Aviva to Remain Barclays’ Provider of Home Insurance

Barclays and Aviva recently announced that they are renewing their contract, agreed in 2005, under which Aviva remains the sole provider of home insurance to Barclays’ customers.
The renewal of the existing contract between the bank and the insurance provider till the year of 2015 might mean that their partnership has been successful in the past 5 years.
Not only will the two companies successfully cooperate in the future by combining their extensive experience in underwriting, marketing, and product development (Aviva), customer relations and distribution (Barclays), but also they will develop new products to meet the needs of customers.
Commenting on the situation, chief executive of Aviva UK general insurance, Mr. Igal Mayer, said that the company is very pleased to have the contract renewed as it not only demonstrates successful partnership with Barclays, but also encourages Aviva to strengthen its position on the UK insurance market. He added that the renewal of the contract is a testament to Aviva’s relations with Barclays, which proved very fruitful in the past 5 years.
Aviva is the largest insurance partner of Barclays. According to Mr. Gary Duggan, managing director of consumer lending, investments, and insurance at Barclays, the initial aim of Aviva-Barclays partnership was to extend Barclays’ share of the British insurance market. However, the partnership turned out to be so successful with sales of Aviva insurance policies through Barclays, that it made the bank one of top 10 insurance providers on the UK market. Since 2005, when Barclays first signed the contract with Aviva, the number of home insurance sold through the bank rose by 40%.
Mr. Duggan went on to say that the renewal of the contract, under which Aviva remains the sole provider of home insurance for Barclays customers, will definitely help build on the previous success and provide customers with products of exceptional quality and value.