UK: Record profits for mutual insurer and savings group LV=

Mike Rogers, LV= group chief executive

Mike Rogers, LV= group chief executive - Credit: Archant

MUTUAL insurance and savings group LV= posted a record profits haul today after shrugging off a £25million hit from last year’s adverse weather.

The Bournemouth-based group, which is the UK’s largest friendly society and has 10 other offices around the ground, including one in Ipswich, said it overcame a “challenging year” to report a 19% increase in underlying operating profits.

Its general insurance arm delivered a 53% leap in underlying earnings to £117.1m in 2012 despite a surge in weather-related claims, which impacted profits by around £25m, as well as increases in personal injury claims.

This saw underwriting profits slump to £5m from £30m in 2011, but this was offset by a more than doubling in investment returns thanks to the stock market recovery, while premium income also edged 2% higher to £1.49billion last year.

The group, which serves over five million customers and has three million motor insurance policies, reported overall underlying group operating profits of £126.2m for 2012.


You may also want to watch:


It announced a record £20.9m bonus for its 650,000 with profits members, which is up 12% on the year before and will be added to policies on payout.

Life and pensions earnings rose 7% to £26.3m after a 15% increase in sales and a boost from buoyant financial markets.

Most Read

Mike Rogers, group chief executive, hailed an “excellent achievement” after five years in a row of increasing underlying profits.

Become a Supporter

This newspaper has been a central part of community life for many years. Our industry faces testing times, which is why we're asking for your support. Every contribution will help us continue to produce local journalism that makes a measurable difference to our community.

Become a Supporter
Comments powered by Disqus