Affinity and Partnership Marketing in UK Life Insurance and Pensions

Transcription

1 Brochure More information from Affinity and Partnership Marketing in UK Life Insurance and Pensions Description: Finaccord's report titled Affinity and Partnership Marketing in UK Life Insurance and Pensions represents the most detailed research ever undertaken on this sector and is one of seven studies in a new series of publications. Drawing on the results of a survey of 2,500 organisations, the report analyses the penetration, operating models and partner market shares of affinity and partnership marketing schemes for life insurance and pensions across a range of distributor categories. These include banks, building societies, charities, friendly societies, Internet, media and telecoms entities, on-line aggregators and brokers, professional associations, retailers, trade associations and trade unions. Moreover, the PartnerBASE database that accompanies the report provides the granular detail behind the analysis, detailing each of almost 500 affinity and partnership marketing initiatives traced by Finaccord in this sector. In the context of this report, life insurance embraces all types of policy usually encompassed by the definition, including term assurance, critical illness insurance, permanent health insurance and investment products in a life wrapper, but excluding creditor or payment protection insurance. You may be able to use this report and associated PartnerBASE database in one or more of the following ways: - drill down into the detail lying behind affinity and partnership marketing schemes for life insurance and pensions in the UK; - gain access to research that chronicles the vast majority of affinity marketing opportunities in life insurance and pensions; - benchmark the competitive position of your own organisation in affinity and partnership marketing of life insurance and pensions and spot opportunities for displacing rivals; - gain a wider perspective from learning about recent innovations in partnership marketing of insurance in continental Europe and Ireland; - plan your future affinity and partnership marketing strategy for life insurance and pensions armed with the best market and competitor intelligence available on this subject. Together, the report and PartnerBASE database will provide you with the definitive guide to current and potential affinity and partnership marketing opportunities in UK life insurance and pensions. Contents: 0.0 EXECUTIVE SUMMARY Research background and structure Life insurance embraces a variety of different types of investment and protection policy A majority of affinity marketing schemes for life insurance are organised through brokers although Legal & General maintains the highest outright number of exclusive partnerships Insurancewide.com, Moneysupermarket.com and theidol.com are strong among on-line affs Over a quarter of organisations surveyed in seven sub-categories offer retirement savings with the duo of LV= and LighthouseTemple holding the highest outright number of partners Key success factors for affinity marketing in life insurance and pensions vary by type of product and there is scope for comparing developments in the UK with those in continental Europe 1.0 INTRODUCTION Finaccord UK affinity and partnership marketing publications Other UK consumer research publications PartnerBASE Definitions Rationale The channels used to distribute financial products and services in the UK continue to proliferate with on-line affinity and partnership marketing having growing rapidly in importance of late Methodology 2.0 MARKET OVERVIEW Affinities and partnerships in UK life insurance and pensions

2 Over 10% of organisations surveyed in 14 sub-categories promote life insurance with most schemes organised through brokers rather than placed directly with life offices Insurancewide.com, Moneysupermarket.com and theidol.com are strong among on-line affs Affinity programs for pension plans are less widespread than those for life insurance The duo of LV= and LighthouseTemple maintain exclusive relationships in three main areas 3.0 NOT-FOR-PROFIT AFFINITY GROUPS 3.1 Charities The main focus lies upon specialist life insurance marketed by a handful of medical charities Just two charities have any involvement in the intermediation of pensions for supporters intune s main target market is the affluent over-50 age group served by Saga and the company is interested in working with suppliers that fulfil a variety of criteria intune is employing a multi-channel distribution strategy including the charity s high street outlets as it seeks to reach an operating profit of 15 million per annum by Professional associations Over 50 professional associations possess in excess of 5,000 individual members The vast majority of professional associations offering life insurance do so through a broker with Parliament Hill having expanded its roster of member benefits clients to 11 associations A further 16 intermediaries each claim at least one deal in the professional association segment A number of partnerships have been created that are specific to personal / stakeholder pensions 3.3 Sports organisations The provision of life insurance through sports organisations is limited to two specialised schemes 3.4 Trade associations CBG Financial Services possesses exclusive distribution links with seven trade associations and a further four providers have established two or more relationships for life insurance 50 trade associations continue to operate schemes for personal or stakeholder pensions 3.5 Trade unions LighthouseTemple achieves prominence by virtue of the link forged with LV= in April 2007 with no other provider of life insurance holding more than one exclusive union relationship An important stand-alone initiative in the field of pensions is the TUC s own stakeholder scheme 4.0 FINANCIAL PARTNERS 4.1 Banks Banks adhere to a variety of bancassurance models for the provision of life insurance although only Barclays appears to have fully exploited the depolarisation opportunity Legal & General continues to account for the majority of tied agency relationships There are some v in the operating models and partnerships used for retirement products 4.2 Building societies Building societies show an increasing preference to use multi-tied and brokerage models Norwich Union remains a market leader although its number of exclusive ties has halved AXA Sun Life enjoys links with both of the UK s two largest building societies and Legal & General has consolidated its position by acquiring Nationwide Life Penetration rates for personal / stakeholder pensions fall below those for life insurance 4.3 Credit unions Norwich Union accesses the credit union market as the approved supplier of CUNA Mutual 4.4 Friendly societies

