What should brokers evaluate to determine if coverage is available in the admitted market?

To determine if coverage is available in the admitted market, brokers should evaluate the type of risk and insurer appetites. The admitted market consists of insurers that are licensed to operate in a specific state and must adhere to the insurance regulations of that state, including rates and underwriting guidelines.

By understanding the type of risk that needs coverage, brokers can match it with the specific appetites of insurers. Each insurer has a unique approach to risk, with some being more inclined to cover certain types of risks than others. For instance, one insurer may specialize in commercial property, while another may focus on workers’ compensation or auto insurance.

Evaluating the risk types ensures that brokers can identify which insurers are likely to take on that risk and provide competitive quotes. This process is crucial in helping clients find suitable coverage within the admitted market, maximizing the chances of securing needed insurance solutions.