Tesco Bank announces new approach to Motor and Home Insurance
26 January 2021
- All new and renewing business to be underwritten by Tesco Underwriting from August
From 1st August 2021 all of Tesco Bank’s new and renewing Motor and Home Insurance business will be underwritten by Tesco Underwriting.
Currently, Tesco Bank uses both Tesco Underwriting and an external panel of six insurance partners to manage its Motor and Home Insurance book.
Tesco Bank has contacted its six partners to inform them of this decision. All policies currently underwritten by a panel partner will continue unchanged until their renewal date, at which point the policy will move to Tesco Underwriting if the customer chooses to renew.
The decision will allow Tesco Bank to deliver a consistent customer experience across all elements of motor and home insurance, from taking out a policy to making a claim.
Today’s announcement follows Tesco Bank’s acquisition of Ageas UK Limited’s 50.1% stake in Tesco Underwriting which was announced in October 2020. The transaction is expected to complete in the second quarter of 2021, subject to regulatory approval, and will result in Tesco Bank’s full ownership of Tesco Underwriting.
Mark Airey, Commercial Director, Insurance, Tesco Bank, said:
“This is a further statement of commitment to our insurance customers, and supports our strategic ambition in the insurance market following our proposed acquisition of Tesco Underwriting.
“Today’s decision gives Tesco Bank full control over the customer experience for motor and home insurance customers. Tesco shoppers who want to protect their car or home with us will benefit from our ongoing excellent service levels, and our guaranteed Clubcard discount1.
“Tesco Underwriting already underwrites most new and renewing business across our motor and home book. We therefore know that our customers will be in safe hands.
“Tesco Bank would like to thank our existing home and motor panel partners for their support in looking after our customers.”
1 Guaranteed Clubcard discount is for Clubcard members.
Notes to Editors:
- Tesco Bank will continue with its existing partnerships for Pet Insurance (RSA) and Telematics (Insure the Box).
- Tesco Underwriting currently underwrites approximately 93% of new Tesco Bank motor insurance policies; 92% of renewing motor insurance; 73% of new home insurance; and 74% of renewing home insurance. (Based on policies written in December 2020).
Barry Cameron, Head of Media Relations and Public Affairs - 07841 192899