3 A number of friendly societies have begun collaborating with external providers 4.6 Insurance companies Prudential and Discovery aim to shake up the UK protection market through a new joint venture 4.7 On-line aggregators and brokers theidol.com provides the on-line quotation system for a number of partners in this sector although a clutch of other entities, including LifeSearch, are also competing in this field Few on-line aggs. or brokers offer searching facilities for personal or stakeholder pensions 4.8 Specialised lenders There is little appetite among specialised lenders for selling non-creditor life insurance contracts 5.0 COMMERCIAL ENTITIES 5.1 Airlines Only Ryanair is attempting to stretch its brand into life insurance 5.2 Automotive associations LV= is working to an increasing extent with LighthouseTemple in the domain of financial advice 5.3 Automotive dealers, repair shops and supermarkets Many automotive dealerships owe their survival to revenues derived from financial services although with one significant exception, household insurance does not enter the equation 5.4 Cricket and rugby clubs Cricket and rugby clubs have no involvement in either life insurance or personal pensions albeit both cricket and rugby attract sponsors from the financial services sector 5.5 Estate agents Legal & General continues to hold the largest number of exclusive estate agency partnerships although Friends Provident is the sole provider of to the UK s largest estate agency chain A number of estate agents utilise intermediaries affiliated to Zurich s Openwork network Most on-line estate agency portals prefer to carry adverts rather than acting as affinity partners 5.6 Football clubs A handful of football clubs have established financial advisory services on an affinity basis 5.7 Internet, media and telecoms entities Insurancewide.com and Moneysupermarket.com account for a majority of media affinities although Torquil Clark, in particular, also operates several searching facilities in this field Affinity marketing relationships for personal and stakeholder pensions are somewhat different 5.8 On-line price comparison providers Only two providers have established searching facilities for life insurance under their own brand 5.9 Retailers A number of the UK s major retailing brands are being leveraged to promote life insurance with ASDA having opted for a brokerage model by means of its relationship with LifeSearch Tesco may follow suit although its Tesco Compare concept currently focuses on motor insurance Greenbee will allow the John Lewis Partnership to expand its share of total client expenditure

