29 April 1998
NFU Mutual offers sweetener in face of CU threat
COMMERCIAL UNIONS decision to expand into farm insurance has forced the National Farmers Union Mutual group to offer its policy holders some additional sweetners.
Commercial Union (CU) has just acquired a major US insurance business also known as National Farmers Union.
CUs plans to expand into British agriculture is likely to be speeded up when it links up with General Accident to double its turnover of nearly £4.3 billion worldwide and £1.3bn in the UK. General Accident already has a sizeable farm insurance portfolio.
A spokesman for National Farmers Union Mutual said it had seen off previous attacks. However, NFU Mutual has taken a pre-emptive position with a recent circular sent out to policy holders outlining the firms progress.
It includes the offer of free loss-of-income assurance, an increase in liability cover to £10m, improved motor accident death cover, higher no-claims discounts and loyalty discounts.
- CU buys American agricultural insurer for $118m, FWi, yesterday (28 April) — Click here
- The Scotsman 29/04/98 page 28