Aviva progresses reattribution offer for NU policyholders
by Gill Montia
Story link: Aviva progresses reattribution offer for NU policyholders
Aviva is inviting Norwich Union with-profits policyholders to vote on the proposed reattribution of surplus funds. Negotiations over the reattribution have dragged on for well over a year because of a dispute over the proportion of the surplus that should be paid to shareholders. In July 2008, Aviva announced that it was prepared to pay [...]
Norwich Union passes into history
by Gill Montia
Story link: Norwich Union passes into history
Aviva has erased its Norwich Union brand, which has disappeared from today. The name, which first appeared in 1797 and has been synonymous with general insurance in the UK for decades, has cost its parent company millions to ditch given a £9 million advertising campaign and additional in-house costs. Aviva shocked the insurance world with [...]
NU with-profits reattribution devalued to £400m
by Gill Montia
Story link: NU with-profits reattribution devalued to £400m
Norwich Union (NU) with-profits policyholders who have been waiting patiently for news of the reattribution of surplus funds will be disappointed to learn that parent company, Aviva, has fixed the total payout at £400 million rather than the £1 billion promised earlier. In July of last year, Aviva announced that it was prepared to pay [...]
Norwich Union warns of burglary surge
by Richard Kilner
Story link: Norwich Union warns of burglary surge
Following the abysmal figures contained in the Budget, Norwich Union, shortly to become Aviva, has stated its concern that by the end of the year unemployment could fuel a 50% rise in household burglary. Home Office statistics give the number of burglaries in 2008 as 280,000 and if Norwich Union’s fears are realised then 420,000 [...]
NU boss apologises for confusion over job cuts
by Gill Montia
Story link: NU boss apologises for confusion over job cuts
The chief executive of Norwich Union (NU) General Insurance has apologised for sending “conflicting messages” over job cuts. In a recent interview with Professional Broking magazine, Igal Mayer indicated that there would be no redundancies announced during the remainder of this year. However, last week, NU owner Aviva said it is proposing to cut 1,100 [...]
Aviva to cut 1,100 staff and 590 contract jobs
by Gill Montia
Story link: Aviva to cut 1,100 staff and 590 contract jobs
The BBC has reported that Aviva is proposing to cut 1,100 UK jobs this year and at the same time “close” 590 contract positions, which will go over the next few months. Trade union, Unite, expects staff at the group’s York and Norwich offices to be in the front line, although job losses at other [...]
Aviva’s credit rating cut
by Gill Montia
Story link: Aviva’s credit rating cut
Concerns over Aviva Plc’s exposure in the financial markets have led Standard & Poor’s (S&P) to cut the insurer’s long-term counterparty credit rating from “A” to “A+”. The ratings agency has maintained the “AA-” long-term counterparty credit and insurer financial strength ratings on Aviva’s core insurance operating subsidiaries (including Aviva International Insurance) plus a “negative” [...]
NU reports 14% rise in critical illness payouts
by Gill Montia
Story link: NU reports 14% rise in critical illness payouts
Norwich Union (NU) has published its critical illness (CI) statistics for last year. The insurer settled 1,625 CI claims during 2008, totalling almost £121 million, a rise of 14% on a year earlier. A further £216 million was paid to families who were either bereaved or had a family member diagnosed with a terminal illness. [...]
86% of UK homes underinsured
by David Masters
Story link: 86% of UK homes underinsured
Eighty six percent of properties in the UK are ‘significantly underinsured’, according to recent research by Norwich Union. The home insurance provider surveyed 128 homes, and found £314 million of under-insured property. Most properties had not undergone a professional valuation for insurance purposes, Norwich Union said. It added that professional valuations are essential for adequate [...]
Aviva launches Broker Independence Group
by Gill Montia
Story link: Aviva launches Broker Independence Group
Aviva has set up a new broker initiative that it says can provide up to 3,000 local independent brokers with unique access to a range of specifically tailored packages and services. Broker Independence Group is available to all local independent brokers with Norwich Union accounts of less than £800,000 premium. It comprises a dedicated team [...]
