insurance policies together, what type of discounts am I eligible for?

Do you recommend I purchase an umbrella policy? If so, why, and how will it benefit me in the long term? How much would this cost me?

What other policies do you recommend based on my business size and market? Why?

What type of value-added services do you offer, if any?

What partnerships do you have, and how do your clients benefit from these partnerships?

What services are included in the basic price I pay for the insurance policy?

Financial Strength

What are your credit ratings from A.M. Best, Standard & Poor’s and Moody’s?

Have your ratings changed in the past three years? If so, how has this affected your pricing?

Have you ever failed to pay benefits to a policyholder due to poor financial health?

How do you reduce your risk of bankruptcy?

Do you rely on reinsurers to pay your obligations? If so, what are their financial strength ratings?

“Sending out RFPs used to be a nightmare”

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Key elements for every RFP

What should my Building & Contents Insurance RFP include?

Project Budget

Buyers should explain what their preferred premium is.

Buyers should include their preferred deductible and limit amounts.

Buyers need to detail what their expectations for payment schedules are.

Buyers can consult the pricing information in the Benchmark Price section of this report to determine about how much they should pay to insure their property.

Selection Criteria

Buyers should evaluate vendors based on their financial strength.

Buyers should consider the experience and qualifications of vendors.

Buyers should evaluate the customer service support provided by vendors.

Buyers should assess vendors based on their references.

For a detailed outline of the key criteria buyers should consider when evaluating potential providers, see the Buying-Decision Scorecard section of this report.

Buyers may consider including an evaluation matrix to score potential providers.

Project Schedule

Buyers need to include the exact dates that they expect coverage under the policy to begin.

Buyers should include the preferred renewal schedule for coverage.

Buyers should indicate their preferred contract length.

Buyers should provide a list of all relevant solicitation milestones, such as submission deadlines and notification dates.

Evaluate major factors to mitigate risk

How risky is the Building & Contents Insurance supply chain?

Supply chain risk for building and contents insurance has been moderate in the three years to 2019. This level of risk indicates that providers could potentially encounter unexpected expenses due to disruptions in their supply chains. Consequently, they may be less willing to negotiate on prices, thus weakening buyer power.... Subscribe to learn more.

HIGH

MEDIUM

LOW