13 insurers form new trade association
A group of 13 British insurers have joined forces to form a new trade body specifically aimed at mutual providers.
The Association of Mutual Insurers (AMI), has been launched in a bid to maintain standards across the mutual insurance industry. It will focus mainly on representing the sector to bodies such as the Financial Services Authority (FSA) and the Treasury, as well as communicating with the press and policyholders.
Founding members, which include Liverpool Victoria, Royal Liver, Wesleyan and Scottish Friendly Assurance, collectively represent £5.6 billion in premiums, equating to 70% of the mutual insurance market. However, invitations to join the AMI have been sent out to all other mutual insurers in the UK.
The AMI has appointed board member of the Association of British Insurers (ABI), Ian Geden, as chairman. It is hoped the appointment will lead to the development of a close working relationship on mutuality issues between the trade body and the ABI.
Mary Francis, director general of the ABI, said the formation of the new organisation was a significant development for the industry.
Shaun Tarbuck, chief executive at the AMI, said the formation of the new trade body was an historic announcement. "This is the first time that a trade association has been formed specifically for mutual insurers," he said.