4 Fit with the values of the John Lewis Partnership has been key to selection of affinity partners 5.10 Other commercial entities Branded conglomerates Saga and Virgin leverage their brands across the full consumer financial services spectrum with Saga having rolled out a price comparison site for motor insurance in August 2007 Loyalty schemes The loyalty schemes category extends to a range of diverse travel and other reward programs although only ipoints offers the chance to earn points through purchase of life insurance The Post Office The Post Office is seeking to grow its total portfolio of insurance policies to two million by EUROPEAN INNOVATIONS Events in affinity and partnership marketing in Europe, 2006 and 2007 Winter 2006 AEGON expands bancassurance reach in Spain through link with local savings bank Fondiaria SAI firms up link with Banca Popolare di Milano for bancassurance venture Elvia reinforces position in travel insurance sector through new distribution deals Estonian bank diversifies into non-life bancassurance by establishing captive company AIB and Aviva finalise Irish bancassurance deal by combining life insurance firms AXA and Adeslas co-operate for health insurance distribution in Spain Cattolica and Banca Lombarda extend life insurance distribution tie to 2010 French banking and insurance partners pilot Séréna personal assistance platform Spring 2006 Spanish arm of CIGNA launches health insurance through Travel Club loyalty program Fortis and An Post confirm Irish financial services joint venture MACIF and MNRA create affinity programs for small businesses in France Mapfre and Caja de Madrid extend scope of co-operation to automotive finance Proteq ties with leading Dutch pharmacy chain for affinity insurance venture ESFG and Crédit Agricole strengthen Portuguese bancassurance ties Aon and Delta Lloyd join forces for affinity insurance venture in the Netherlands Summer 2006 Fondiaria and Capitalia link for non-life bancassurance joint venture in Italy Mondial Assistance renews international assistance contract with Chrysler Jeep Cattolica strengthens strategic bancassurance tie with BPVN in Italy CNP launches new permanent disability and long-term care contract with ASAC-FAPES BBVA and Sanitas combine in Spanish health insurance distribution deal AXA seals affinity insurance tie with Bertelsmann media club in Germany CNP extends major bancassurance deals in France through to end 2015 Winterthur and Sanitas agree tie for health insurance distribution in Switzerland Europäische expands card-related travel insurance deals in Germany Autumn 2006 Aon Italia rolls out new propositions for professional affinity partner AXA buys major Greek bancassurance protagonist for 255 million French mutuals tie for retirement savings cross-selling initiative BBVA and Willis link for high net worth property insurance venture in Spain Uniqa commences bancassurance joint venture in Ukraine with Credo-Classic German catalogue retailer commences insurance marketing venture AXA replaces Talanx as SEB s new bancassurance partner in Germany CNP s life assistance arm forges tie with Chèque Domicile in France Santander Consumer Bank improves motor insurance offer for German car buyers Winter 2007 Zurich seals new manufacturer motor insurance deal with Suzuki in Germany AEGON forges new bancassurance link with Banca Transilvania in Romania a distribution strategy also pursued by Aviva in the same country with Finansbank CIGNA targets marine sports club members with health insurance proposition in Spain Innovative distribution deals assist Spanish insurer Mapfre at home and abroad French affinity broker launches new insurance policy through AOL link AEGON and ERGO tie for pensions cross-selling agreement in Poland Mapfre takes 50% stake in Spanish savings bank insurance unit Cattolica finalises bancassurance agreement with Banca Popolare di Vicenza Mondial Assistance establishes distribution agreement with Sanyres in Spain

