Aon is to recruit some former Warranty Holdings staff and take on some of its book of business.

Aon Warranty Group director Ian Kenny said the company had made firm offers to a number of Warranty Holdings sales and back office staff, but that it was too early to confirm the precise number of staff who would be joining the group.

"The deal represents a large chunk of Warranty Holdings' business," said Kenny.

He said Aon had taken on a selection of Warranty Holdings' business, including some manufacturer, dealer and used car warranty operations.

It had already provided some used car dealers with warranties for new sales, he said, and was currently negotiating terms for taking on responsibility for existing policies.

Oriel Investment Corporation, which traded under the name Warranty Holdings was put in administration at the end of March. It specialised in warranties for used cars, underwritten by NIG and AXA.