As part of its ongoing restructuring and simplification program, Zurich Insurance announced an agreement to sell its UK student insurer Endsleigh to insurance broker A-Plan Holdings.
The financial terms of the deal, which is subject to regulatory approval, were not disclosed.
Endsleigh will continue to operate as a separate entity with the existing management team from its base in Cheltenham, England.
“Endsleigh is part way through a transformation plan that sees a significant investment in IT, as well as in customer and insurer propositions, which will create an exciting platform for growth,” said the statement.
“We are looking forward to working with Jeff Brinley and his team on the next stage of Endsleigh’s development,” said Carl Shuker, group CEO of Witney, England-based A-Plan Holdings, a personal and commercial lines broker.
Shuker noted that Endsleigh was established in 1965, originally by the National Union of Students (NUS).
“This is a really exciting time for us and we’re delighted to be joining such a respected organisation as A-Plan, who continue to deliver impressive results in a challenging market,” commented Jeff Brinley, CEO of Endsleigh. “Our customers, our people, NUS, insurer partners and other partners we work with can be confident that we remain committed to our transformation programme, to looking after our customers and delivering growth in our core markets.”
“Over the last year Endsleigh has done an excellent job of transforming its business and tackling the challenges our industry presents, and now is the right time for it to move into new ownership,” according to Zurich’s UK CEO, Tulsi Naidu.
“Endsleigh will be part of a well-respected and successful broker business, and will be in very good hands. This is a positive transaction for all parties, including Endsleigh’s people and customers, and is a clear demonstration of how we are continuing to simplify our organisation and optimise our portfolio,” Naidu added.
In December 2014, A-Plan was purchased for £300 million (US$406.6 million) by London-based private equity company HgCapital from Equistone Partners Europe.
Source: A-Plan Holdings/Zurich Insurance