Direct Line Group (DLG) has announced that it has successfully secured a 3-year renewal on its home insurance partnership with Royal Bank of Scotland. It is understood that the partnership includes home and "private insurance" (the latter can include home, travel and pet insurance for private banking customers) for the RBS and NatWest brands. It will now continue until October 2020.
The partnership has been estimated to be worth in the region of £250 million to DLG and represents its most significant partnership; even before the loss of the Nationwide (see our post dated 17th December 2015) and Sainsbury's (see our post dated 1st March 2016) partnerships.
DLG has also confirmed in its recent trading statement, that its travel insurance provided within the bank's "packed" accounts, will shortly be subject to a tender exercise. The value of this partnership to DLG is unlikely to be significant but the insurer believes that it will be involved in any competitive review.
RBS continues to partner with DLG for car and business insurance, and with Aviva for its life insurance.