Tesco to beef up home and motor insurance offering

25th Jun 2009 17:00

Supermarket chain Tesco is pressing ahead with its plans to extend its presence in the personal finance market by hooking up with insurance company Fortis UK.The two companies will provide motor and household insurance, with Tesco taking greater control of pricing and the development of new products, while Fortis will provide expertise on underwriting and claims management. Jointly the companies will create more than 1500 new UK jobs."This is an important strategic move in the development of Tesco Personal Finance under Tesco's sole ownership. General insurance is a key area for TPF and this partnership with Fortis will enable us to take it to the next level," said Andrew Higginson, Tesco director and the chief executive officer of the company's Personal Finance arm.The partnership involves over £500m in annualised total Gross Written Premiums (GWP) and is expected to be underwriting new business and renewals from the second half of next year, the companies said in a joint statement.