Construction sector borrows the most to finance insurance

Currently, the construction sector takes out the largest amount of loans to finance insurance.

This is according to data from Premium Credit, according to which construction companies were responsible for 14.3% of all net advances last year.

This was 1.5% more than in 2022 and 1.9% more than in 2021.

Meanwhile, the scientific and professional sector accounted for the second largest share of net growth with 12.5% ​​last year, followed by manufacturing with 10.4%, wholesale and retail trade with 8.8% and land transport with 8.1%.

Jon Howells, Chief Commercial Officer at Premium Credit, said: “Insurance plays a key role in business activity across many sectors, which is demonstrated by the strong year-on-year net revenue growth we saw.

“This is particularly important in the construction sector, which is consistently the largest lending sector.”

Cost

In March 2024, Premium Credit surveyed 1,332 small and medium-sized business owners.

The survey also found that around 50% of small and medium-sized enterprises (SMEs) said the costs of insuring their business had increased in the past 12 months.

Around 17% of surveyed companies said they had reduced other operating costs as a result of increases in insurance premiums over the past two years.