Update on Nationwide home insurance partnership

RNS Number : 3409J

Direct Line Insurance Group PLC

17 December 2015

 



Update on Nationwide home insurance partnership arrangement

17 December 2015

Direct Line Insurance Group plc ("Direct Line Group" or the "Group") announced at the full year 2014 results that its home insurance partnership with Nationwide Building Society ("NBS") was being retendered. The tender process is now complete, and the Group confirms that from spring 2017 it will no longer underwrite home insurance for NBS's customers. Policies in force at that time will run off over a 12 month period until spring 2018.

In 2014, gross written premium relating to NBS was £201.7 million, which accounted for 22.4% of the Group's Home gross written premium. The contribution to Home's operating profit was substantially lower.

For further information, please contact:

Neil Manser

Director of Corporate Strategy and Investor Relations

Tel: [phone]

Jennifer Thomas

Head of Financial Communications

Tel: [phone]

Direct Line Insurance Group plc

Direct Line Group is headquartered in Bromley. Through its number of well known brands the Group offers a wide range of general insurance products to consumers. These brands include Direct Line, Churchill and Privilege. The Group also provides insurance services for third parties through its partnerships division, Brand Partners. In the commercial sector, the Group's NIG and Direct Line for Business operations offer insurance products for businesses distributed through brokers or direct, respectively.

A breakdown of Home gross written premium is set out below.

£m	Full year 2014	Nine months 2015
Own brands	416.2	308.5
Partnerships (ex NBS)	280.7	198.3
Total (ex NBS)	696.9	506.8
NBS	201.7	146.8
Total	898.6	653.6

 

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