How many insurance companys are there really

fluffwitt

Does anyone know how many insurance companys are out there in the uk. I mean...how many stupid named companys are owned by the same "big" company. Are we being ripped off. It may be a good one for martin to investigate. I am sure there are only about 5 big companys that own all the hundreds of silly named companies like "Shielas Wheeels" etc

dacouch

If you are talking about car Insurance there are dozens.

By the way teh UK car insurance market is probably the most competitive in the world and people who shop around each year are generally getting their cover for a lot less than it should be

dunstonh

Are we being ripped off.

Who is having multiple brands a rip off?

It may be a good one for martin to investigate.

And what would it achieve?

I am sure there are only about 5 big companys that own all the hundreds of silly named companies like "Shielas Wheeels" etc

The way its going it could well end up at 5. We have lost over 100 insurance companies in the last decade. However, thats no different to any other industry.

fluffwitt

It's just I don't understand why big insurance companys spread them selves out with lots of different names. Why don't they stick to one overall brand name instead of baffling us with multiple choice names from the same company. It would be cheaper for them to run and so in turn should cut the cost of our sky high insurance. It is the same for car/house in fact any insurance.

brazilianwax

fluffwitt wrote: »

It's just I don't understand why big insurance companys spread them selves out with lots of different names. Why don't they stick to one overall brand name instead of baffling us with multiple choice names from the same company. It would be cheaper for them to run and so in turn should cut the cost of our sky high insurance. It is the same for car/house in fact any insurance.

a) it limits the risk if they don't have all their eggs in one basket (They are separate companies)
b) it gets them more entries in the phonebook

wouldn't save any money to be one company at all.

insurance premiums are actually relatively low considering the amount that companies pay out

glider3560

fluffwitt wrote: »

It's just I don't understand why big insurance companys spread them selves out with lots of different names. Why don't they stick to one overall brand name instead of baffling us with multiple choice names from the same company. It would be cheaper for them to run and so in turn should cut the cost of our sky high insurance. It is the same for car/house in fact any insurance.

Allows them to target different markets. Take RBS. They own these brands:

• NIG - Sell policies through brokers
• Direct Line - They go for the direct market, i.e. no brokers, no comparison sites etc
• Churchill - Again direct, but policy is a bit more cut down than Direct Line's - typically aiming at a market where they can offer lower prices
• Privilege - You've probably seen the adverts "you don't have to be posh" etc.

Without the different brand names, they probably wouldn't be able to target many different types of customer.

dacouch

The supermarkets (With the exception of Tescos) and post office etc etc are not Insurers but use their brand names and large client bases to sell Insurance

rudekid48

dacouch wrote: »

The supermarkets (With the exception of Tescos) and post office etc etc are not Insurers but use their brand names and large client bases to sell Insurance

Tescos is currently done by RBS (UKI) so they are not an Insurer either.

dunstonh

Consumers are generally brand focused and dont look very deep beyond that. So, Michael Winner may appeal to certain groups of people and Esure will be used. Shielas Wheels has a clear brand and target audience. Then you have Marks and Spencers with its own brand image. However, have the same backend provider (there are others in that cluster as well).

They are not all quite the same policies as well. Shiela's wheels, IIRC, has some cover for handbags that doesnt appear on the others. So you will get small differences with different plans.

dacouch

Rudekid Tesco have / are trying to buy RBS out of UK Insurance

pedro123456

To answer the original questions.

THE UK INSURANCE MARKET

1,118 companies are authorised by the FSA to carry out insurance business in the UK. Of these:

• 836 carry out general business only (e.g. motor, household
and commercial insurance)

• 232 carry out long-term business (such as life insurance
and pensions)

• 50 carry out both general and long-term business

Many of these companies are owned by larger insurance or financial services groups. The top 10 general insurance groups account for 72% of the business written, while the top 10 life and pensions insurance groups account for 75% of the life and pensions business written.


And Yes we are being ripped off :mad: