The NCC (National Caravan Council) have reported big changes in the leisure vehicle market. As per the latest statistics, the sales of new motorhomes for 2017 (from the beginning of 2017 till the end of June) has increased by 14% compared to the same period last year.
To be precise; 13,162 new motorhomes were registered between the start of July 2016 and the end of June 2017 compared to 11,559 in the same period across the previous 12 months. This is the first time in history that the sales of motorhomes in the UK has exceeded 13,000 in a 12-month period. This rise in sales is great news for insurance brokers as it opens more avenues to expand businesses.
Even though increasing demand for motorhomes benefits insurance brokers there are also some drawbacks that brokers should be aware of. For instance, this is a niche market and as such poses specific risks and benefits, all brokers need to work with motorhome insurance brokers who experts in the field and can offer advice and guidance on placing the business.
The increase in demand has created a large area of potential growth for brokers who have yet to explore this area of the leisure market and the increase of brokers working with motorhome specialist insurers is expected to continue to rise with the market for motorhomes.
As the summer has come to an end the demand for motorhomes and motorhome insurance will start to decline, however with the market being so lucrative right now brokers should still see opportunities during the winter months and be prepared for the season to begin in February – March.
You can keep expecting this growth as the European motorhome industry is trying its best to provide their customers with more state-of-the-art and trendy recreational vehicles that too at great prices. Also, the NCC states that, the younger generation are finding van conversions appealing. According to them a recent survey of UK dealerships shows that, around 20% of the dealers confirmed that they were seeing younger buyers purchasing motorhomes.
This means as insurance brokers you will have to widen your audience and manoeuvre your business strategies accordingly if you don’t want to miss out on this changing trend.