Some feel they have ‘lost touch’ with UK’s biggest insurer

Stuart_Randall

Brokers have expressed concern about Aviva’s lack of consistency following the departure of UK and Ireland general insurance (GI) chief executive Robin Spencer after little more than a year.

With Aviva Canada chief executive Maurice Tulloch replacing Spencer next week, the insurer’s UK general insurance operation will have had five new chief executives in the past seven years.

In addition, Aviva lost its well-respected intermediary and partnerships director Janice Deakin to Gallagher in April this year, and the company announced plans in July to axe 13 UK branches and 180 broker-facing staff.

More recently, in August, Aviva’s UK and Ireland GI business lost claims director Dominic Clayden to rival insurer QBE Europe.

Aviva said Tulloch and the Canadian business had been working closely with the UK operations and that the new appointment would help the insurer reach its potential in the UK.

A spokesman said: “The Canadian and UK and Ireland GI business have been working closely together for some time now sharing expertise and best practice. The appointment of Maurice is about unlocking the full potential of the Aviva UK and Ireland General Insurance business and the market opportunity.

“He is a GI specialist and has a proven track record in leading and growing a successful business – operating profits in Canada have grown 63% and combined operating ratio has improved from 100% to 92% under his leadership.”

Losing touch

South Essex Insurance Brokers deputy chairman Barry Fehler said: “We’ve stopped using them because there doesn’t seem to anyone at home these days.

“We are not currently using them. We have not traded with them for a year. It is just a company I have lost touch with.”

Ataraxia chief executive Stuart Randall (pictured) said: “We don’t trade with Aviva much. They’ve fallen off the radar with everybody. Even brokers with good relationships [with Aviva] don’t know where they are, and other brokers are concerned.”

‘Bleeding talent’

Bluefin chief executive Stuart Reid said the company would have to move quickly to maintain broker trust following Spencer’s departure.

He said: “This will be the fourth person in this role in as many years, and that is not good for them in the market overall.”

Brokerbility chairman Ashwin Mistry said Spencer’s departure was probably the result of new group chief executive Mark Wilson wanting to install his own team.

But he added: “The downside is yet again another change and the market could perceive another change as ‘do they know what they’re doing?’”

Others feel new UK and Ireland GI chief executive Tulloch will have his work cut out. One senior broker source said: “You can’t just assume the UK is the same as the Canadian market.

“His main job will be to put his arms around the relationship – the brokers and the people. They can’t lose any more people. They’re bleeding talent.”

However, the hiring of Phil Bayles as Janice Deakin’s permanent replacement as intermediary and partnerships director has been a popular move that has stood the insurer in good stead with brokers.

Reid said: “He is a class act and someone we respect highly.”

Mistry added: “The team Janice left was solid and [the appointment of] Phil Bayles was long overdue.

“Trading is normal because the team is now in place. And it’s great news that Phil has been appointed.”

Words of support

Others have come out in support of Aviva despite the upheaval in recent months. Trident Insurance chairman noted: “You don’t get the same business development manager for very long as they get moved on or poached.” But he added: “They have been brilliant with us. They’ve been helpful, supportive and understanding. Compared with other firms they’ve been stunning.”

Timeline of Aviva UK GI chief executives

  • 2006–2007: Simon Machell
  • 2007–2009: Igal Mayer
  • 2010–2012: David McMillan
  • 2012–2013: Robin Spencer
  • 2013: Maurice Tulloch