The roadside rescue and insurance group grows motor business
The AA’s motor insurance business performed well in the first half, and is expected to continue its strong growth in the remainder of the year.
The roadside rescue and insurance group reported a 7% growth in motor policies since July last year, totalling about 659,000, in line with its expectations.
It said it is also “making good progress” stabilising its home policy book, which has been “broadly flat” since the start of the year.
“Supported by our in-house underwriter and our investment in systems including Insurer Hosted Pricing, we expect further growth in our motor policy book and to return the home policy book to growth in FY20,” the company said in a trading statement to the stock exchange.
The AA’s in-house underwriter now has about 463,000 policies, approximately half of which are motor policies, it said.
During the first half, the AA started underwriting a new motor insurance scheme with Munich Re to specifically target non-members.
“Alongside increased penetration within the existing membership base we remain on-track to deliver strong growth for both the underwriter and broker,” it said.
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