Last year, the insurance broker and independent financial adviser Lycetts welcomed Ian Barclay (pictured) as the first externally appointed CEO in its 60-year history. Having started his career at Guardian Royal Exchange, he brings 20+ years of senior leadership experience to the role, including stints at AXA Group and Aon Risk Solutions.
Reflecting on his 30-year career in an interview with Insurance Business, Barclay noted he belongs to the ranks of those who weren’t long in the insurance market before they realised they wanted to stay there. Having been fortunate enough to work with both larger corporates and PE-backed businesses of different sizes alike, he said he knew which boxes he wanted his next opportunity to tick.
When he was first approached about joining Lycetts, he jumped at the opportunity, being aware of the business from his time in the market as both a competitor and a partner – and knowing that it checked all those boxes. “I know what makes a really successful business in this market tick,” he said. “It’s all about a strong brand, real specialisms and a great team who genuinely care about the sectors they serve – because that’s how you win client loyalty.”
Barclay highlighted that other core components of success include being backed by a supportive parent company which can give you the backing you need to make the right investments – in Lycetts case, Benefact Group, the UK’s third-largest corporate donor for over a decade. Meanwhile, size is also a key consideration, he said, as you want to be at a scale that is significant but not so large that you’re not able to be nimble and make changes to your strategy, platforms and processes as and when required.
Lycetts stands out in the market as a great example of a truly specialist broker, he said, and from his perspective, it’s critical for broking to be specialist in nature. But with that in mind, it’s clear that the role of the specialist broker has got to evolve. “One area where specialist brokers need to evolve is into the area of risk management and risk prevention advice. Certain segments within certain sectors want a different proposition.
“So, for us, rather than looking at developing a proposition on a sector-by-sector basis, we’re looking to get a more granular understanding of these sub-segments. That allows us to make sure our propositions, in partnership with our carriers, really serve the changing needs of those particular sub-segments and deliver meaningful value for them.”
A one-size-fits-all approach is simply not fit for purpose in today’s complex risk environment, Barclay said, and he believes that insurance brokers play a critical role in working together with their insurer partners to develop a granular view of risk and really embed themselves within the communities they serve. Brokers have a unique opportunity to educate and inform both sides of the market, and to help develop insurance propositions that will resonate with clients looking for more from their insurance partnerships.
Creating greater customer-centricity is at the heart of that ambition, particularly in light of the macroeconomic changes that are impacting the insurance industry and insureds alike. “Coming out of a hard market, clients are quite rightly price sensitive,” he said. “But I think they still value trust and transparency and they still value great and specialist advice. And I think there’s a real opportunity for us to blend what we already have in those areas with the new opportunities that come through effective use of data and technology – that’s really going to be key in how we differentiate ourselves going forward.”
As to what is at the top of his agenda for the year ahead, Barclay highlighted his emphasis on creating and maintaining a keen focus on team and culture in his role as CEO. As the first externally appointed CEO, that has to be the number one priority, he said, as it is his role to build trust across his team in the strategy he has for the business going forward, and in his capabilities to lead that strategy.
“The more you move into different companies or different parts of the market, the more you realise that you’ve always got a lot to learn,” he said. “I’m motivated by that, and by my understanding that I’m here to set the direction and then create the environment that allows other people to get on with doing the job that they’re probably far better than me at doing, in dealing with clients directly.
“[…] Ultimately, if I can get to the point where people understand where we’re heading, and what their role is in contributing to that success, I consider that a success. It probably goes back to my rugby days, that everybody should know what their role is on the pitch and how it ties in with what we’re trying to achieve.”
Also high on the agenda, he said, is helping to improve Lycetts’ capabilities at both an organisational and individual level, particularly around confidence in execution. That includes embracing opportunities to leverage technology and data more effectively in order to drive greater innovation and to free up the time of Lycetts’ specialists, allowing them to focus on value creation for clients.
The final element is around working closely with the firm’s insurer partners, he said, because these partnerships are central to how Lycetts is able to deliver value for clients. “That goes right to the DNA of the business,” he said. “And the people preceding me as leaders, and in the business at all levels deserve huge credit for the work they’ve done in building that. I’m fortunate to come to such a healthy business and I think we can make it an even better business – and we’ve certainly got the ambition to do that.”