5 VIVAS Health secures distribution link with Hibernian Direct in Ireland Tie with statutory health insurer in Germany pays dividends for HUK Coburg Caisses d Épargne and MACIF roll out individual health insurance contracts in France Generali acquires bancassurance companies in Austria from BAWAG PSK Spring 2007 ADAC and Zurich disclose launch joint venture insurance company in Germany Mapfre seals major bancassurance deals with Bankinter and BBVA in Spain Folksam and Swedbank initiate new bancassurance collaboration in Sweden AXA acquires stakes in Monte dei Paschi di Siena bancassurance firms Allianz links with Ferrari for car insurance policies in Germany Groupe Caisse d Épargne and HSBC assume control of French bancassurance firms AIB kicks off on-line motor insurance venture with Hibernian in Ireland Fondiaria SAI forges Italian bancassurance joint venture with Banca Italease Summer 2007 Generali and leading fuel retailer link for affinity tie in German insurance Aviva rolls out a trio of new bancassurance deals in Italy, Poland and Spain AEGON and Mapfre finalise bancassurance agreements with Spanish savings banks Vienna Insurance Group links with OMV in ten countries in Central Europe La Caixa buys 50% stake held by Fortis in long-standing Spanish joint venture Deutsche Postbank and Talanx extend German bancassurance link for 15 years ACE European Group sets up life company for continental affinity insurance initiatives National Suisse and Coop Bank agree insurance co-marketing initiative Sogecap commences bancassurance operations in Bulgaria and Greece Groupama initiates link with integrated Internet and telecoms provider in France Intesa Sanpaolo rolls out new approach to bancassurance in domestic market Citroën entrusts own-brand road assistance service to Mondial Assistance ING takes control of Greek bancassurance joint venture as a part of ten year deal Royal & SunAlliance targets Eastern Europe and Russia through GDII joint venture Crédit Agricole buys 60% stake in non-life bancassurance entity from AGF Generali and PPF Group commence joint venture deal in Central and Eastern Europe Banco Popolare and Fondiaria SAI finalise new bancassurance joint venture in Italy Autumn 2007 Zurich links with TomTom for Europe-wide motor insurance distribution venture Mondial Assistance secures international travel insurance ties with Eurostar and KLM Genertel signs affinity insurance agreement with low-cost airline in Italy Groupama forges joint venture with software house for co-marketing in France and abroad If P&C plans tie with Finnish retailer s loyalty program from June 2008 onwards Allianz Suisse initiates manufacturer-branded insurance co-operation with Volkswagen Deutsche Postbank secures non-life bancassurance agreement with HUK-Coburg GRAPHICS / TABLES The affinity and partnership marketing universe Entities contacted for the research, segmented by broad category Affinity and partnership marketing schemes for life insurance in the UK: penetration by type of partner Affinity and partnership marketing schemes for life ins. in the UK: segmentation by op. model and competitor Affinity and partnership marketing schemes for pers. / stake. pensions in the UK: penetration by type of partner Affinity and partnership mktg. schemes for pers. / stake. pens. in the UK: segment. by op. model and comp. Charities offering life insurance: penetration, operating models and partner market shares Charities offering personal / stakeholder pensions through partnerships Ranking of professional associations in the UK by actual or approximate number of members Professional associations offering life insurance: penetration, operating models and partner market shares Professional associations offering pers. / stake. pens.: penetration, operating models and partner market shares Sports organisations offering life insurance through partnerships Ranking of the top 50 trade associations in the UK by actual or approximate number of members Trade associations offering life insurance: penetration, operating models and partner market shares Trade associations offering pers. / stake. pensions: penetration, operating models and partner market shares Ranking of trade unions in the UK by actual or approximate number of members 39 Trade unions offering life insurance: penetration, operating models and partner market shares

6 Trade unions offering pers. / stake. pensions: penetration, operating models and partner market shares Banks offering life insurance: penetration, operating models and partner market shares Banks offering personal / stakeholder pensions: penetration, operating models and partner market shares Building societies offering life insurance: penetration, operating models and partner market shares Building societies offering pers. / stake. pensions: penetration, operating models and partner market shares Credit unions offering life insurance: penetration, operating models and partner market shares Friendly societies offering life insurance and personal / stakeholder pensions through partnerships Insurance companies offering life insurance and personal / stakeholder pensions through partnerships On-line aggregators and brokers offering life ins.: penetration, operating models and partner market shares Specialised lenders offering life insurance through partnerships Airlines offering life insurance through partnerships Automotive associations offering life insurance and personal / stakeholder pensions through partnerships Automotive dealers, repair shops and supermarkets offering life insurance through partnerships Estate agents offering life insurance: penetration, operating models and partner market shares Football clubs offering life insurance and personal / stakeholder pensions through partnerships Internet, media and telecoms entities offering life ins.: penetration, operating models and partner market shares Internet, media and telecoms entities offering pers. / stake. pens.: pen., op. models and partner market shares On-line price comparison providers offering life insurance through partnerships Retailers offering life insurance through partnerships Branded conglomerates offering life insurance and personal / stakeholder pensions through partnerships Loyalty schemes offering life insurance through partnerships Ordering: Order Online - Order by Fax - using the form below Order by Post - print the order form below and send to Research and Markets, Guinness Centre, Taylors Lane, Dublin 8, Ireland.

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