Insurance brokers and other intermediaries placed $9.27 billion of business with insurers in the six months to December 31, up 4% on the previous corresponding period, while foreign insurers and Lloyd’s underwriters continue to increase their share of the market.

About 8% of active underwriters placed business with foreign insurers in the period, up from 7.2% in the second half of 2010, Australian Prudential Regulation Authority (APRA) figures show.

The dollar value is also rising, with unauthorised foreign insurers (UFIs) writing $754 million of business – 8% of the premium invoiced compared with 6.7% two years ago.

Intermediaries place about 45% of gross written premium earned by APRA-authorised insurers, excluding Lloyd’s, the regulator’s Intermediated General Insurance Statistics bulletin shows.

It says 851 out of 1549 intermediaries placed business directly with underwriters in the second half of last year. Another 30 placed all business directly through other financial intermediaries and 668 did not invoice any general insurance business.

Of the 851, 817 placed business with APRA-authorised general insurers, 215 with Lloyd’s and 69 with UFIs.

Lloyd’s placement has risen in the past two years, to 25% of active intermediaries from 21%.

Lloyd’s underwriters wrote $937 million in premiums in the six months to December, or 10% of the total invoiced, up from 9.2% in the second half of 2010.

The bulletin says premiums invoiced to UFIs grew on a rise in business placed in the UK, professional indemnity and public and product liability classes and business for “custom-exemption” policyholders.

Custom exemptions apply when an intermediary cannot get risk covered here, or when terms or prices are substantially less favourable.

Fire and industrial special risks accounted for 58% of the premium invoiced, followed by professional indemnity at 9%.

“The premium placed with UFIs in the period was concentrated within two regions: Singapore and the UK,” APRA says. “These regions accounted for $554 million, 73% of the total.”