Aon, the global insurance and reinsurance broker, has announced the successful renewal and expansion of the Aon Client Treaty (ACT), the firm’s flagship London Market placement facility that helps clients respond to complexity with new sources of capital.
According to the announcement, in 2025, ACT will offer 28.5% co-insurance across core lines of business placed through Aon’s Global Broking Centre in London.
This marks the treaty’s largest capacity increase – up from 22.5% in 2024 – as it enters into its tenth year.
Since its inception in 2016, over $3.5 billion in gross written premium has been placed through ACT.
According to Aon, three new market partners will join ACT in 2025, whilst all existing market partners have also renewed their participation, with insurer QBE continuing as the lead.
In addition, all participating market partners have also reportedly agreed to a three-year letter of intent, clearly indicating their long-term intent to support the program, whilst also demonstrating strong demand from London Market insurers too.
Furthermore, Aon also plans to introduce the ACT Client Dividend in 2025, a 1.5% reduction that will be applied to the portion of the premium placed through ACT.
“The renewal and record expansion of Aon Client Treaty, now in its tenth year, reflects the value it delivers for both clients and participating market partners. As the complexity and size of the risk landscape increases, it is essential that our clients access the insurance capacity they need with speed and certainty,” commented Joe Peiser, CEO of Commercial Risk for Aon.
“Innovation is essential to allow clients to access risk capital more efficiently and Aon’s significant investment in managing data and information has been a key factor in the growth and sustainability of ACT. We will continue to invest and scale this revolutionary approach to securing risk capital on behalf of our clients,” said Tracy-Lee Kus, CEO of Aon’s Global Broking Centre.
“The support of market partners, now further strengthened through a three-year letter of intent, is essential to the success of ACT; we are pleased to welcome three new participants and will continue to work closely with our partners to ensure ACT remains a solution that meets the needs of our clients,” Kus added.
