ERS will continue to underwrite units’ breakdown products under a long-term agreement

Pensions Insight

Essex-based motor broker Right Choice Insurance Brokers (RCIB) has bought Lloyd’s insurer ERS’s three motor breakdown insurance brands.

The deal includes the transfer of around 150,000 vehicles and customers who insure under the Autonational, AutoAid and Eurorescue brands.

ERS will continue to underwrite the products under a long-term agreement.

RCIB owner and managing director Mike Joseph said: “This is an exciting opportunity for us as it adds a significant number of loyal customers to our fast-growing car insurance business.

“In particular we see great potential in cross-selling between our existing and new breakdown insurance brands.

Joseph added that having built a good reputation in the non-standard motor business, RCIB was now looking to do the same in the breakdown market.”

ERS chief executive Ian Parker said that since private equity firm Aquiline bought ERS in 2013, the Lloyd’s insurer has focused on being motor-only and broker-only, and the sale of the three breakdown units sharpened that focus.

Parker said: “I am confident that the team at RCIB have the resources and capability to deliver the exceptional level of service that customers need and expect from their motor breakdown provider and we look forward to working closely with them.”