For many independent agencies, excess and surplus (E&S) lines are no longer something you turn to only when standard markets say no. They are becoming a regular, and increasingly intentional, part of how agencies place business.
That shift didn’t happen overnight. It has been shaped by tighter underwriting, changing risk profiles, social inflation, and carrier appetite that continues to evolve. The result is a market where more accounts sit outside traditional guidelines, even when the insured is well run and loss history is clean.
For agencies, this means E&S is moving from exception to expectation.
From workaround to strategy
Historically, E&S placements were often reactive. A risk was declined, time was tight, and the goal was simply to find a home. Today, agencies are encountering accounts that may never fit cleanly back into standard markets, or may move between standard and E&S over time.
That reality requires a different mindset. Agencies that treat E&S as a core capability, rather than a last resort, are better positioned to manage expectations, protect relationships, and maintain control of the placement process.
This doesn’t mean every agency needs to specialize extensively in E&S, but it does mean acknowledging that E&S expertise, access, and communication skills are becoming more important to the health of the book overall.
Client conversations matter more than ever
One of the biggest challenges with E&S business isn’t placement. It’s explanation.
Clients accustomed to standard markets may not immediately understand why coverage looks different, why forms vary, or why pricing and terms can change more quickly. Agencies that are proactive in how they frame E&S help reduce confusion and build trust.
That starts with clear conversations about why a risk is being placed in E&S, what that means for coverage and pricing, and how renewals may look different from what the client has experienced in the past. When E&S is positioned as a legitimate solution rather than a compromise, clients are far more likely to stay engaged.
Documentation and discipline still matter
As E&S becomes more prevalent, consistency becomes more important, not less. Clear documentation, well-defined internal workflows, and disciplined review processes help agencies avoid problems down the road.
This is especially true for renewals. E&S accounts often require more attention, more explanation, and more planning as terms change. Agencies that build structure around those touchpoints are better equipped to retain business and manage risk.
A permanent part of the mix
In some cases, business that moved into E&S during tighter market conditions may return to standard markets over time. In many instances, it won’t. Agencies that accept this reality are better positioned to build sustainable books instead of chasing temporary solutions.
The most successful agencies aren’t asking whether E&S will remain part of their business. They’re asking how to integrate it thoughtfully, support it properly, and communicate its value clearly to clients.
Because for many agencies, E&S isn’t going away. It’s becoming part of how business gets done.
