Banking groups are muscling in on personal lines. Defaqto compares the products available
The rise of the bancassurers in the market has culminated in the Royal Bank of Scotland (RBS) recently announcing record profits of £6.2bn. With brands such as Direct Line and Churchill, a broker market presence in the shape of NIG and its extensive branch network that includes Natwest, it would be safe to say that a large proportion of the population has had a hand in helping RBS to achieve such a massive figure. This fact, when examined against the public's lack of confidence in the financial strength of the large insurers, may put the banking groups in an even greater position to penetrate the insurance market.When it comes to the breadth of cover afforded by the banking group's products there are clear differences, but, as an indicator of profitability, volume is still king at the moment. Product analyst Defaqto has looked at the various banks and their direct market stablemates in the home contents market. Surprisingly, in the motor manufacturers market RBS has a large presence in the form of UKI, proving that the banking group's reach is far and wide. Defaqto looks at how some of the larger manufacturers products compare.
Home contents coverWhen RBS purchased Churchill Insurance it increased its share in the home insurance market to such an extent that one in eight households is covered by the group. At the time of writing RBS has maintained a level of product differentiation across the group that can be seen in the analysis. HBOS is a growing force in the market and has been among the most active in developing its product offerings over recent months.The Halifax Direct product is the cream of the crop, closely followed by the HBOS owned Esure. Areas of note on the Halifax Direct Home Insurance policy include:
Motor manufacturers The majority of the larger motor vehicle manufacturers now have their own motor insurance. With a strong brand and internet presence they may be well placed to increase their market share. Defaqto has looked at a number of products underwritten by major insurers and RBS group's UKI. Land Rover's offering, which is underwritten by Royal & SunAlliance, is ahead of the competition on the criteria selected. With the value and sophistication of in-car electronics increasing we have focused on how the various products cater for this growing risk.Positive features of the R&SA-underwritten Land Rover policy include:
Home contents coverWhen RBS purchased Churchill Insurance it increased its share in the home insurance market to such an extent that one in eight households is covered by the group. At the time of writing RBS has maintained a level of product differentiation across the group that can be seen in the analysis. HBOS is a growing force in the market and has been among the most active in developing its product offerings over recent months.The Halifax Direct product is the cream of the crop, closely followed by the HBOS owned Esure. Areas of note on the Halifax Direct Home Insurance policy include:
Motor manufacturers The majority of the larger motor vehicle manufacturers now have their own motor insurance. With a strong brand and internet presence they may be well placed to increase their market share. Defaqto has looked at a number of products underwritten by major insurers and RBS group's UKI. Land Rover's offering, which is underwritten by Royal & SunAlliance, is ahead of the competition on the criteria selected. With the value and sophistication of in-car electronics increasing we have focused on how the various products cater for this growing risk.Positive features of the R&SA-underwritten Land Rover policy include:
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