Jelf-owned network allows brokers to use its services during their notice period, as it eyes Westinsure members.
The Purple Partnership is aiming to lure members from rival networks by offering an exit route to brokers that are forced to serve notice periods.
The Jelf-owned, Plymouth based network is launching a club membership for brokers that quit existing networks and alliances, but have to wait up to six months before they can officially leave their current network.
Bob Parkins, managing director of the Purple Partnership, said brokers would not join the network until they had served their notice, but could start using its services. “The original networks are all changing and brokers are in the middle of that change, and some will want to move. Nothing is certain now,” he said. “I think that there are a few that would be put off joining by the fact that they have to serve six months [notice].”
He added that it would be important to make sure that brokers did not breach the legal requirements in their contracts.
Last week, Insurance Times revealed that the Westinsure network could be the next network to be sold, after holding advanced talks with a number of potential acquisitors.
Parkins, the former managing director of the rival South West network, claimed that a number of Westinsure members had already joined the Purple Partnership
“Westinsure is likely to change,” he said. “Its members know me and they know about Purple.”
The Purple Partnership currently has 15 members and £40m premium income.
Parkins said a number of brokers, with a combined £20m GWP, were in due diligence with the organisation.