Co-op Insurance, formerly the Co-operative Insurance Society, is a general insurance company based in Manchester, United Kingdom. It is a wholly owned subsidiary of The Co-operative Group, which also has businesses within the food, travel, electrical, funeralcare and legal services sectors.
For most of its history, Co-op Insurance was also a life insurer and fund manager, sharing surpluses with holders of its 'with-profits' life policies, as well as with individual members of The Co-operative Group in proportion to their general insurance patronage. In 2013, Royal London Group agreed to buy the life insurance business unit for an estimated £219 million.
Maps, Directions, and Place Reviews
History
The Co-operative Insurance Company Limited was formed in 1867 to provide fire and fidelity guarantee insurance to co-operative societies. In 1886, at an Annual General Meeting it was resolved "...that Life Assurance be undertaken by the Company, and that the shareholders forfeit any rights they may have to the profits of the Life Department and agree that they shall belong exclusively to the Policyholders." In 1899, industrial life business was also introduced and the company was converted into an industrial and provident society, changing its name to Co-operative Insurance Society Limited (CIS). Other classes of business were provided for the general public and not just for co-operative societies and their members.
The shares of the Society were taken over by the Co-operative Wholesale Society and the Scottish Co-operative Wholesale Society in 1913. In 1973, the Scottish Co-operative Wholesale Society merged with CWS. CWS became The Co-operative Group on merger with Co-operative Retail Services in 2000.
In 2002, Co-operative Financial Services was created as a holding company for both CIS and The Co-operative Bank including Smile, the first full internet bank and, in 2008, The Co-operative Insurance and The Co-operative Investments trading names were introduced. In 2011, Co-operative Financial Services became the Co-operative Banking Group.
In 2006, CIS split its life and general insurance businesses into two separate entities, establishing CIS General Insurance Limited within which all new and renewing insurance business was written. All existing CIS general insurance business was reinsured with CISGIL and CIS continued to write long-term savings and insurance business only. CFS Management Services Limited was created at the same time to provide common support services to both CIS and CISGIL.
In 2011, after 125 years, The Co-operative Insurance announced that it would cease providing life assurance products.
The Society's head office on Miller Street in Manchester city centre was, at the time of completion in 1962, the tallest building in Europe, standing at 387 feet (118 m). Since the opening of the Beetham Tower in 2006, it is now the second tallest building in Manchester. In 2006, the CIS Tower was clad in solar panels, becoming Europe's largest vertical solar array.
The Co-op Insurance has a tradition of football sponsorship. It has previously sponsored the Scottish League Cup in Scotland and the Irish League Cup in Northern Ireland.
Divestment
In March 2013, the Co-operative Banking Group agreed to sell the life insurance, investment and pension businesses to the Royal London Mutual Insurance Society in order to increase its chances of buying more than 600 Lloyds TSB branches due to be divested from Lloyds Banking Group under the TSB brand. The intention to sell the general insurance aspect was also announced, although in the event of a sale, it stated it would continue to sell re-badged products under The Co-operative Insurance name. The administration of the life portfolio had been managed by Capita Group since 2007 in an attempt to reduce operating costs. In May 2013, the Co-operative Banking Group withdrew from the agreed purchase of the TSB business, citing the economic outlook in the UK and, in June, the Group revealed a shortfall in its accounts of up to £1.8 billion, mainly related to the 2009 purchase of Britannia Building Society.
In July 2013, Co-operative Insurance Society became a private company limited by shares under the Companies Act, changing its name to Royal London (CIS) Limited. Subsidiary undertakings, CIS Unit Managers Limited (trading as The Co-operative Investments) and CIS Policyholder Services Limited became RLUM (CIS) Limited and RL Marketing (CIS) Limited respectively. The Co-operative Asset Management Limited also transferred, becoming Royal London Asset Management (CIS) Limited. Excluded from the sale, CIS General Insurance remained with the Co-operative Banking Group.
Following the recapitalisation of the Co-operative Bank at the end of 2013, The Co-operative Bank is now a separate legal entity to The Co-operative Group. Co-op Insurance now forms part of The Co-operative Group's family of businesses.
In January 2014, The Co-operative Group announced its decision not to sell the GI business. The proceeds of the sale (announced on 21 March 2013) were envisaged to be a part of the Group's planned £1 billion contribution to the recapitalisation of The Co-operative Bank. The revised terms of the Recapitalisation Plan, as set out on 4 November 2013, involve a smaller Group contribution and have allowed the Group, as part of its wider strategic review, to reconsider its plans.
Co Op Building Insurance Video
Operations
Co-op Insurance currently offers business, home, motor and pet insurance products. Pet insurance is provided, underwritten and administered by Allianz Insurance, part of the Allianz (UK) Group. HomeRescue Plus, motor breakdown cover and accident recovery service are provided on behalf of Co-op Insurance by AXA Assistance (UK).
Membership
Members of The Co-operative Group and participating regional societies earn membership points on the products they hold. Points are converted into dividend at a rate agreed annually by the Board.
Source of the article : Wikipedia
EmoticonEmoticon