St Paul review will see of parts of personal lines book sold

St Paul at Lloyd's is looking to sell part of its specialist personal lines unit Cassidy Davis.

It is understood potential buyers have already been lined up for the payment protection, affinity schemes, term life and mortgages products of the division.

Sources said insurers Hastings and Cox Insurance have taken an interest in the deal.

St Paul at Lloyd's general manager, distribution, David Bevan said: "We are undertaking a strategic review of part of the personal lines division. This does not include the personal accident or kidnap and ransom element of Cassidy Davis or affect the aviation, marine, property or global reinsurance business of St Paul at Lloyd's.

"We are looking at various options on the remaining parts of the business, in particular the credit protection, the credit card affinity schemes and term life division."

He said that a new division would be created for the personal accident and kidnap and ransom section. It would be renamed the St Paul at Lloyd's accident and special risks division.

Cassidy Davis staff were told about the review last week.

Bevan would not comment on why St Paul at Lloyd's had decided to start the review. But he added that a decision would be made "before the autumn".

The business was acquired by St Paul at Lloyd's in 1998 and in 2003, Syndicate 582 was merged into Syndicate 5000, St. Paul's corporate syndicate.

Neither Hastings nor Cox Insurance would comment on the speculation, although both groups have publicly said they are actively seeking Lloyd's entities and schemes business.