PSC to leave Steadfast platform after network exit

PSC Insurance Group will no longer have access to the Steadfast Client Trading Platform (SCTP) after May after its departure from the network in the middle of last year.

Steadfast says it extended PSC’s use of the platform until May 31 “in the spirit of cooperation”.

It yesterday reported July-December revenue was up 27% at $662.8 million while Steadfast brokers delivered 15% gross written premium (GWP) growth to $5.6 billion.

That was the first result with no contribution from PSC, Steadfast MD and CEO Robert Kelly told analysts in a briefing attended by insuranceNEWS.com.au.

PSC haven’t been part of the network since July and are not included in 2023 GWP “and beyond”, Mr Kelly said.

Mr Kelly says he sees PSC as “friends… not enemies,” but it has grown substantially.

“We’re often asked about PSC, and they’re friends of ours, and they’re no longer a seed – they’re a flower. A flower needs to water its own self and feed itself, so none of these figures include PSC which effectively haven’t been part of us since July last year, although we have helped them by keeping them on our client trading platform through to May this year,” he said.

“In the spirit of cooperation – they’re friends, okay – we’ve kept them and allowed them to stay on the client trading platform until the 31st of May this year, when I believe they’ve got systems which will be able to take over that business.”

Melbourne-based PSC recently entered a 50/50 joint venture with AUB under which it will own half of the UK retail division of Tysers, which AUB bought last year for $880 million.

PSC achieved a 15% jump in revenue to $137.8 million in July-December and raised its 2023/24 earnings guidance.

“We believe that the strength of the business will go on seeing us delivering good organic growth,” MD Tony Robinson said. “I’m in the UK in the first two weeks of March and I’ll catch up with the Tysers [retail team].”

Steadfast says in the six months to December 31, seven brokers joined its network, 10 brokers merged, four brokers were sold and three brokers left – including PSC AU and NZ. The network comprises 342 brokers in Australia, 53 in New Zealand and 22 in Singapore, and Steadfast has equity interests in 70 brokers.