HSBC exits car insurance with £69 million sale
11 April 2012
HSBC today sold its HSBC Insurance (UK) division for £68.5 million in a move which completes its exit from car insurance underwriting.
The buyer is Syndicate Holding Corp, a business specialising in managing books of insurance business which are being run off. HSBC Insurance stopped taking on new customers more than a year ago.
The banking giant will continue offering motor cover through the HSBC, first direct and M&S Money brands using third-party insurers, rather than underwriting the business itself.
Syndicate Holding launched its RITC Syndicate Management business in 2007 to offer what is known in the trade as reinsurance to close, helping insurers withdraw from classes of business.
