Norwich Union (NU) has denied its UK healthcare business is in "crisis" after a working party was formed to look at the division's strategy for the next three years.
NU spokesperson, Lorna Wiltshire, confirmed that the working party, called Vision 2008 or V8 for short, had been set up to look at the healthcare division’s prospects for the next three years. But she added such reviews were standard practice for any business.
“Norwich Union Healthcare held a managers conference recently where the proposal to look at strategy and business plans for the next few years was one of the items discussed,” said Wiltshire. “This is not unusual and does not in any way mean the business is in crisis.”
But the source close to the think-tank operation said Vision 2008 would examine three options for the future of NU’s healthcare division, rather than just be a standard business review. The agenda is thought to include devising an exit strategy whereby NU sells its healthcare operation to a third party; the requirements for changing product structure in order to become more competitive; and revenue predictions if the current business model is maintained.
Wiltshire refused to comment on Vision 2008’s agenda, apart from saying it would allow managing director Graham Boffey and sales & marketing director Philip Willcock to get a closer look at the business, both of whom having recently assumed their current roles at NU Healthcare.
