Virgin Group announced yesterday that it is in “advanced discussions” with the Automobile Association about a joint move into car and home insurance. The AA is one of the UK’s largest insurance brokers, selling over 600,000 house and home policies and more than one million car policies.
Said to be virtually a done deal, Virgin will adopt its usual role of fronting the venture while the AA provides the insurance knowhow, commercial contacts and administration.
The new venture will operate via virginmoney.com, with the aim of exploiting Virgin’s ubiquitous brand name and young, affluent customer base.
Meantime, all is not well with another Branson venture, Virgin Express Holdings, which yesterday posted a 20.2 million (£13m) loss for the half-year to June.
The budget airline plans to flee London’s higher priced Stansted Airport for Brussels from where Virgin claims it will increase its present number of flights.
News source: The Times (London)