LV Takeover - any affect on Motor Insurances

dino2020

Hi,

Our motor and property insurances are due for renewal at the end of the month, but wonder if the takeover bids for LV are likely to have any detrimental effects on them in terms of the running of their call centers and  making ( hopefully not)  any claims etc ?

Sandtree

Bids?

LV general insurance was sold to Allianz in 2019 for £1.078bn

dino2020

Hi,

Thanks, did not know that !  though just found details of it on the web.

However its a very unclear picture as LVs web site shows it deals with Car insurance and Life cover and Investments.
Just looked at the renewal documents for the car and it only refers to LV and it being regulated by UK Authorities.
No mention of Allianz at all  ?  though their web site , car insurance  section, it does say go to "Our partner LV"

Assume if the LV takeover does happen, the insurance "partnership"  will become a proper split than the current arrangement, but least it seems to be remaining in UK hands with Allianz.

Sandtree

Welcome to the murky world of marketing and white labels etc.

Liverpool Victoria Insurance Company Limited is the underwriter of the policies and that hasnt changed, it is still owned by Liverpool Victoria General Insurance Group Limited however that company is now owned by Allianz Holdings Plc. There is generally no requirement for a company to disclose on their website who their shareholders are and its not uncommon for you to find the parent company lists all the brands they own but the individual brands are mute on who their parent is. Nothing like making your customers think they are getting competitive tension going when in reality its the same Group operating under different brands aiming at different segments etc.

When they bought the company there will be some deal done on the ability to continue using the brand... who knows for how long or what the commercials are.  There will inevitably questions being asked about how long you want to run the different brands and companies but its not a light process to get rid of an insurance company... its likely there would be capital and operational efficiencies of moving them all onto a single underwriter but that requires a Part VII transfer and High Court approval (they are not simple projects, done a couple!)