St Paul Travelers could ditch its full name in favour of just Travelers, after its US parent company was given the go-ahead to rebrand.

The UK arm of America's second largest insurance company is in the process of carrying out research with brokers and policyholders about whether to change its brand name.

It follows an agreement between its parent company and US bank Citigroup, which would allows the insurer to re-acquire the familiar red umbrella trademark.

Subject to regulatory approval, by mid-March the US insurer will be known as The Travelers Companies as well as incorporating the umbrella icon.

The UK arm is expected to begin using the red umbrella shortly after the agreement, but before making a final decision on whether to shorten its name.

The umbrella became the official company trademark in 1959, before it was lost to Citicorp in 1998 when it took over Travelers Group.