Legal & General has clinched an exclusive deal to provide household insurance to Birmingham Midshires customers.

The insurer has won a five year agreement to supply Birmingham Midshires' new and 120,000 existing customers, including mortgage borrowers, with household cover from April 1.

The lender said the change was driven by its need for greater flexibility in product development and to simplify its previously complicated insurer arrangements.

The exclusive arrangement is set to replace Birmingham Midshires numerous relationships with RSA, and certain underwriters at Lloyd's in a variety of panel, co-insurance and single insurer arrangements.

Andrew Binks, head of general insurance at Birmingham Midshires, said: "We have built excellent relationships with our current providers in recent years, but the opportunity to build other product relationships with L&G for Birmingham Midshires was the key."

John Castagno, managing director of L&G, said he was looking forward to the next phase of the partnership with Midshires.