This article was submitted by BCMG, an insurance brokerage

AS Jamaica enters the 2025 hurricane season, businesses and individuals are under renewed pressure to ensure their insurance arrangements are not just compliant, but resilient.

With stabilised premium rates, increased scrutiny on underwriting standards, and growing concerns around underinsurance, navigating the insurance landscape requires more than just coverage, it requires expertise.

“The market has undergone significant adjustments over the past few years,” says Ian Miller, chief technical director and compliance officer at BCMG Insurance Brokers, and who has over 40 years of experience in the industry. “The sharp rate increases driven by global reinsurance pressures have largely levelled off. That said, insurers are now more focused on maintaining underwriting discipline, especially our higher-risk properties like those located along the coastline.”

Reinsurance capacity, according to Miller, remains available but disciplined. “There’s a smaller pool of reinsurers willing to commit to the Caribbean, and they’re using increasingly sophisticated catastrophe modelling to assess exposure,” he explains. “Jamaica’s relatively good claims’ record in past years doesn’t eliminate the risk — if anything, it emphasises the need for balance sheet protection in case of a major storm event.”

In some respects, competition is slowly returning to the market, especially from international players.

“We’re seeing new interest from underwriters who previously found Jamaican pricing inadequate,” Miller notes. “That means brokers like us now have broader access to markets, including Lloyd’s of London, which helps us secure better terms for our clients.”

Still, affordability remains a key concern, particularly for property owners. While premium rates have stabilised, Miller notes that many policyholders are failing to adjust their sums insured to reflect current replacement costs. “The result is underinsurance, and when claims are made, the application of the Average Clause can significantly reduce payouts,” he warns.

Another challenge lies in understanding policy deductibles — especially those linked to natural catastrophes. “A 2 per cent deductible on a hurricane claim can translate into millions in out of pocket costs,” says Miller. “Unfortunately, many clients only realise the true impact when it’s too late.”

To mitigate this, BCMG advises clients to actively budget for these deductibles or, where viable, consider options such as deductible buy-backs. “These solutions aren’t for everyone, but in sectors like manufacturing or for strata complexes, they can be viable,” he explains. This level of foresight underscores the critical role brokers play in the insurance process. “A broker works for the client, not the insurer,” Miller states.

“We offer choice, access to multiple markets, and the expertise to recommend the right product for the right risk.”

At BCMG, this advocacy extends beyond policy placement. Their claims team actively supports clients throughout the claim’s lifecycle, ensuring that settlements are both timely and fair. “We work with clients, BCMG Insurance Brokers adjusters and insurers to get the best outcome. We don’t walk away after the premium is paid,” Miller affirms.

Understanding client needs is central to BCMG’s model. “Before a policy is even bound, we ask the right questions, conduct property surveys, and identify both insured and uninsured exposures. That’s how we build a proper risk management plan,” says Miller.

With deep expertise — from tourism to manufacturing — and access to niche international brokers, BCMG tailors solutions for businesses of every size. Their in-house technology team supports innovation through platforms for employee benefits, fleet management, and liability reporting, making policy management more accessible and efficient.

“Insurance isn’t just a cost —it’s a business continuity tool,” says Miller. “My father once told me, ‘You don’t need insurance until you need insurance.’ And after 40 years I can tell you, those words couldn’t be more true.”

As businesses face rising costs, global uncertainty, and the ever-present threat of natural disasters, the value of expert guidance is clear. BCMG’s client-first approach — anchored by experience, technology, and a deep understanding of risk — positions it as a partner in not just protection, but long-term resilience.