UK Car Insurance – Lloyds Sells Controlling Stake in Esure Back to Founder
The controlling stake in Esure was purchased back by Esure founder, Peter Wood for over £185 million.
Mr Wood has revealed that he feels the conclusion of this deal signals an increasing confidence in the motor insurance industry after a significant economic downturn in 2009.
"Everyone will have to put through significant increases, no one can carry on at this point in the cycle (without doing that),” he said.
Wood also revealed that he had no further plans of UK car insurance (http://www.compareinsurers.com) acquisitions in the near future, pouring scorn on reports linking him with the purchase of RBS.
Wood said: "We will have organic growth. I have bought a book of business but I have never bought an insurance company.
"With esure, Sheila's Wheels, we have a good enough stable so we don't need anything else. (RBS Insurance) is not for me."
Esure, which offers home, motor, travel and pet insurance, pushes sales through the Internet as its primary sales channel, with gross assets of £975.5 million at the end of December 2008.
