British insurance giant Aviva has today strengthened its position in the UK home insurance market, announcing a contract with Barclays UK that will see it snap up Barclays’ home insurance portfolio. The deal is set to complete in August.
In a Press release, Aviva noted that the acquisition of the portfolio - which comprises 350,000 customers – will support its ambitions to further grow its retail insurance business. The insurer has been a strategic partner of Barclays for 18 years, a role that saw it administering, underwriting and providing servicing and claims management for the bank’s home insurance customers.
Commenting on the announcement, Owen Morris, MD of personal lines at Aviva UK General Insurance, said: “This is a fantastic opportunity to acquire an established home insurance book and reflects the strong relationship we’ve had with Barclays for 18 years.
“Importantly, this acquisition will also allow Barclays customers to continue to benefit from Aviva’s leading underwriting and home insurance claims expertise. It is an important strategic step in growing our direct personal lines portfolio and achieving our One Aviva ambitions.”
Aviva confirmed that Barclays’ UK home insurance customers have been contacted about the changes throughout June and July and that customers do not need to take any action. From August 31, policies will change to Aviva and customers will be able to manage their policies digitally via MyAviva, online or using the app.
The insurer also underwrites and provides cover for Barclays Travel insurance customers and highlighted that this is unaffected by the acquisition of the home insurance portfolio.
The deal follows the news in May 2023 that Aviva signed a five-year distribution agreement with Nationwide Building Society to be the sole provider of travel insurance for its FlexPlus account members from May 2024.