Aviva outsources Norwich data centres to EDS
by Gill Montia
Story link: Aviva outsources Norwich data centres to EDS
Aviva has agreed a 10-year £700 million contract with EDS, which has been hired to run data services for the insurer. EDS, which is part of the HP group, will operate two data centres located in Norwich providing services for Aviva’s businesses in the UK, France, Ireland and India. According to the insurer’s UK general [...]
Aviva reports 11% rise in life and pension sales
by Gill Montia
Story link: Aviva reports 11% rise in life and pension sales
Aviva has reported an 11% increase in life and pension sales in 2008, to £36 billion, with growth driven by UK and North American markets. Life and pension sales in the UK hit £11.9 billion last year, while for Europe this category of sales rose 8%, to £17 billion. In a trading update, Aviva also [...]
Aviva puts brakes on reattribution of NU with-profits surplus
by Gill Montia
Story link: Aviva puts brakes on reattribution of NU with-profits surplus
Norwich Union (NU) policyholders expecting a windfall from the reattribution of the insurers’ with-profits fund surplus may be disappointed. In July of last year NU’s parent company, Aviva, announced that it was prepared to pay an average £1,000 per policy to around 700,000 customers who had invested in GCNU Life or CULAC with-profits funds before [...]
NU closes commercial property fund for withdrawals
by Gill Montia
Story link: NU closes commercial property fund for withdrawals
Investors in Norwich Union’s (NU) unit-linked life and pensions’ property fund may not be able to redeem their cash for up to six months. The insurer is limiting withdrawals, although savers whose policies are due to mature during the period and those who receive regular payments from the fund are not affected, along with anyone [...]
Norwich Union cuts with-profits bonuses
by Gill Montia
Story link: Norwich Union cuts with-profits bonuses
Aviva-owned Norwich Union (NU) has cut bonuses on its with-profits policies. Effective 1st January, 2.3 million policyholders will receive payouts worth up to 15% less than a year earlier. As a result, a 25-year Norwich Union endowment mortgage costing £50 per months is worth £42,322, compared to £45,911 at the beginning of 2008. In the [...]
NU reunites customers with £10 million in unclaimed cash
by Gill Montia
Story link: NU reunites customers with £10 million in unclaimed cash
Norwich Union (NU) has issued an update on its promise to return £40 million of unclaimed assets to 40,000 customers, who have forgotten about their investments with the insurer. So far NU has returned £10 million to elusive policyholders with the help of Assets Reunited, which it has appointed to do the tracing. The company’s [...]
Bruce Willis stars in Aviva rebranding ads
by David Masters
Story link: Bruce Willis stars in Aviva rebranding ads
To transform itself into a globally recognisable brand, Norwich Union is changing its name to Aviva, and it is paying £9 million for the privilege. A-list celebrities have been recruited to headline the TV-ad driven rebranding campaign, which will launch on Boxing Day. Bruce Willis, Ringo Starr and Elle Macpherson are among the line up [...]
NU sees equity release market doubling in five years
by Gill Montia
Story link: NU sees equity release market doubling in five years
Norwich Union (NU) is predicting that the UK’s equity release market will thrive during the recession. The group sees the impact of the current economic turmoil on savings, a general lack of retirement funding and the Government’s growing emphasis on self-funded retirement as the main drivers in the market. The insurer expects High Street banks [...]
Norwich Union: Fraudulent motor claims rising
by David Masters
Story link: Norwich Union: Fraudulent motor claims rising
Motor insurance giant Norwich Union has warned that car insurance fraud is on the rise because of the credit crunch. Research by the insurer found motorists trying to reduce premiums by declaring false information to their insurance firm when taking out a policy. However, Norwich Union warned that insurance granted on false premises is invalid, [...]
Aviva announces £9m rebrand campaign
by David Masters
Story link: Aviva announces £9m rebrand campaign
Aviva, the world’s fifth largest insurer, has announced plans to launch the UK’s biggest ever financial services rebranding campaign in a bid to shed it’s Norwich Union brand name. The £9 million advertising offensive will start Boxing Day with the aim of completing the rebrand by June 2009. TV adverts will feature celebrities who have [...]
